FD-14/99/2023-A and F-FIN-Finance Department

I/287168/2023 GOVERNMENT OF ASSAM

FINANCE (AUDIT & FUND) DEPARTMENT
JANATA BHAWAN,DISPUR, GUWAHATI-6
ECF: 306645/111
OFFICE MEMORANDUM

Subject: Apun Bahan Scheme for purchase of Motor Vehicle for permanent State
Government employees.

With the objective of fulfilling the dreams of permanent State Government employees of
Assam of owning a Motor Vehicle for herself/himself, the Governor of Assam is pleased to
formulate the following procedures and guidelines in connection with purchasing of Motor Vehicle:

1. “APUN BAHAN”: To provide financial relief to the permanent State Government

employees and to ease the access to Motor Vehicle loans for the purchase of a Motor
Vehicle for the family. The Government of Assam shall provide Interest Subvention
against the Motor Vehicle Loan from Scheduled Commercial Banks, Regional Rural Banks
and the Assam Cooperative Apex Bank, notified & recognized by the Reserve Bank of
India.
2. Interest Subvention: The Government of Assam will provide Interest Subvention for the
purchase of motor vehicles by permanent State Government employees. Male
employees to get 2% interest subsidy for purchasing diesel/petrol vehicles and 3%
subsidy for electric vehicles, while woman & divyangan (differently abled) employees
will get 3% interest subsidy for purchasing any kind of vehicle.
3. Application process: Application forms will be submitted by employees through their
DDOs with complete set of documents as per check list and application format provided
by eligible Banks. The format so customized shall contain a due and drawal statement of
salary of the Government employee (applicant) which will be duly filled and certified in
the form itself by the DDO concerned. Due diligence and scrutiny required will be done
by the concerned Bank and the Bank team will accord final sanction based on the
proposal.
4. Mode of Subsidy Disbursement: The subsidy amount will be released by crediting it to
the Salary Accounts of the employees.
5. Eligible Vehicles: The auto loans will be granted for the purchase of new two- wheelers
or four-wheelers. Three wheeler vehicles will not be covered under the scheme.
6. Loan Type: The loans will be sanctioned by the bank as term loans.
7. Eligibility Criteria: The scheme is applicable to regular State Government employees
between the ages of 21 and 53 years, ensuring that the maximum tenure of 7 years for
the loan falls within the service period of the employee.
8. Maximum Loan Amount: The maximum loan amount will be either 48 times the net
monthly income or ₹ 15 lakh, whichever is lower.
9. Income Criteria: The net annual income (gross monthly income – all Statutory
deductions) of the employee and/or the Co-applicant (if any) should be ₹ 3,00,000/- and
above. Co-applicants can be the spouse, father, mother, brother, sister, son or daughter
with valid income proof.
10. Loan Financing: The bank will finance 85% to 90% of the on – road price of the vehicle or
48 times the net income, whichever is lower.

