Scheme of Assistance to Good Borrowers: ‘B’ Category

Description
The scheme "Scheme of Assistance to Good Borrowers: ‘B’ Category" was launched by the Pondicherry Industrial Promotion Development and Investment Corporation Limited PIPDIC , Department of Industries & Commerce, Puducherry. The scheme aims to provide financial assistance to specific categories of good borrowers for acquiring fixed assets, setting up new units, and supporting expansion, modernization, or diversification of existing units. The scheme provides loan limits ranging from a minimum of ₹5,00,000/- to a maximum of ₹150,00,000/-, along with an interest concession of 0.5% less than the normal rate for 'B' Category borrowers. The applications for this scheme are accepted online via the PIPDIC portal.

Exclusions
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Benefits
• Financial Assistance: A loan limit of a minimum of ₹5,00,000/- and a maximum of ₹150,00,000/-.
• Interest Concession: The borrower receives an interest concession of 1/2% less than the normal rate.
• The collateral security offered in the form of immovable property must be valued by engaging a Chartered Engineer or valuer from the approved panel of the Corporation.
• The applicant must acquire fixed assets, such as purchasing balancing equipment, replacement of machinery/equipment, or acquiring assets for setting up new units or expanding/modernizing existing units.
• The loan repayment period is 3 to 5 years, excluding the moratorium period.
• The applicant must offer collateral security in the form of immovable property.
• The value of the immovable property offered as collateral security must not be less than the term loan sanctioned, if the property is situated in the Union Territory of Puducherry.
• If the immovable property is situated outside the Union Territory of Puducherry, the value offered must not be less than 150% of the loan amount if it is land with building.
• If the immovable property situated outside the Union Territory of Puducherry is only land, the value offered must not be less than 200% of the loan amount.

Eligibility Criteria
1. - Existing assisted units satisfying the criteria under Good Borrowers which have not obtained reschedulement not for more than once and regular in repayment after reschedulement.
2. - Units assisted by other institutions / banks satisfying the criteria and with the fixed assets in existing units is free from encumbrance.
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Application Process
Step 1: User Manual: https://pipdic.in/uploads/PIPDIC_docs/user_manual.pdf
How to Apply: https://pipdic.in/how_to_apply
Applicant Login: https://pipdic.in/customer_login
Application Link: https://pipdic.in/forms
Grievance Form: https://pipdic.in/grievance…
Online

User Manual: https://pipdic.in/uploads/PIPDIC_docs/user_manual.pdf
How to Apply: https://pipdic.in/how_to_apply
Applicant Login: https://pipdic.in/customer_login
Application Link: https://pipdic.in/forms
Grievance Form: https://pipdic.in/grievance_form
Visit the PIPDIC website. Click "Login". Click the “New customer” link under the “Login” menu, enter a username, email-id, password, and captcha, and then click the "Register" button.
Use the registered email-id to log in. An OTP is sent to the registered email address.
The applicant is then required to enter the OTP and click "Login" to access to the customer dashboard.
Upon successful login, the customer needs to update their profile by accessing the "Edit Profile" option (top right corner of the dashboard).
The applicant must provide all required details. Click "Submit".
To initiate the loan application process, the applicant must navigate from the customer dashboard by clicking on the "Applications" tab.
A pop-up window displaying a checklist of General Terms and Conditions, interest rate structure, investigation fees, and collateral security norms will appear for review.
Carefully read this checklist, confirm that all necessary documents have been gathered as requested, and click the “I Agree” button to proceed to the application form.
Fill the multi-step application form, providing appropriate details in all mandatory fields across the required steps.
The applicant must carefully read and agree to the comprehensive declaration provided within the application form (covering confirmation of true information, absence of unauthorized borrowing arrangements, and consent to verification) before finally ticking the "I agree to terms" checkbox and clicking the final "Submit" button for the main application form.
The system will redirect the applicant to enter the Biodata of the Promoter, Partner, or Director, which is typically a multi-step process. The necessary KYC and supporting documents must be uploaded by clicking the "Choose File" button next to each field.
Once the entire application and bio-data submission is complete, pay the applicable application fee.
If selecting online payment, the system automatically redirects the applicant to the payment summary page, where they verify their details and make the payment.
Upon successful payment, the user is redirected back to PIPDIC website, where a receipt for the application fee paid is generated.
The applicant can print this receipt or save it to their computer as a PDF for future reference.
The customer can monitor the status of their submitted application (which will initially show a status like 'UNDER REVIEW') by clicking the "View My application" link on the dashboard and selecting the relevant loan application in the drop-down menu.
For loans up to ₹25,00,000/-, the application fee is ₹100/-.
For loans above ₹25,00,000/-, the application fee is ₹200/-.
The applicant can contact the Managing Director, Pondicherry Industrial Promotion Development and Investment Corporation Limited at No.60, Romain Rolland Street, Puducherry 605001.
The office phone number is 0413-2334361.
The email address for contact is [email protected].
The General Manager (Administration) can be contacted via mobile at 9894653835.

