Published On:April 9 2016
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Government waiting for EC clearance on SPV.
The State Government has written to the Election Commission seeking clarification on issuing orders for formation of Special Purpose Vehicles (SPV) that will execute the Smart Cities Project in Chennai and Coimbatore.
Officials said that with the model code of conduct in place, the Government had written asking if it could go ahead to notify the formation of companies.
The notification would lead to the finalisation of the articles of association of the company, the special purpose vehicles that would implement the schemes.
In Coimbatore, officials said that they had forwarded the articles of association to the Government for clearance.
The officials also said that the State Government had planned to form the company (SPV) with the Centre and State having 50 per cent equity each.
The Central Government had, however, suggested inclusion of private players.
The Coimbatore corporation had submitted the articles of association well in advance.
Plus, there was no deadline to submit the same, the officials clarified.
Only after the articles of association were approved, will the Corporation be able to structure the verticals in the company.
Until then every information would be only in the realm of speculation,
The Central Government had selected Coimbatore to be one of the Smart Cities. The corporation has plans to tap funds under various schemes of the Central and State governments for implementing the projects.