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I/287168/2023
11. Repayment Period: The repayment of the Auto Loan will be for a period of minimum 3
years and maximum of 7 years. The repayment will be fixed based on Equated Monthly
Installments (EMI) with Check-off facility/Post Dated Cheques (PDC)/Electronic Clearing
Service (ECS).
12. NPA: Recovery in case of NPA shall be made against irrecoverable authority letter
collected by the concerned DDOs from the beneficiaries/employees for making payment
towards NPA accounts out of any amount payable to the beneficiaries/employees e.g.
terminal benefits in case of his/her retirement, resignation and discontinuance of service
or death.
13. Vehicle Registration: The vehicle's registration should be done with the bank’s
hypothecation Charge duly noted and a copy of the Registration Certificate should be
submitted to the branch for record-keeping.
14. Insurance Requirement: Comprehensive insurance covering all risks should be obtained
before taking delivery of the vehicle, with the banks’ charge duly noted. The bank's copy
of the insurance policy should be submitted to the branch for record-keeping.
15. Limitation:
1. The vehicles purchased should be registered in the name of the employee, and
cannot be used for commercial purposes. If found, the employee would be liable for
Departmental Disciplinary Action.
2. The scheme shall be limited to purchase of only one vehicle per employee.
3. Self-declaration by the employee that no other vehicle under the scheme has been
purchased by him.
16. Audit:
1. The books of account of every Bank that has granted the subsidy under this scheme,
(including the books of accounts maintained at the branches) shall be subject to an
audit in accordance with the procedure that may be prescribed subsequently.
2. The audit may be conducted by concurrent auditors, statutory auditors or special
auditors. The state Government, if it deems necessary, may direct a special audit in
respect of any Bank.
17. Utilization Certificate: Utilization Certificate under the Scheme shall be furnished by the
concerned banks along with the statement of accounts to SLBC, Assam. The Convener
SLBC, Assam will finally submit the statement /utilization certificate to the Finance
Department. Further, concerned Banks shall verify and give detailed statements of
beneficiaries along with amounts disbursed etc. monthly.
18. Interpretation and power to remove difficulties:
1. If any doubt arises on the interpretation of any paragraph of this scheme or any
instruction issued there under, Finance Department, Government of Assam will
resolve the doubt.
2. If any difficulty arises in giving effect to the provisions of the scheme or any
instruction issued there under, Finance Department, Government of Assam will take
suitable measures to remove the difficulty.
19. Monitoring: There will be a State Level Monitoring Committee comprising of the
following members to monitor the implementation of the scheme –
a. Senior Most Secretary, Finance Department (Chairman)
b. Commissioner & Secretary, Finance Department (Member)
c. Secretary, Finance (A&F) Department (Member)
d. Director, Institutional Finance (Member)

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I/287168/2023 e. Director, Budget (Member)

f. SLBC, Convener (Member)
g. Deputy Secretary, Finance (A&F) Department, (Member Secy.)

(Laya Madduri, IAS)

Secretary to the Government of Assam
Finance (A&F) Department
Memo No. ecf: 306645/111-A
Copy forwarded to:-
1. The Accountant General (Audit), Assam, Maidamgaon, Beltola Guwahati-29.
2. The Accountant general (A&E), Assam, Maidamgaon, Beltola, Guwahati-29.
3. The Chairman, Board of Revenue/Assam Administrative Tribunal, Panbazar, Guwahati-1.
4. All Addl. Chief Secretaries/Principal Secretaries/Commissioners & Secretaries/
Secretaries to the Government of Assam.
5. All Commissioners of Divisions.
6. The Secretary to the Governor of Assam, Raj Bhawan, Kharghuli, Guwahati-4.
7. The Principal Secretary to the Chief Minister, Assam.
8. P.S to the Hon’ble Finance Minister, Assam.
9. P.S. to Hon’ble Ministers/Ministers of State.
10. The Chief General Manager, State Bank of India, Local Head Office, Dispur, Guwahati-6.
11. All Deputy Commissioners/Sub-Divisional Officers (Civil).
12. All Administrative Departments/Heads of Departments.
13. The Resident Commissioner/ Joint Resident Commissioner, Assam House, New
Delhi/Mumbai/Chennai.
14. The Trade Adviser & Director of Movements, Government of Assam, 8-Russell Street,
Assam Bhawan, Kolkata.
15. OSD cum Deputy Secretary, GAD, Assam Bhawan, Shillong.
16. All Sr. Financial Advisers/ Financial Advisers /Finance & Accounts Officers.
17. All Treasury Officers in Assam.
18. Director, Information & Public Relation, Last Gate, Guwahati-6.
19. e-Governance Unit, Finance (Estt-B) Department for uploading the OM in the
Government of Assam portal.
20. The Director, Printing & Stationary, Assam, (Govt. Press) Bamunimaidam, Guwahati-21
for publication in the next issue of Assam Gazette and supply 500 copies to this
Department.

By orders etc.

Deputy Secretary to the Govt of Assam,

Finance (A & F) Department