PANAJI: Micro and small entrepreneurs in Goa will no longer have to huff and puff to recover their rightful dues from clients who prove to be poor paymasters and make them endure prolonged delays to make good payments for goods supplied or services rendered, sometimes crippling their businesses.
The government has constituted the Goa Micro and Small Enterprises Facilitation Council to which businessmen can take their troubles of recovering cash from big players, central and State government departments and public sector companies.The council has been set up by a circular issued on December 4 by Under Secretary industries A S Mahatme under the Micro, Small and Medium Enterprises Development Act, 2006 and the rules enacted therunder in 2007, relating to delayed payments.
It is a sequel to the MSME Samadhaan - Delayed Payment Monitoring System - a portal launched by the Centre to facilitate online filing of delayed payment applications and monitor these pending with government ministries, departments, corporations/autonomous bodies as well as PSUs of the State and Central governments. The system would also monitor some big private enterprises as well.
Small businesses registered under the MSMED Act and who are aggrieved by delayed payments from their clients beyond 45 days can file their petitions before the Council which will then pursue their case, including recovering interest with monthly rests.
For payments due from government departments which are processed by the Directorate of Accounts, the claims must be marked 'MSE Payments' in bold or in red ink to enable fast-tracking the scrutiny, passing as well as payment processes, Mahatme said in the circular.
The move comes as a huge relief to many MSEs, especially contractors, whose businesses are many a times crippled due to the inconsistent cash flows caused by prolonged delays in payments by government departments.
With the new facilitation council, the small players who interestingly are the biggest employers, will also benefit from the provision of penal interests for the delays.
