Bengaluru: Federation of Karnataka Chamber of Commerce and Industries (FKCCI) delegation met Union Finance Minister Nirmala Sitharaman on Friday and submitted a memorandum for more relief due to Covid-19 crisis.

FKCCI President Sunder said considering the impact of the covid-19 pandemic, MSME discussed the following issues to improve the sector and bring about improvements in corporate business practices with Finance Minister:

Postponement of NPA standards for MSMEs for some years; Sybil Rating for MSMEs for a period of two years; To sanction new loans and to refinance existing loan enhancement process fees; Not forcing extra security for additional debt; Other economic sectors such as Garment, Hotels, Restaurants, Hospitality Institutions and Professional Services; Reducing inflation by reducing GST on commodities needed for daily needs; Petrol and Diesel to be brought under GST; State Level Bankers Committee (SLBC) to represent FKCCI on the boards of major banks and PSUs.

A request was made on the following issues to bring about the necessary reforms in corporate affairs: Support start-ups by exempting stringent and time-consuming means of complying with private employment regulations while raising capital; Allowing angel investors to issue shares at a discounted rate under Series A funding; The New Initiative of Companies and the Return of the LLC Settlement Scheme; Merge Form DPT-3 with Annual Returns to reduce compliance burden for small companies; Waiver of all late filing fees for the financial year 2020-21 under the MCA which reduces eKYC fees from Rs. 5,000  to Rs. 500; Extension of the FLA and the extension of the new CRO for a further month; Substituting Schedule 3 for one year.

Union Minister Nirmala Sitharaman has carefully reviewed all these issues and assured the FKCCI delegation that they would soon discuss the matter with the relevant authorities.