107th Meeting of Board of Directors held on 28th March 2006

MINUTES OF THE 107th MEETING OF THE BOARD OF DIRECTORS OF GHRSSIDC HELD ON 28th MARCH, 2007 at 10.30 A.M.  AT HOTEL MANDOVI, PANAJI-GOA
 
The following members were present
     
1) Mrs. Victoria R. Fernandes, MLA Chairperson
     
2) Shri Keshav .K. Kamat Director
     
3) Shri Savio De Souza Director
     
4) Shri Dinesh Nair Director
     
5) Shri Nilesh N. Pednekar Director
     
6) Shri Girish Chodankar, Director
     
7) Shri Manuel Vaz Director
     
8) Shri Prasad Naik Dessai Director
     
9) Shri Nikhil U. Desai Managing Director
     
Item No.1 :Leave of Absence  
 
Mr. Venkatesh A. Dessai, and Secretary (Industries) -Directors were granted leave of absence..
     
Item No.2: Confirmation of the Minutes of the 106th Board Meeting
 
M.D. read out the Minutes and Action taken report of the 106th Board Meeting of the Corporation and after further deliberations / discussions, the minutes were confirmed.
     
 
 
 

Item No. 3.Increase in rentals charged by GTDC
 
MD informed the Board that the GHRSSIDC has received a letter from GTDC asking us to renew the lease at four residencies namely, Panaji, Margao, Vasco and Calangute Residencies in respect of our Handicrafts Emporia. Currently, the rent paid by GHRSSIDC IS Rs.36000/- p.a. He informed that the GTDC has demanded that GHRSSIDC should pay market rate of rentals, which workout to Rs.13 lakhs p.a. for all the four emporia as per the market trend figures provided by the GTDC. The lease of these residencies has expired in 2003-04. The letter received from GTDC and the reply furnished by this office in the said matter was read out by the M.D. for information of the Directors. The Board noted that the GTDC had been allotted buildings for various Residencies by the State Govt. on payment of nominal value/ book value which was far below the market value. Moreover, the promotion of handicrafts activities through the emporia located in GTDC Residencies were social activities which were aimed at promoting the interest of rural artisans.
     
The emporia played a very important role in providing marketing support to the artisans and thus helped in promoting the artisans of the state. Mr. Girish Chodankar strongly objected to the demand of the GTDC for payment of market rental values when it was a known fact that the various tourist residencies had been allotted to the GTDC at a value, which was much below the market rate. He mentioned that the purpose of a Govt. Corporation like GTDC should not be oriented only towards profit making but must also consider the social obligation towards the under privileged. Mr. Keshav Kamat was also of the similar view and he suggested that this matter should be taken up with the state Govt.
 
The Board unanimously resolved to take the matter before the state Government explaining the facts and circumstances of the matter and to prevail upon the GTDC to transfer the four emporia namely located in Panaji, Margao, Vasco and Calangute Residencies to the GHRSSIDC by outright sale. It was also resolved that the state Government should make a provision in the budget to make available sufficient funds in the next budget as Grants in aid to purchase the four emporia from the GTDC. The Board authorized the M.D. to do the needful in the matter.
     
AGENDA ITEM NO.4: Appointment of Shri Gurudas Gaonkar and Shri John Sebastian for representing GHRSSIDC in various matters pertaining to recovery of financial assistance under Deendayal Swayam Rozgar Yojana and Goa Youth Rozgar Yojana and other legal matters.

He further informed that currently, the interest of the GHRSSIDC is defended by the Managing Director in various Courts. Since the number of cases is likely to increase and each case involves multiple appearances at the Courts, it is not possible for the Managing Director to appear in all these cases as it affects the routine work of the Corporation. It is therefore proposed that the following employees of the Corporation may be appointed to file recovery cases, swear affidavits, sign on the Vakalatnama, sign legal notices, appear in the Court of Law and perform all such actions as my be required to defend the interest of the GHRSSIDC in various Courts located in the state of Goa.
   

 

1) Shri Gurudas Gaonkar, Marketing Supervisor
   
2) Shri John Sebastian, Marketing Supervisor
     
The Board accepted the proposal and passed the following resolution
     
RESOLUTION No. 1026  
 
“Resolved that Shri Gurudas Gaonkar, Marketing Supervisor and Shri John Sebastian, Marketing Supervisor, be and are hereby authorized to represent and sign all the documents in connection with the filing of legal suits under DDSRY and GYRY towards bouncing of cheques under section 138 of the Negotiable Instrument Act."
     
