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Section 15

The Puducherry State Aid to Industries Act, 1970Union territory Act of Puducherry · Act 3 of 1971

(1) Every loan granted under this Act shall be made repayable by instalments within such period from the date of the actual advance of the loan, or when the loan is advanced in instalments from the date of payment of the last instalment, as may be fixed by the order granting the loan.

(2) The period fixed as aforesaid shall not exceed twenty years unless the Government shall, by general or by special order, extend the same.

Subscriptions for shares or debentures or on capital

16. The condition of subscription for shares and debentures by the Government on the capital of any industrial business or enterprise shall be that the business or enterprise shall be subject to the provisions of section 13 in respect of inspection and returns as well as of the provisions of section 14 in respect of Government control.

510 Subsidy by the Government

17. The condition of any payment under guarantee of a minimum return on the paid-up capital or of the grant of Government land, raw material, firewood or water on favourable terms, or of the supply from a Government source of electric energy at concessional rates shall ordinarily be that an amount equal to the sum paid or to the value of the grant or concession as fixed at the time when it is made shall be repaid to the Government at the close of a fixed term of years if within that term the industrial business or enterprise shall be shown to be paying interest or a dividend upon the capital invested in excess of such rate as the Government may fix.

Disposal of profits when condition of State aid is not fulfilled

18. No recipient of the State aid shall pay any dividend or distribute or take any profits in excess of such percentage rate upon the amount of the capital of the industrial business or enterprise as the Government may fix from time to time until the conditions on which the state aid has been granted are fulfilled. The balance of the profits, after setting aside proper amounts for depreciation or obsolescence of plant and buildings, and for the payment of interest on debentures of loans, shall be carried to a reserve fund to be utilised in such manner as the Government may approve.

Grant of aid to cottage industries by Government

Where this provision sits

ActThe Puducherry State Aid to Industries Act, 1970
Section15
JurisdictionUnion territory of Puducherry
StatusIn force as published by the source

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