Margin money payable to fair price shops fixed: Centre to HC
12 April 2015 5:25 AM IST
Government has fixed the margin money to be paid to fair price shops (FPSs) which are selling foodgrains under the National Food Security Act (NFSA), the Centre informed Delhi High Court on Friday.
The submission was made by the government before Justice Rajiv Shakdher who was hearing a plea filed by Delhi Sarkari Ration Dealers Sangh claiming that under the Act, FPSs have to sell commodities at the same rate at which they receive items from the state government. Central government standing counsel Anil Soni and advocate Naginder Benipal, appearing for the Department of Food and Public Distribution, submitted an office memorandum which lays down the amount of margin money to be paid to FPSs in all states and union territories (UTs).
They submitted that the states and UTs would be eligible for the assistance from the date they implemented NFSA. According to the memorandum, Rs 70 per quintal as basic margin money would be paid to FPSs in most states and UTs and Rs 143 to those in special states and UTs.
The special states/UTs comprise the eight Northeastern states, Jammu and Kashmir, Himachal Pradesh, Uttarakhand and UTs of Andaman and Nicobar Islands and Lakshadweep.
Apart from the basic margin money, an additional amount of Rs 17 per quintal would be paid to the FPSs which have installed Point of Sale (PoS) devices linked to the Aadhaar number of the beneficiary. PoS devices have been introduced by the government to reduce pilferage of foodgrains meant for public distribution. The government said 50 per cent of the total expenditure under NFSA would be borne by the Centre in the case of general category states and UTs and it would bear
75 per cent of the cost in case of special category states and UTs.
The submission was made by the government before Justice Rajiv Shakdher who was hearing a plea filed by Delhi Sarkari Ration Dealers Sangh claiming that under the Act, FPSs have to sell commodities at the same rate at which they receive items from the state government. Central government standing counsel Anil Soni and advocate Naginder Benipal, appearing for the Department of Food and Public Distribution, submitted an office memorandum which lays down the amount of margin money to be paid to FPSs in all states and union territories (UTs).
They submitted that the states and UTs would be eligible for the assistance from the date they implemented NFSA. According to the memorandum, Rs 70 per quintal as basic margin money would be paid to FPSs in most states and UTs and Rs 143 to those in special states and UTs.
The special states/UTs comprise the eight Northeastern states, Jammu and Kashmir, Himachal Pradesh, Uttarakhand and UTs of Andaman and Nicobar Islands and Lakshadweep.
Apart from the basic margin money, an additional amount of Rs 17 per quintal would be paid to the FPSs which have installed Point of Sale (PoS) devices linked to the Aadhaar number of the beneficiary. PoS devices have been introduced by the government to reduce pilferage of foodgrains meant for public distribution. The government said 50 per cent of the total expenditure under NFSA would be borne by the Centre in the case of general category states and UTs and it would bear
75 per cent of the cost in case of special category states and UTs.
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