Government in action regarding irregularities in FAME II scheme will recover money along with action

The government is going to take major action regarding the forgery under the FAME-II scheme. The government will issue notices to companies found violating localization norms under the Rs 10,000-crore FAME-II scheme.
Apart from this, the government is also demanding the recovery of incentives claimed by them since the financial year 2019-20.
Apart from the action, the government is going to start the distribution of subsidies once again under the FAME-II scheme. The subsidy distribution will be done by the Ministry of Heavy Industries.
The subsidy is being introduced from the fee as reports of most of the firms have been received under the purview of ICAT and ARAI audits by India's premier vehicle testing and verification agencies.
To address these complaints, the Ministry of heavy industry received complaints regarding the misuse of subsidies by some EV manufacturers in the government-run FAME II scheme, after which the Ministry asked testing agencies to test companies found to protect consumers. Was asked to investigate the case.
According to sources, the government has recently sent notices to debar Okinawa Autotech and Hero Electric from the FAME-II scheme and also sought recovery of claimed incentives from the financial year 2019-20 as both companies were not eligible for the scheme. was found to be violating the localization norms under.
Both these companies have denied all the allegations leveled by the government. Okinawa said it has not received any notice from the government to return the subsidy. Okinawa, in its stand, said the company has always followed government policies.
Hero Electric said that it has received a letter referring to bikes manufactured 3 to 4 years back, but it has been found that its bikes fully comply with the FAME localization guidelines and hence the company will not give a refund to the government.
The FAME II scheme started on April 1, 2019, for a period of three years, which was further extended for a further period of two years till March 31, 2024. The scheme is specifically aimed at the segments of electric three-wheelers (e-3W), electric four-wheelers (e-4W), and electric buses for public and commercial transport. The total outlay for FAME Scheme Phase II is Rs 10,000 crore.