Chhattisgarh government has decided to increase the limit of car and housing loans for the legislators in the state.
The Parliamentary affairs department in the state had submitted the proposal to the Chhattisgarh Legislative Assembly (CLA) Secretariat informing it about the decision of the government. The legislators get interest subsidy on the loans paid by the government.
According to officials, the limit for housing loan has been increased from Rs 8 lakh to Rs 15 lakh. The legislators in Chhattisgarh can now go for a smooth ride by driving vehicles costing upto Rs 10 lakh. Earlier, the limit for car loan was Rs 7 lakh earlier.
The legislators have to pay just four per cent of the interest while the remaining amount is paid by the state government as interest subsidy. The benefits could be availed by the legislators during their term in the Legislative Assembly. The subsidy will be stopped once their tenure ends.
Besides, legislators who have been declared defaulter by banks earlier for the non-payment of loans cannot avail the benefits of interest subsidy.
This is the second major sop for the legislators in the second innings of Raman Singh as Chief Minister that started in December 2008. During the budget session, the state government had announced a big hike in the salary and allowances of the legislators.
A member of CLA is drawing a package of nearly Rs 50,000 per month.
