Chandigarh- In a reprieve to industrialists, the Punjab Cabinet on Monday gave nod to introduce a one-time settlement (OTS) scheme to resolve more than four decades old pending cases to provide long-awaited relief to them.
A decision to this effect was taken at a meeting of the Council of Ministers held under the chairmanship of Chief Minister Bhagwant Mann here.
A spokesperson for the Chief Minister’s Office said the OTS scheme would facilitate the industrialists to settle industrial disputes related to enhanced land costs and delayed principal payments, ensuring that long-standing grievances of industrialists are resolved in a fair and transparent manner.
Approximately 1, 145 industrialists across Punjab will benefit from this scheme, allowing them to clear their dues and reinvest in their businesses, leading to economic growth and job creation. These industrialists collectively employ thousands of people, and the financial relief provided by the OTS scheme will further stabilise businesses, prevent closures and lead to new employment opportunities.
The scheme will apply to defaulter plot holders whose original allotment was issued on or before January 1, 2020, ensuring that long-pending cases are addressed effectively.
Industrial plots, sheds and residential plots in industrial focal points developed by Punjab State Industries Export Corporation (PSIEC) will be covered under this scheme, making it a broad-based initiative for industrial revival.
As per the scheme, the government will provide a significant financial relief measure by allowing defaulters to clear dues with a nominal simple interest rate of eight per cent, besides a 100 per cent waiver of the penal interest.
Even plot holders whose allotments were cancelled will now have a chance to get them back by paying their dues, giving businesses a second chance to restart and grow. The scheme will enable industries to free themselves from large financial burdens and legal complexities, unlocking their potential for expansion and modernisation.
The revenue collected through this scheme will be reinvested into industrial infrastructure, including improving focal points and developing new industrial parks, boosting the state’s industrial landscape, said the spokesperson.
A special virtual help desk will be set up by the PSIEC to assist industry promoters in availing of the scheme, ensuring a smooth and hassle-free process for applicants. This initiative will enhance Punjab's reputation as an industry-friendly state, attract new investments, and create an environment conducive to business growth.
The last date to avail of this scheme is December 31, 2025, providing ample time for defaulters to come forward and clear their outstanding dues. This decision is expected to spur industrial growth, strengthen the state’s economy, and reaffirm the government's commitment to supporting businesses and job creation in the state.
The Cabinet also gave nod to the policy to allow the surrender of layout plan of industrial park project, provided that the promoter deposits the outstanding dues of statutory charges as levied by the competent authority at the time of approval. The decision has been taken due to non-availability of a policy regarding surrender of layout of projects developed under the Industrial Park Policy dated June 19, 2019.