Promotion of cluster policies eases small scale business

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large scale irregularities surfaced in sanctioning government money to promote Cluster policy of the Industries Department. The scheme facilitates small units with finance to run their business after forming a cluster thus making it easy to produce any item in large number. The government also gave market to the product manufactured under the above scheme after forming cluster. 

However, in Sambhal district, an enquiry conducted on direction of Information Commissioner, Hafiz Usman, revealed that about eighty percent units of a `cluster’ were fake and even some of cases, the owner was found to be already dead. After disclosure of above sensational facts, Usman ordered a high-level probe under principal secretary (Home), and also to initiate proceedings against those, who fraudulently formed `cluster’ and tried to swindle the government money.

Giving details of the above development here on Saturday afternoon, Information Commissioner, Hafiz Usman, said that recently through an appeal filed in his Court by a resident of Sambhal, he learnt that one Non-Government Organisation (NGO), `Prayas Jan Sewa Samiti’, had shown formation of 144 units (engaged in stitching readymade garments) and formed a cluster to take Central grant of Rs 10 crore meant for promotion of small units to promote their production as well as their business.

This proposal submitted by the said NGO was cleared by the District Industry Office of Sambhal and through joint director (industries) in Moradabad range, it was also cleared by the State government. The said proposal was subsequently sent to Central Government for clearance of the budget so that business could be started increased and the owner of above units could be benefited. 

Usman said that through the appeal, he learnt that the units shown in the above cluster were fake and that the local officials were not given information about them when sought through Right to Information (RTI) Act. He claimed that finding some foul play on part of the officials, he directed joint commissioner of Industries Department in Moradabad, to enquire the matter and submit his report. He said  to be shocked when the probe report submitted him earlier this week revealed that out of the 144 units shown in the cluster, 114 of them were fake and even owners of four others units were found to be already dead. Only nine units were found to be functional. Interestingly in 17 units, it was found that they were running just by one person and had no other workers. 

Usman claimed that sensing trouble for them, the joint director also informed him that after the above enquiry revealed irregularities, they had went a proposal to the state government to request the Central Government to stop allocation of Central side of Rs 10 crore for the said cluster. According to Usman, after going through the report and making enquiry with some other residents of Western UP, he suspected that it was not just Sambhal but similar racket in the name of promoting industries by forming cluster were also operative in other districts also so he wrote a letter to the principal secretary (industries) to ensure a high level probe so misuse of government money in the name of promoting small units could be stopped and action could be also taken against those who already duped the government and swindled the money. 

Daily Pioneer
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