Thiruvananthapuram: Aiming at simplifying the procedures to launch an industrial startup, the Central Government has directed the State to decriminalise industrial disputes. The direction comes against the backdrop of criminal cases affecting the startups adversely.

It is directed that criminal cases be filed against industries only when they continue to flout laws even after receiving warning and paying fine. Hence the fine imposed on them is expected to be  huge. 

For the implementation of the direction, a total of 287 amendments should be made in 17 Sections of the Industrial Act. It is also directed to decide on how many times the industry should be warned before taking legal action. So an amendment in this regard also should be made in the State.

It is the Kerala State Industrial Development Corporation (KSIDC) that should implement the same. The Centre has dispatched letters to the KSIDC highlighting each Section of the Law and actions to be taken. On receiving its response, the Centre will be preparing a rough draft on the same.

The Kerala State Industrial Development Corporation (KSIDC) should implement the plan. The Centre has sent letters to the KSIDC, highlighting each section of the law and the necessary actions to be taken. Upon receiving a response from the KSIDC, the Centre will prepare a draft based on the feedback.

Other significant amendments recommended

  • A system to track the  applications submitted for startup launch, renewal of licenses, amendments etc.
  • A single window website to display the time taken by officials to initiate action in each application.
  • Making available online the revenue records of 20 years at the time of registration of the land which is bought for industrial purposes. For the same, revenue records should be digitised. Steps should also be taken to display online the change of ownership if any.
  • No separate applications for Centre and State approval. To make it feasible, both the Central and State sites should be linked.