The government has received information that the authorisation letters of the much talked about subsidised Benazir Tractor Scheme (BTS) are being openly sold as farmers are unsure of delivery time, sources told Business Recorder. The scheme, which aims at providing 10,000 tractors with a subsidy of Rs 200,000 per tractor, is being managed by the Zarai Taraqiati Bank Ltd (ZTBL).
"Yes, we have been intimated that such illegal activity is going on in far-flung areas where farmers are not sure when they will get the tractors," said an official. According to the policy guidelines issued by the Ministry of Food and Agriculture (Minfa), the successful beneficiary would have to choose specific make/model of the tractor within 30 days after the balloting. Once the model is selected, it will be final. Minfa had also clarified that the payment mechanism already in vogue in Zarai Tarqiati Bank Ltd (ZTBL) would be followed in the BTS. ZTBL had been asked to make foolproof arrangements for delivery of the tractors, along with tool box and accessories, to the successful applicants.
Contrary to the guidelines, there are reports that the authorisation letters of successful beneficiaries are being bought by investors in some parts of the country at Rs 100,000 to Rs 180,000 which implies that the subsidy may be hijacked by those for whom it is not intended.
According to the information given to federal government, the 'investors', after purchasing the authorisation letter, make the remaining payment to the bank in cash and the demand draft issued against this payment is cashed or can be cashed without following the prescribed procedure.
At the time of encashment of demand draft the three documents, namely 'IBS 144' or delivery, original 'H' form, and original 'sale certificate', are necessary to be attached with the demand draft to the ZTBL branch. "If this procedure is followed for both the payment made in cash as well under loan facility the farmer can receive delivery in time and payment cannot be misused by the 'investors' who have 'purchased' the letters of successful beneficiaries," commented an analyst.
There are also reports that BTS, which was launched on September 11 with a delay of almost one month, seems to have run into trouble attributed to mismanagement in various departments.
According to the schedule, the winners were required to book the tractors of their choice by October 12, but no one is aware of the number of tractors booked to date. According to unconfirmed reports, the number of tractors booked is much less than 10,000. Besides, the most serious threat to the whole scheme is non-availability of the amount of Rs 2 billion subsidy from the government, which was announced in the Federal budget.
Sources said that tractor manufacturers, who were supposed to supply 10,000 tractors within 60 days, had issued call up letters for over 3,500 tractors, but ZTBL branches were not issuing demand drafts, citing non-availability of funds for the scheme.
Comments
Comments are closed.