How the loan is disbursed?
A. The amount of loan for purchase of equipment shall be paid directly to the supplier. Advances against raw material will be made either in the form of pay order in favour of the supplier or on the presentation of bill to the bank. In respect of requirements of petty items like tools, equipment and raw materials, cost not exceeding Rs.800/- per item, the amount may be released either to the borrower or to supplier in cash up to Rs.3000/- on merits, without insisting for performa bills, cash-memo(s) etc.
