Okays absorption of 145 employees of Centaur Hotel
Jammu: To meet the fiscal challenges and liquidity constraints, the Administrative Council which met here under the Chairmanship of Lieutenant Governor, Manoj Sinha approved the constitution of the Consolidated Sinking Fund (CSF) and the Guarantee Redemption Fund (GRF) for meeting contingent liabilities of the government with an initial corpus of Rs 30 crores for each Fund, an official press release informed Sunday.
It said Rajeev Rai Bhatnagar, Advisor to the LG; Atal Dulloo, Chief Secretary; Mandeep Kumar Bhandari, Principal Secretary to LG attended the meeting.
Consolidated Sinking Fund (CSF) is a reserve fund set aside by the Reserve Bank of India (RBI). The provision for this fund is made in Article 266 (1) of the Indian Constitution. Consolidated Sinking fund is to aid States/UTs wherein the government has problems handling their finances, including debt. CSF promotes economic restructuring in States/UTs, especially those with chronic remuneration obligations.
A Guarantee Redemption Fund (GRF) is established in the Public Account of India for the redemption of guarantees given to PSEs, financial institutions, etc. by States/UT governments, whenever such guarantees are invoked.
When the borrowing organizations fail to service their debt burden covered under State Government Guarantee, the lending Banks/Financial Institutions invoke the State Govt. Guarantee. This becomes a liability of the State Government. The Guarantee Redemption Fund shall be utilized for meeting the payment obligations arising out of the guarantees issued by the UT Government in respect of bonds issued and other borrowings by the UT-level undertakings or other bodies/institutions.
The AC also approved absorption of 145 permanent employees of the Centaur Lake View Hotel, Srinagar in Sher-i-Kashmir International Convention Centre (SKICC), Jammu and Kashmir Cable Car Corporation Ltd (JKCCC) and Jammu and Kashmir Tourism Development Corporation Ltd, Srinagar (JKTDC) with effect from March 01, 2023 instead of May 22, 2023, an official press release informed Sunday.
It said this is in pursuance to the process of outsourcing of the assets of the Tourism Department. The Administrative Council in its decision dated May 22, 2023 had approved absorption of these employees with effect from 22-05-2023 and Government Order No. 86-JK(TSM) of 2023 dated 12.07.2023 was issued in this regard.
The matter was examined by a high powered committee constituted under the administrative mechanism for resolution of disputes by Department of Legal Affairs, Govt of India and recommended by the Committee constituted by GAD vide Government Order No. 536-JK(GAD) of 2023 dated 02.05.2023 and also as per the concurrence of the Finance Department, the press release informed.