`Resolved further that the Managing Director be and is hereby authorized to do the needful in the matter."
     
AGENDA ITEM NO. 5: Filling up of posts on promotional basis
 
M.D. informed the Board that as per R.R s, some posts in GHRSSIDC are to be filled by direct Recruitment/Promotion. Currently, there are some posts Iying; vacant in the Corporation. He explained that there has been a consistent demand from the Employees Union of the GHRSSIDC to fill up the posts by effecting promotion from amongst eligible officials.
 
They contend that the officials who are eligible for promotion are continuing in their existing posts for more then 16 years without any up gradation. They have therefore proposed that in order to boost their morale and also to utilize their abilities for expansion of handicrafts d evelopment activities to a new destination, it is essential to fill up these posts at the earliest. He, therefore, proposed that the following promotional posts may be filled immediately after considering the existing recruitment rules for these posts:

     
1.
Manager(MKT)
1
     
2.
Assistant Manager(MKT)
2
     
3.
Assistant Supervisor(MKT)
2
     
4.
Assistant(MKT))
2
     
5.
Salesman/girl
3
     
6.
Supervisor Accounts
4
     
7.
Accountant
2
     
8.
Asst. Accountant
2
     
 
TOTAL
18
     
It was also explained that the Employees Union contend that there are some isolated posts which have no promotional avenues and that although some posts have promotional avenues, the incumbents face problems of stagnation and hardships due to lack of adequate promotional posts. Some of the employees who have completed more than 16-17 years are not yet considered for promotion.
     
In order to consider the above proposal, it is proposed to constitute a Departmental Promotion Committee consisting of the following:
     
1) Chairperson GHRSSIDC Chairman
     
2) Any Director of GHRSSIDC Member
     
3) Representative of Director Industries Member
     
4) Manager (Admn) Member
     
5) Managing Director Member secretary
     

The DPC will examine each case on merits as per the existing recruitment rules and will also consider the facts and the circumstances of the pending case before the High Court filed by the Employees Union against the Corporation as regards payment of TBPS. The DPC will also obtain inputs from the Advocate Mr. Madhav Bandodkar before finalizing the promotional process. Due consideration will also be given to try and work out an out of Court settlement in the matter. Mr. Girish Chodankar submitted that some posts, which have no promotional avenues, should be considered for up gradation. He also mentioned that the existing Rules framed under Goa State Civil Services (Retirement) (Fourth Amendment) Rules 2007 may be made applicable to the employees of the Corporation. The Board approved this suggestion.
 
Mr. Savio De Souza inquired whether Manager (Admn) who is on contract basis can be a part of the DPC. The Managing Director informed that since the entire Administration was being looked after by Manager (Admn), technically there was no bar on him to be a member of the DPC. He further informed that the DPC will go into the merits of each case and will come out with suitable recommendations as per the existing recruitment rules. Mr. Chodankar stated that the existing recruitment rules have become outdated and the same needs to be reviewed as per the existing Goa Govt. Recruitment Rules. The Board of Directors accepted this suggestion and passed the following resolution.
     
RESOLUTION NO.1027  
 
"Resolved that the DPC of the Corporation be and is hereby reconstituted as per the following members
     
1) Chairperson GHRSSIDC Chairman
     
2) Any Director of GHRSSIDC Member
     
3) Representative of Director Industries Member
     
4) Managing Director Member
     
5) Manager (Admn) Member secretary
     
"Resolved further that the existing RRs of the Corporation be reviewed and fresh RRs may be framed on lines with the RRs of similar/analogous posts in State Govt. departments, "
     

"Resolved further that Goa State Civil Services (Retirement) (Fourth Amendment) Rules 2007 may be made applicable to the employees of the Corporation."
     
"Resolved further that the Managing Director be and is hereby authorized to do the needful in the matter."
     
It was also explained that the Employees Union contend that there are some isolated posts which have no promotional avenues and that although some posts have promotional avenues, the incumbents face problems of stagnation and hardships due to lack of adequate promotional posts. Some of the employees who have completed more than 16-17 years are not yet considered for promotion.
     

 

In order to consider the above proposal, it is proposed to constitute a Departmental Promotion Committee consisting of the following:
     
1) Chairperson GHRSSIDC Chairman
     
2) Any Director of GHRSSIDC Member
     
3) Representative of Director Industries Member
     
4) Manager (Admn) Member
     
5) Managing Director Member secretary

 

AGENDA ITEM NO.6 : Revival of Bicholim Pottery Centre
 
M.D. informed that the performance of the Bicholim Pottery Centre is far from satisfactory. Though there is a tremendous demand for Goan terracotta items from the tourists, it is noted that the production from BPC is unable to keep up with the demand. It is not possible for GHRSSIDC to recruit additional staff for increasing the production as terracotta is a Labour intensive activity. M. D. therefore proposed that
   
1)
The BPC may be allowed to undertake terracotta production by hiring unemployed trained youth to produce individual items on piece meal basis i.e the artisans will be paid a fixed sum for items manufactured by them instead of salary I remuneration.

