March 14, 2016
Sultan Ahmed speaks in LS during Question Hour regarding Startup India programme
In reply to my question, the hon. Minister has stated that for Startup, she is providing funding support through a Fund of Funds with a corpus of Rs. 10,000 crore. In our country, a lot of scams has come up and now, Mallya gate scam is going on. We have seen 2G; we have seen SATYAM; and we have seen mining scam also. In the Budget speech, the hon. Finance Minister has said that Startup will generate employment, bring innovation, and are expected to be the key partners in ‘Make in India’ programme. The shining of ‘Make in India’ programme is also coming down. There is no shine at all.
The hon. Finance Minister in his Budget allocated only Rs. 1,100 crore for Start up and Standup. In your reply, you have stated that you are providing funding and support through the Fund of Funds with a corpus of Rs.10,000 crore. We have seen in the past Beti Bachao Programme. The Government has allotted only Rs.100 crore. But this year, no fund has been allocated at all.
The Government has given only three years moratorium. There will not be any taxation. But this type of business or Startups will take a minimum of five to seven years to stand on their own feet. How would the Government save those investors who would invest in Startup programme? They would lose money from the investors, angel investors, bankers and financial institutions. What is the thinking of the Government in providing protection to them?