APPENDIX 14-I-M

Guidelines for revival/exit of sick EOU/SEZ Units

Please see paragraph 6.3 of the !hapter 6 " Paragraph #.3$ of the !hapter # of the %and&ook of
Procedures '(ol.)*+
,o revive units -hich .a/ have &eco.e 0sick1 and to provide an exit route to those units2 -ho .a/
-ant to .ove out of the EOU/SEZ Sche.e2 the follo-ing guidelines are prescri&ed 3)
4. 5evival of operations3
i+ 6 unit -hich has &een declared sick &/ the appropriate authorit/ shall su&.it a revival package
through the 7evelop.ent !o..issioner concerned to the 8oard of 6pproval for consideration
and approval.
,he 8oard shall consider the follo-ing3
a+ Extension in the period for fulfill.ent of 9:E for a further period up to a .axi.u. of ;
/ears at the prevalent nor.s of the EOU/SEZ Sche.e.
&+ On extension of the period2 unutili<ed ra- .aterial and i.ported/do.esticall/ procured
capital goods shall &e allo-ed to &e carried for-ard at their original value.
ii+ On grant of extension2 the =U, executed &/ the unit shall &e suita&l/ revised.
>+ ,ransfer of sick unit
i+ *n case an entit/ is -illing to takeover all the assets and lia&ilities of a 0sick unit12 transfer of
such assets and lia&ilities as per the dispensation indicated in Para 4 a&ove shall &e
considered &/ the 8oard of 6pprovals. 6n application for such takeover .a/ &e su&.itted
through the 7evelop.ent !o..issioner concerned to the 8O6 for approval.
ii+ ,he sick unit could also transfer the i.ported/do.esticall/ procured capital goods and ra-
.aterial to another EOU/SEZ units. :or the &u/ing units2 it shall &e treated as a do.esticall/
sourced goods for the purpose of 9:E.
3+ Utilisation of space
i+ *n the event of a SEZ unit is granted extension of period for fulfill.ent of 9:E as indicated in
Para 4 a&ove2 the space provided &/ the <one ad.inistration -ould continue to &e in its
possession. ,he 7evelop.ent !o..issioner shall not charge an/ penal interest pa/a&le on
rental for the period for -hich the unit has re.ained closed up to the date of the ne- &onding
period.
ii+ *n event of the unit1s exit fro. the Sche.e as indicated at Para > 'i+ and 'ii+2 the unit shall &e
lia&le to pa/ all the rental dues as decided &/ the 7evelop.ent !o..issioner. %o-ever2 if the
unit is &eing taken over &/ another unit2 the lia&ilit/ shall pass on to the unit2 -hich is taking
over the sick unit2 su&?ect to an undertaking &eing given &/ the later. %o-ever2 no penal
interest on rental dues shall &e charged for the closure period &efore take)over.
iii+ 6ll ad?udication proceeding under :,75 6ct shall re.ain in a&e/ance in case of revival/take
over of sick unit and approval of it &/ the 8oard of 6pproval.