 
The selection of the artisans will be done by the GHRSSIDC by advertising in local daily. The Board of Directors approved this suggestion. Mr. Savio De Souza suggested that similar model should be followed in the case of Azulejos Production Centre in Bicholim. He suggested that artisans from all over the state should be given the opportunity of submitting tile paintings and getting the same processed in the facility existing with the Corporation. The board approved this suggestion unanimously and it was decided as under. (a) That the Corporation will provide opportunities to local artisans in the BPC and Azulejos production facility located at Bicholim. It was agreed to hire artisans in both these facilities on piece meal payment basis. The Managing Director was authorised to hire the artisans and determine the piece meal remuneration rates payable to the artisans after working out the cost of production.

 

2)
It was proposed to start training courses at the BPC in order to nurture rural talent and enable them to undertake terracotta production on sustainable basis. The Board of Directors approved this suggestion
     
3)
Emphasis will be laid on identifying high value terracotta items and also in replicating the prototypes created in the Design Development workshop conducted by D.C. (handicrafts) in July 2006. The Board of Directors approved this suggestion
     
4)
M.D. proposed that approval may also be accorded to purchase additional machinery like potters wheel, electric oven, etc. In determining the machinery requirements help will be sought from Regional Centre for Terracotta, Govt. of India, Khanapur. The Board of Directors accepted the above proposal and passed the following resolution.
     
RESOLUTION NO.1028  
 
"Resolved that the proposal to undertake terracotta production and Azulejos Tile production by hiring unemployed trained youth at Bicholim Production Centre on `piece meal basis be and is hereby approved."
 
"Resolved further that the proposal to start training courses in terracotta production at Bicholim Production Centre in order to nurture rural talent also be and is hereby approved."
     
"Resolved further that in principle, purchases of additional machinery required at Bicholim Production Centre like Potter's Wheel, Electric Oven be and is hereby also approved."
     

'Resolved further that the Managing Director be and is hereby authorized to do the needful in the matter."
     
TABLE ITEM (1) : Recruitment of 3 Salesmen on contract basis
     
M.D. informed the board that currently the activities of the Corporation have shown an increase both in the number as well as the turnover.
 
There has been an increase in the quantity of steel sold during this year as compared to the last financial year. The steel trade carried out by the Corporation is showing signs of revival and robust growth. Similarly, the Corporation has undertaken dealership of various agencies like plastic granules, D-link India, etc.

 

The Corporation is also actively organizing several events like Aparant Maand, Crafts Bazaar and also participates in exhibitions organized by Director of Art & Culture and other organizations, NGOs, etc. This has created a need for more manpower at the salesman level. In order to increase the marketing turnover of various products traded by the Corporation, it was decided to recruit 3 salesmen having the following qualifications and pay them a salary of Rs.4000/- p.m. The appointment would be purely on contract basis for initial period of one year.
   
(a) Minimum HSSC passed
   
(b) Having basic knowledge of Computers
   
(c) Knowledge of Konkani
   
(d) Having atlest 15 years residence in the state Goa
 
It was further informed that the note was moved on file and the approval of Chairperson was sought for carrying above recruitments. The interview of the short listed candidates was held on 12th March 2007 and the Selection Committee recommended the selection of the following candidates.
 
"Resolved further that the proposal to hire/appoint 4 Asstt Salesmen for marketing of steel on daily wage basis @ Rs.150/- per day plus incentives, be and is hereby approved."
 
`Resolved further that the Managing Director be and is hereby authorized to do the needful in the matter."
     

TABLE ITEM NO.2: Approval for marketing cashew nuts through GHRSSIDC
     
M.D. informed the Board that the GHRSSIDC has a mandate for promoting small scale and rural industries in the state of Goa. As a part of this endeavor, it has been observed that the smaller cashew processing units need to be provided marketing support in order to enable them to meet the challenge posed by the larger companies. The smaller units face a crunch in the working capital and are handicapped due to their over dependence of the middle man / traders.
     