Required Documents
• Copy Of Acknowledgement Of Micro, Small, And Medium Enterprises Registration Certificate Obtained From Industries Department.
• Copy Of Lease Deed For The Work Premises In ₹10/- Stamp Paper (For Loans Up To ₹25,00,000/-).
• Copy Of Registered Lease Deed For The Work Premises For The Period Not Less Than Eight Years (For Loans Above ₹25,00,000/-).
• Consent Letter To Produce Registered Lease Deed For The Work Premises (For Loans Above ₹25,00,000/-).
• Copy Of Sale Deed For The Work Premises In Case The Premises Is Owned By The Applicant.
• Quotation From Selected Supplier For All Machinery And Equipments Proposed With Detailed Specification And Catalogue (Original To Be Produced).
• Two Comparative Quotations From Standard Suppliers For All Machinery And Equipments Proposed (Original To Be Produced).
• Site And Factory Building Plan With Machinery Layout And Civil Estimate (Two Copies) (For Loans Above ₹10,00,000/-).
• Comparative Statement For Machinery With Justification For Choosing The Supplier (For Loans Above ₹10,00,000/-).
• Selected Machinery Supplier’s Client List With Detailed Postal Address.
• Copy Of Proof For Having Registered As An Approved Supplier With Other Financial Institutions / Banks (For Loans Above ₹10,00,000/-).
• Proof For Sale Price Of End Product From The Existing Manufacture / Dealer (For Loans Above ₹10,00,000/-).
• Quotation / Bill Copies For Each Item Of Raw Materials To Be Used With Arrangements For Regular Supply (For Loans Above ₹10,00,000/-).
• Manufacturing Process Details With Flow Chart (For Loans Above ₹10,00,000/-).
• Statistics For Demand And Supply Position Of Product With Proof, Existing Competitions, Major Consumers Details, And Tie-Up Letters For Marketing The Product (For Loans Above ₹10,00,000/-).
• Copy Of Partnership Deed And Acknowledgement Of Registrar Of Firms In The Case Of Partnership Concern.
• Memorandum And Articles Of Association In The Case Of Private Limited Company (For Loans Above ₹10,00,000/-).
• Bio-Data Of All The Promoters (Duly Filled In All Respect As Per The Format Enclosed) (For Loans Above ₹10,00,000/-).
• Copies Of Permanent Account Number Card, Voters Identity, Ration Card, Aadhaar Card, And Bank Pass Book.
• Balance Sheet And Profit And Loss Account For Last Three Years And Bankers Details For Interested Concerns / Existing Unit (For Loans Above ₹10,00,000/-).
• Consent Letter To Offer Collateral Security To The Extent Required By Pondicherry Industrial Promotion Development And Investment Corporation Limited (PIPDIC).
• Detailed Project Report On The Project (For Loans Above ₹25,00,000/-).
• Consent Letter From Bank For Sanction Of Working Capital Loan (For Loans Above ₹10,00,000/-).
• Applicable Licence Copies (Inspector Of Factories Approval, Municipal / Panchayat Permission, Pollution Clearance, Etc.)
• Puducherry Planning Authority Approval (For Loans Above ₹10,00,000/-).
• Original Title Deed For Collateral Security Property.
• Antecedent Title Deeds For Collateral Security Property.
• Encumbrance Certificate For Thirty Years For Collateral Security Property.
• Valuation Certificate Obtained From Approved Panel Valuer Of Pondicherry Industrial Promotion Development And Investment Corporation Limited (PIPDIC) For Collateral Security Property.
• Field Measurement Book Copy (FMB Copy) For Collateral Security Property.
• Patta Copy For Collateral Security Property.
• Legal Opinion Report For Collateral Security Property.

