12. In the case of installation of power generator sets / Diesel Engines, the financial assistance will be a one time assistance and all coir units using power, whether existing or new units, will be eligible for the assistance. With regard to the generator sets/Diesel Engines the following conditions are applicable:

13. The grant as admissible under the scheme should be disbursed to the entrepreneur after the unit goes into production.

14. The entrepreneur availing of the grant under the scheme shall not mortgage the assets except to the financial institutions from whom he might have taken loan for the establishment of the unit.

15. The grant will be sanctioned by the Coir Board on the recommendation of a Committee consisting of:

1. The Regional Officer / ESO of the Board, or such other Officer as may be nominated by the Chairman, Coir Board.
2. The Regional Coir Development Officer or ESO of the Coir Board in the State or neighboring States and
3. The General Manager of the District Industries Centre concerned or his nominee not below the rank of an Assistant Director.

16. The Entrepreneur availing of grant will have to execute a bond with the Coir Board, Cochin to the effect that:

1. The Machineries / equipment / generator set will be maintained properly.
2. Will be used only for running the coir unit.
3. Will not be shifted from the approved premises.
4. Will not be disposed off without the prior approval of the Board.
5. Will be insured for an amount not less than the maount of sibsidy granted by the Coir Board.
6. Make available the unit at any time for inspection by the Officers of the Coir Board, or Officers of the Government of the State in which the unit is located.
7. Operate the unit for a minimum period of five years.
8. Abide by the instructions issued by the Coir Board / Central / State Government in regard to the working of the unit.
9. If the conditions laid down are violated, the beneficiary is liable to repay the entire amount of assistance with interest at the rate decided by the Coir Board, to the Secretary, Coir Board, failing which action will be taken against defaulters.

17. The entrepreneur seeking the grant under the scheme should make available to the Committee all relevant records relating to the construction of the building and the purchase of the machinery so as to enable it to determine the quantum of grant admissible.

18. The grant received under the scheme should be recoverable from the entrepreneur:

1. Where the assistance under the scheme has been obtained by misrepresentation as to an essential fact or by furnishing of false information; or
2. Where the unit goes out of production within 5 years from the date of commencement of production, except in case where the unit remains out of production for short periods extending to 6 months due to reasons beyond its control, such as shortage of raw material, power etc.

1. The types of design for worksheds of various types of coir units should be as per the minimum requirement of the unit. The ceiling for computation of the subsidy is as follows:

1. Regional Officer or the authorised ESO attached to the Regional Office,
2. Dy. RCDO or the authorised ESO attached to the concerned State, and
3. The General Manager, DIC or any other Officer not below the rank of Assistant Director from the Industries Department.

4. The scheme provides for assistance for modernization of existing coir units. As far as modernization is concerned assistance under the scheme will be limited to new worksheds that are to be put up and new equipments for the unit.

5. For claiming financial assistance separate applications as prescribed should be submitted for each type of unit.

6. In the case of leased land / building the lease deed should be for a minimum period of 10 years.

7. All legal documents in vernacular should be accompanied with legal opinion from a local advocate stating that the documents are in order for availing subsidy from the Board.

8. Claim for financial assistance in respect of machinery will be considered only if the beneficiaries purchase machinery from the coir machinery manufacturers registered with the Coir Board.

9. The copies of all documents in support of the financial assistance should be attested by an authorized Officer of the Board / DIC and countersigned by the RO.

10. The Committee while recommending subsidy has to prepare and attach individual checklist for each equipment, workshed etc. in the prescribed form alongwith other documents, which are included in their recommendation.

11. A second inspection of 5% of the total number of cases recommended will be held by the Senior Accounts Officer or any other officer deputed from Head Office.

12. The Regional Officer concerned will submit monitoring reports at least once in a year in respect of all the coir units availed subsidy from the Board.