He therefore proposed that the GHRSSIDC may empanel cashew processing units located in Goa and commence the marketing of their products through its emporia. The GHRSSIDC will market the cashew nuts under its brand name "APARANT" and will also mention the name of the manufacturer on the label.

 

Only authentic Goan processed cashew nuts will be marketed. Help of the Goa State Horticulture Corporation will be sought in identifying original Goan cashew nuts so as to provide a boost to the brand value of cashew nuts produced in Goa. The Corporation also proposes to provide an advance to the cashew manufacturers to meet their working capital and other requirements. The interest rate on such advance may be decided by the Managing Director as per the prevailing trend.
     
Mr. Girish Chodankar informed that the Goa Horticulture Corporation of which he is the Chairperson, had already convened a meeting of the Cashew Manufacturers and Govt. Officials to discuss about this issue. He mentioned that his Corporation (GSHCL) was trying to work out the modalities of cashew certification. Mr. Savio De Souza desired to know whether this will increase the cost of Goan cashewnuts and make them more expensive. Finally the Board decided that the GHRSSIDC may take up cashew marketing by empanelling units registered in the state of Goa and providing them marketing support by marketing cashews within the state and abroad under the brand name of APARANT. The Board authorized the M.D. to take all the necessary steps in the matter and passed the following resolution.
     
RESOLUTION NO.1030  
     
"Resolved that the proposal to empanel cashew processing units located in Goa for marketing of their products through the Corporation's emporia under the brand name "APARANT" be and is hereby approved."
     
"Resolved further that the Corporation may take the help of Goa State Horticulture Corporation in identifying the original Goan cashew nuts."

"Resolved further that the Managing Director be and is hereby authorized to do the needful in the matter."
     
TABLE ITEM NO.3: Finolex Dealership
     
M.D. informed the Board that approval was granted in the 106th Board Meeting that GHRSSIDC should take up the agency / dealership for PVC Pipes and allied material. Accordingly, market survey was done and it was decided to enter into dealership agreement with Finolex Pipes Ltd. since the company has currently 44% market share in Goa and has offered a handsome rate of margin which varies from 10% to 40%. The response of the company is also very good. No additional manpower will be required to take up the said agency. The products will be made available at the GHRSSIDC steel yards located in Verna and Bicholim. He therefore proposed that

 

  1) That the dealership of Finolex Pipes may be approved by the Board.
     
 
2)
The rate of commission chargeable to Government departments / autonomous bodies like PWD, Irrigation Department, GTIDC, etc. may be charged at the rate of 10% (exclusive of taxes).
     
 
3)
The Managing Director may be vested with the powers of determining the commission chargeable to private parties and Govt. organizations.
     
 
4)
Approval may be given for putting up a shed along with racks at Verna and Bicholim Yards for storing the pipes and allied products of Finolex.
     
Mr. Savio De Souza mentioned that it was his personal opinion that Finolex Products are more expensive and he therefore felt that the Corporation should also look at the option of other manufacturers of PVC Pipes and allied material. The Board unanimously approved this suggestion and decided that the GHRSSIDC should also deal with products of other companies like Prince Supreme, etc. The board approved the proposal put forth by the Managing Director on points 1 to 4 mentioned above and authorized the M.D. to take all the necessary steps in obtaining dealerships of alternative manufacturers and passed the following resolution.
     

RESOLUTION NO 1031  
     
"Resolved further that the proposal to obtain the dealership of Finolex Pipes Ltd. / Prince, Supreme , etc. be and is hereby approved."

 

"Resolved further that the proposal to charge the commission I service charges @ 10% to Govt. departments like PWD, Irrigation, GTIDC,GSIDC, etc. be and is hereby approved."
 
"Resolved that Managing Director be authorized to determine the commission charges to private and Govt. organizations other than PWD, Irrigation, GTIDC, GSIDC."
     
"Resolved further that the Managing Director be and is hereby authorized to do the needful in the matter."
     

 

ANY OTHER MATTER
 
The Board noted with satisfaction the successful organization of Crafts Bazaar at Bodgeshwar Temple Ground at Mapusa. The Board felt that the dates of the Crafts Bazaar should be changed from March to November/December/January/ February months and that a letter to this effect should be sent by the GHRSSIDC to the office of DC(handicrafts). M.D. assured that this would be accomplished. The Board further resolved that Gandhi Shilp Crafts Bazaar be held at Bodgeshwar Temple Grounds at Mapusa and the same should be communicated to DC (Handicrafts) New Delhi. The probable dates for the crafts
 
Bazaar could be 10th to 19th December or 6th to 15th February.
 
The meeting ended with a vote of thanks to the chair.