Notwithstanding anything herein, no provisional or  permanent registration certificate issued to any small enterprise before the commencement of this Act shall be construed or valid as a registration certificate under this Act on the expiry of twelve months from the date of commencement of this Act.

“The procedure for changeover from the old registration to the registration under this act shall be specified.”

different categories of credit facilities such as term loans, working capital loans, etc.

These directives should form part of this act and modification/changes of these directives shall be made with the prior approval of the Board only.

The Reserve Bank of India may, from time to time, by notification amend or rescind or modify the guidelines.

The National Small Enterprises Board shall from time to time, amend or rescind or modify the guidelines which will be notified with the approval of the Reserve Bank of India.

The small enterprise credit guidelines shall be binding upon all the financial institutions.

“The small enterprise credit guidelines shall be binding upon all the financial institutions including scheduled commercial Banks, Urban Co-operative Banks and Regional Rural Banks (RRB’s)

Every appeal under subsection (1) shall be  accompanied by such fee as may be prescribed.

“Every appeal under Subsection (1) shall be accompanied by the fee which will be Rs. 100/- for the entrepreneurs and 25% of the amount for the Banks.

Every appeal under subsection (1) shall be disposed of by the Reserve Bank in such manner as may be prescribed.

Every appeal under subsection (1) shall be disposed of by the Reserve Bank in such manner as may be prescribed within 30 days of such appeal.

The Central Government and the State/UT Governments shall, notify Central and State/UT Procurement Policy to be followed by the respective Governments in the purchase of goods or availing of services for their use and also notify the percentage or quantum which shall be reserved for the small enterprises.

The Central Government and the State/UT Governments shall, notify Central and  State/UT Procurement Policy  to be followed by the respective  Governments and Government departments/ Corporations/ undertakings/ societies/ Govt Control Bodies in the purchase of goods or availing of services for their use. There shall be a compulsory purchase of atlest 50% from small enterprises out of which minimum 50% shall be from small enterprises of the State for State purchases. 

The State Purchaser shall purchase such percentage of their requirement as may be notified from small enterprises in every case where the small enterprises competing for the contract have established capacity to provide goods or services of the required quality and specifications.

The State Purchaser shall purchase minimum 50% of their requirement from small enterprises in every case where the small enterprises competing for the contract have established capacity to provide goods or services of the required quality and specifications. Minimum 50% share of small enterprises shall be purchased from the Small enterprises of the State.

Any Small enterprise may make a complaint to the Central Commissioner in the case of the Central

(1)    Government and any State/UT Commissioner in the case of a State/UT Government, having jurisdiction over the place where a contract is to be made on the ground that any bundling of contract is not justified or where there is or any non-adherence to a statutory purchase policy by any State Purchaser.

(2)    On receipt of a complaint under subsection (1), the Central Commissioner or any State /UT Commissioner as the case may be, shall forthwith, if it is satisfied that a prima facie case has been made out in the complaint and that the complaint has been made without undue delay, make an ex-party order restraining the State Purchaser or any other party from proceeding with the opening of bids, the award of any contract or the execution of any contract and issue notice to the State Purchaser and every other party likely to be affected thereby to show cause within fifteen days of receipt of the notice as to why the procurement action complained of should not be set aside.

(3)    On receipt of a complaint under subsection (1) that there is non-adherence to a statutory policy by any State Purchaser, the Central Commissioner or any State/UT Commissioner as the case may be, shall forthwith, if it is satisfied after hearing the State Purchaser of the correctness or non-adherence made out in the complaint, make an order requiring the State Purchaser to cease and desist from non-adherence to such statutory purchase policy as is complained of and levy such fine or fines on the State Purchaser concerned, such fine or fines being not less than rupees hundred thousand for each violation complained of.

(4)    The Central Commissioner or any State/UT Commissioner shall expeditiously adjudicate upon the complaint and, after hearing the parties affected, the Commissioner may make such order or give such directions, as it may consider just and necessary in the circumstances of the case.

The State Commissioner would not be a competent person to hear complaints against other departments for not following purchase policy as from time to time the state commissioner may be a junior officer to the MD of Corporations, Undertakings, Departments against whom complaint has been filed. Again the State Commissioner may find it difficult to penalize the State Bodies for obvious reasons. At times it may also happen that Complaint may be against the existing Commissioner when he was MD of some Corporation, Undertaking, Department earlier. Therefore for hearing complaint there should be person NOT UNDER THE CONTROL  OF  the State Government, preferably a person from the Judiciary is recommended.