CGTMSE / ( 44 )                                                                                 

December 30, 2008

 

 

All Member Lending Institutions of CGTMSE

 

 

Circular No. 49 / 2008 - 09

Dear Sir,

Credit Guarantee Scheme (CGS) -
Payment of Guarantee Fee (GF) /Annual Service Fee (ASF) - Clarification

 

Please refer to our Circular No.38/2007-08 dated September 10, 2007 wherein, inter alia Member Lending Institutions (MLIs) were requested to first allocate payment of Guarantee Fee and Annual Service Fee in the online system before forwarding the requisite amount through Demand Draft to CGTMSE.  It is, however, observed that many MLIs continue to send the DDs without allocation in the system as a result there are avoidable delays in commencement of guarantees as well as risk of guarantees being invalidated due to non-submission of ASF in time.  MLIs are, therefore, requested to observe the following instructions in this regard to avoid any inconvenience:

 

1.              Demand Draft (DD) for exact amount as indicated in Demand Advice (DAN) should be made in favour of CGTMSE and payable at Mumbai only.

2.              No DD should be sent without copy of DAN generated from the online system.

3.              DDs should be routed only through the Coordinating Office of the MLI.  No direct remittance will be accepted from the Branch Office or assisted units.

4.              Late receipt of DD for Guarantee Fee (GF) / Annual Service Fee (ASF) after the stipulated period will not be accepted.

5.              Allocation of GF / ASF should be made against individual units in Receipts and Payments module [Maximum 50 allocations in each RP].  Procedure for allocation of GF / ASF is given in Annexure. 

6.              Separate DDs may be sent for GF and ASF.

7.              DDs received without proper allocation in the online system will not be accepted from January 19, 2009.

Kindly arrange to bring the contents of this letter to the notice of the Operating Offices (Zonal / Branch Offices) of your Bank / institution.

Yours faithfully,

 

 

 

[P M Radhakrishnan]

Encl.: As above.                                                                                             Deputy General Manager

 

 

Annexure

Procedure for allocation of (i) Guarantee Fee (GF) and (ii) Annual Service Fee (ASF)

(i)                 Guarantee Fee

Step 1:             Go to Payments and Receipts Module

Step 2:             Select - Allocate Payments - Select - for Guarantee Fee

Step 3:             Select DAN from the list

Step 4:             Check mark the Pay button and Save the Change

Step 5:             Fill the payment details and Save

Step 6:             Note the system generated RP Number.

Step 7:             Go to Report and MIS module - Select - RP Related Report - Select GF Allocated Report

Step 8:             Fill the Details

Step 9:             Take the printout and Send it to CGTMSE along with Demand Drafts

 

(ii)               Annual Service Fee

For ASF two options are there - one is ASF FY 2008 and another is ASF 2008 for Expired Cases

Step 1:             Go to Payments and Receipts Module

Step 2:             Select - Allocate Payments - Select - for ASF FY 2008

                                                                             - for ASF FY 2008 for Expired Cases

Step 3:             Select DAN from the list

Step 4:             Check mark the Pay button and Save the Change

Step 5:             Fill the payment details and Save

Step 6:             Note the system generated RP Number.

Step 7:             Go to Report and MIS module - Select - RP Related Report - Select ASF Allocated Report

Step 8:             Fill the Details

Step 9:             Take the printout and Send it to CGTMSE along with Demand Drafts