Section 17(1) in The Sugar Development Fund Rules, 1983
(1)The Central Government may, after taking into consideration the recommendations of the Committee and any other relevant factor, accord sanction to the payment of a loan from the Fund to a sugar undertaking in connection with the development of sugarcane [in the area in which its sugar factory or any of its sugar factories is situated] [Substituted vide GSR 599 dated 30.07.2012.] for the purposes of -(a)Setting up of heat treatment plants;(b)rearing of nurseries;(c)pest control measures;(d)incentives to cultivators to switch over to improved varieties of sugarcane;(e)irrigation schemes;(ea)[ purchase of mechanical planters and harvesters;] [Inserted vide GSR 599 dated 30.07.2012.](f)any other scheme or project as may be approved by the Central Government.[Provided that loans from the Fund shall be granted only if the Central Government is satisfied on the basis of the information given in Form III that no financial assistance is available for the purpose from any other agency, and if available, the amount thereof is, in the opinion of the Central Government, inadequate and needs to be supplemented by loans from the Fund.Provided further that the loan from the Fund shall be granted only if the Sugar Undertaking or the State Government contributes a minimum of ten per cent of the loan applied for from its own resources as margin money:Provided also that the Central Government may accord sanction for a loan under this rule to a sugar undertaking in respect of a sugar factory only on one occasion and no further loan under this rule shall be sanctioned during the period in which the previous loan under this rule or a loan under sub-rule (2) of rule 21 in respect of that sugar factory, along with interest thereon, has not been fully repaid:Provided also that a sugar undertaking shall not be eligible to apply for the loan under this rule if it is a defaulter in respect of repayment of Sugar Development Fund loan or payment of Levy Sugar Price Equalisation Fund in respect of any of its sugar factories:Provided also that where a sugar undertaking has not availed the loan sanctioned under this rule in respect of any of its sugar factories, it shall not be eligible for grant of loan under this rule for a period of five years from the date of such sanction.] [Substituted vide GSR 599 dated 30.07.2012.]
