Cabinet approves waiver of interest of Hindustan Organic Chemicals Limited

The Cabinet Committee on Economic Affairs on Wednesday gave ex-post facto approval for waiver of interest of Rs 7.59 crore on Government of India loans of Hindustan Organic Chemicals Limited (HOCL).

The Cabinet Committee on Economic Affairs on Wednesday gave ex-post facto approval for waiver of interest of Rs 7.59 crore on Government of India loans of Hindustan Orgc Chemicals Limited (HOCL).

The Cabinet Committee was chaired by Prime Minister Narendra Modi.

This was given in addition to the "Waiver of penal interest and interest on interest up to March 31, 2005 that was earlier approved by the CCEA in March, 2006 under the rehabilitation package for HOCL," according to a release.

It added that since it is a 10 years old case, "the interest amount of Rs 7.59 crore has already been written off in the books of accounts of the Government and HOCL and the interest amount involved is not substantial," and added that this will enable HOCL to settle the pending CAG audit observation in the matter.

( With inputs from ANI )