Amendment status not verified — confirm the current text below against the official source.
(1) No loan shall be granted to any large-scale industry or medium scale industry of an amount exceeding 66 per cent or to any small-scale industry of an amount exceeding 75 per cent, of the net value of the assets of the industry after the deduction of the value of all encumbrance existing at the time when the application is made; Provided that the State Government may, subject to such restriction as may be prescribed, relax the provisions of this section, in the case of any particular application in regard to an industry referred to in sub-clauses (i) and (iv) of clause (a) of sub-section (1) of section 10. Explanation:- In this sub-section the net value of the a assets of any industry includes the value of any collateral security prescribed under section 16. (2) the valuation of the assets under sub-section (1) shall be made by such persons and in such manner as may be prescribed. For the purpose of such valuation the additional assets which may be created by the grant of such State aid may be taken into account to such extent as may be prescribed. 16.Loan how secured:- Every loan granted to an industry shall be secured by a mortgage or floating charge upon the whole of the assets of such industry subject to any encumbrances existing at the time when the loan is granted, any by such collateral security, if any, as the State Government may prescribe. 17.Inspection and return:-. In any case in which an application for a State aid has been made under this Chapter, the applicant and, at any time during the continuance of the State Aid, the grantee shall be bound- (a) to comply with any general or special order of the State Government relative to the inspection of the premises, buildings, machinery a stock-in-hand of the industry; (b) to permit the inspection of all account relative to the industry; (c) to furnish full returns of all products, manufactured or sold both as regards description and quantity; (d) to maintain such special accounts and to furnish such statement as the State Government may, from time to time, require; and (e) to submit the accounts of the industry to such audit as the State Government may prescribe: Provided that before requiring any grantee to comply with any of the requirements of this section, reasonable notice shall be given to him.