Centre initiates enquiry into lapses by officials over violation of FAME-II norms

Centre initiates enquiry into lapses by officials over violation of FAME-II norms

New Delhi, Nov 22 (PTI) The Heavy Industries Ministry has initiated an enquiry into alleged lapses by officials that led to seven electric two-wheeler makers claiming incentives while not adhering to the Faster Adoption and Manufacturing of Electric Vehicles (FAME-II) Scheme norms, officials said Wednesday.

Secretary in the ministry Kamran Rizvi said the probe covers officials of validation and testing agencies Automotive Research Association of India (ARAI) and International Centre for Automotive Technology (ICAT).

Corrective steps will be initiated once the probe's findings are out, he said.

Following complaints that 13 companies were importing components substantially for their electric vehicles in violation of norms under the FAME-II Scheme, the Heavy Industries Ministry had asked ARAI and ICAT to examine if Phased Manufacturing Programme localisation guidelines were being followed by these firms.

'We are enquiring into the lapses, if any, by all officials involved in the process,' Union Heavy Industries Minister Mahendra Nath Pandey told reporters.

In May, an official said the government will issue notices to more companies that have been found violating localisation norms under the Rs 10,000-crore FAME-II scheme seeking to debar them and recover incentives claimed by them since the 2019-20 fiscal.

A few months later, another senior official said the government was exploring legal options against electric two-wheeler companies for not complying with the FAME-II scheme norms.

According to the official, notices were sent to the companies, and so far only Revolt Motors has offered to refund the amount.

The centre has sought Rs 469 crore from seven electric two-wheeler makers for claiming incentives but not adhering to the FAME-II Scheme norms.

The government is seeking a refund of incentives from Hero Electric, Okinawa Autotech, Ampere EV, Revolt Motors, Benling India, Amo Mobility and Lohia Auto. PTI RSN VN NSD NSD

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