CGTMSE/(44)/3603 September 07, 2016



All Member Lending Institutions of CGTMSE

Circular No.115/2016-17

Dear Sir/Madam,

Credit Guarantee Scheme (CGS)-
Introduction of new module for modifying borrower details and tenure

As a part of initiative taken by CGTMSE to automate the existing manual processes and thereby providing better service to MLI, it has now been decided to create an online module in CGTMSE portal whereby MLI can modify the borrower details and tenure of the credit facility covered under CGMSE. The module will have a maker and checker concept where the maker at operating level of the MLI will make necessary changes and submit the same to the checker (at MLI level) for approval. Once the transaction is approved by the checker, the CGTMSE portal will automatically update the records. CGTMSE will, now, have no role in updation of borrower detail/tenure modification and no correspondence need to be forwarded to CGTMSE in this regard. Please note that the same checker ID and password obtained for NPA upgradation in terms of CGTMSE circular No. 111 dated February 22, 2016 shall be used for approving borrower details/ tenure modification. However, those MLI IDs who have not yet obtained the checker id and password, they may refer to CGTMSE circular No. 111 dated February 22, 2016 for understanding detailed process of obtaining checker ID and password. The process for updating the borrower details and tenure in CGTMSE portal is given in the Annexure.

The above modules for updating borrower details and tenure have been made live and can now be operated by the MLIs. With regard to the requests for change in the borrower details and tenure modification which have already been made to CGTMSE but have not yet been attended to by CGTMSE, MLIs may carry out necessary changes at their end using the new module. Kindly note that the modification in borrower details and tenure is allowed only in respect of standard and regular account excepting for those live guarantees (as on the date of request for tenure modification) where account turns sub-standard on account of even first time restructuring/reschedulements allowed by the MLIs in the light of extant guidelines of Reserve Bank of India on Prudential norms. This exception is allowed to MLIs only in respect of tenure modification requests.

It may please be noted that the proposed module for modification of guarantee details and tenure of guarantee cannot be used for requests pertaining to change in the already approved guarantee amount for which existing practice shall continue. MLIs can use their existing user ids (both maker and checker id) for this module. Any difficulties encountered may be mailed to us at gf@cgtmse.in.

We request you to kindly bring the contents of this Circular to the notice of all your offices

                                                                                                                                 
Yours faithfully,

(S.S.Bakshee)
General Manager

 

Encl: As above

Annexure

Modification of borrower details

  1. Module for modifying borrower details can be operated wherever wrong details pertaining to the borrower have been fed in the system inadvertently or the borrower details have undergone changes pertaining to unit name, constitution, address , branch name, name of the promoter and/or other promoter(s)/ITPAN, Loan a/c nos, Udyog adhar nos.
  2. By using their existing user ID and password, MLI will login into the CGTMSE portal and submit the request for change in the borrower details by using the path:
    Guarantee Maintenance -> Modify borrower details
  3. By giving the required CGPAN, an application pertaining to the borrower will be displayed. Necessary modification can be done in the given fields, wherever required, and after declaring account as standard, application can be saved for processing at checker's end.
  4. Once the application is saved, the request will be available for approval by checker. Checker will have to login with the separate ID and password as allotted to them and use the following path: Guarantee Maintenance -> Approve borrower details
  5. Under given menu, modifications submitted by the maker can be identified through the borrower id which is unique to each borrower. On clicking the borrower id, checker can compare old and new borrower details as fed by the maker. Wherever changes have been done by the maker, it will be highlighted in yellow for easy identification. On clicking back option, checker can accept/reject the application and click on submit icon. Record for accepted cases will be successfully modified and wherever cases are rejected by the checker, maker may resubmit the cases to checker with correct data.
  6. Approval process will end at the MLI level and no approval will be done by CGTMSE. MLI can view the updated application under Report and MIS -> Application related reports -> CGPAN SSI/Name

Note: Modification of borrower details are not permitted for NPA accounts, Closed and rejected guarantees and expired guarantees.

Modifying the Tenure of the application

  1. The operating level officer of the concerned MLI ID shall use his existing ID and password and shall submit the request to the checker (approver) for change in tenure on the CGTMSE online portal by using the following path:
    Guarantee Maintenance -> Request for Modification of tenure
  2. By giving the required CGPAN, a form where information like Zone name, branch name, Unit name, present tenure, guarantee expiry date, related to the respective CGPAN will be populated by the system. MLI will have to provide complete revised tenure in months, and not just the additional tenure and select the reason for modification from the dropdown menu. Revised expiry date is automatically calculated by the system. It is important to note that Revised tenure will be accepted only where revised calculated expiry date will be later than present date. After confirming that the account for which tenure being modified is standard and regular, excepting for those live guarantees (as on the date of request for tenure modification) where account turns sub-standard on account of even first time restructuring/reschedulements allowed by the MLIs in the light of extant guidelines of Reserve Bank of India on Prudential norms and that the changes made are as per the records of the MLI, form can be saved for processing at checkers end. The option for confirmation of Account as Standard and Regular will get disabled once the maker chooses Reschedulement/Rephasement of the account option of the drop down and thus cannot be ticked by the maker.
  3. Once the form is saved, the request will be available for approval by checker. Checker will have to login with the separate ID and password as allotted to him and use the following path: Guarantee Maintenance -> Approve Tenure Modification -> Reason for Modification: Reschedulement/rephasement of the account (in respect of Live cases)/Other
  4. Select appropriate category as per the reason for Tenure modification of the case. Under given menu, tenure change request submitted by the maker can be identified through CGPAN and several details like application status, original tenure, revised tenure, revised expiry date is displayed in the screen. Checker may accept/reject the case, after mandatory confirmation that the account for which borrower details/tenure being modified is standard and regular, excepting for those live guarantees (as on the date of request for tenure modification) where account turns sub-standard on account of even first time restructuring/reschedulements allowed by the MLIs in the light of extant guidelines of Reserve Bank of India on Prudential norms and that the changes made are as per the records of the MLI. Record for accepted cases will be successfully modified and wherever cases are rejected by the checker, maker may resubmit the cases to checker with correct data.
  5. Approval process will end at the MLI level and no approval will be done by CGTMSE. MLI can view the updated application under Report and MIS -> Application related reports -> CGPAN history.
  6. In case where tenure has been extended for expired CGPAN or CGPAN expiring in current FY, demand for that CGPAN will be generated from the expiry date till the new expiry date or upto March 31, of that particular FY whichever is earlier. Payment will have to be made within one month from the approval date through DD after allocation by using the menu: Receipts & Payments -> allocate payment -> select appropriate menu as per the type of DAN.

Note:

  • Modification of borrower details is not permitted for NPA and Closed accounts.
  • DAN amount in case of expired account or account expiring in current FY can be viewed using menu: Report and MIS -> Application related reports -> CGPAN history.
  • In case of expired account, tenure extension/modification will have to be submitted within one year from the date of expiry. The tenure modification for cases expired more than a year will not be permitted.