Karnataka govt to permit sale of sick industries

The government has decided to allow takeover or sale of sick industries in the state if the unit used 51% of its allotted land, ran for two years or more, and cleared all government dues before going sick.

Currently, neither sale nor takeover of sick industries is permitted till their lease-to-sale period of 10 years (earlier it was 99 years) is over. As a result, owners of thousands of sick industries were in a fix as they had no right over the property.

The state has also decided to reduce the amount to be deposited by industrialists from the existing 40% to 25% of the total land cost at the time of issuance of preliminary notification.