Frequently Asked Questions
Q: If the collateral security property, which includes land and existing buildings, is located outside of the Union Territory of Puducherry, what minimum value is mandated?
A: If the immovable property is situated outside the Union Territory of Puducherry and consists of land with a building, its value must be not less than 150% of the sanctioned loan amount.
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Q: What specific interest rate benefit or concession is granted to borrowers whose accounts are classified under the ‘B’ category standard?
A: Borrowers in the ‘B’ Category receive an interest concession equivalent to 0.5% less than the Pondicherry Industrial Promotion Development and Investment Corporation Limited’s normal interest rate.
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Q: What is the absolute highest financial assistance amount available for acquisition of fixed assets under this specific category of Good Borrowers?
A: The maximum loan limit permitted for disbursement under this scheme is ₹150,00,000/-.
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Q: For currently assisted Small Scale Industry or Medium Scale Industry units, what specific condition applies regarding previous loan reschedulement history?
A: Existing assisted units must not have obtained loan reschedulement for more than once to remain eligible under the &#39;B&#39; Category.
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Q: Are there any special relaxations in the immovable property security requirement for enterprises promoted by Women, Scheduled Castes, Scheduled Tribes, or Differently abled persons?
A: Yes, for units promoted by Women, Scheduled Castes (SC), Scheduled Tribes (ST), or Differently abled persons, the collateral property value is reduced and fixed at 50% of the loan amount.
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Q: Excluding any initial moratorium period granted, what is the standard term or duration allowed for the repayment of this specific term loan?
A: The repayment period for this loan is generally set between 3 to 5 years, not including the applicable moratorium period.
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Q: What criteria must be satisfied if I am an existing transport operator borrower to be eligible for financial assistance under this special category?
A: Existing transport loanees must demonstrate that they have settled their previous loan promptly.
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Q: If my unit was originally assisted by a different financial institution or bank, am I still eligible to apply for this financial assistance?
A: Yes, units assisted by other financial institutions or banks can apply, provided they meet the standard criteria established for Good Borrowers.
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Q: If the immovable property being offered as collateral security is physically located within the Union Territory of Puducherry, what is the required minimum valuation relative to the loan amount?
A: The value of the immovable property situated in the Union Territory of Puducherry offered as security must be not less than the amount of the term-loan sanctioned.
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Q: If my existing assisted unit had obtained a reschedulement in the past, what must my current repayment status be to qualify?
A: After obtaining reschedulement, the existing assisted unit must demonstrate that it is regular in repayment.
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Q: Can the funding be applied towards enhancing the capabilities of an existing industrial unit, such as expansion, modernization, or replacing old machinery?
A: Yes, the loan can be utilized for the expansion, modernization, diversification, purchase of balancing equipment, or the replacement of machinery/equipment of existing units.
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Q: If my business unit was assisted by institutions or banks other than the Pondicherry Industrial Promotion Development and Investment Corporation Limited, must my fixed assets be unencumbered?
A: Yes, units assisted by other institutions or banks must ensure that the fixed assets in their existing units are free from encumbrance.
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Q: May I utilize the sanctioned loan amount specifically for acquiring fixed assets necessary for the establishment and setting up of brand new units?
A: Yes, the loan purpose explicitly covers the acquisition of fixed assets required for setting up new units.
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Q: What is the lowest financial assistance amount that an eligible Good Borrower can request when applying under this specialized scheme?
A: The minimum loan limit that can be availed under this scheme is ₹5,00,000/-.
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