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      Question

      The Stand Up India Scheme was launched on April 5, 2016

      to promote entrepreneurship among SC/ST and women. Consider the following cases: I. Meena, a woman from a general category background, wishes to set up a new garment manufacturing unit. She applies for a Stand Up India loan of Rs. 45 lakh. II. Raju, who belongs to the Scheduled Caste community, has an existing successful restaurant and wants to take a loan under Stand Up India to expand it to a second outlet. III. Priya and Sunita are co-founders of a new service company where Priya (an SC entrepreneur) holds 52% of the equity stake. The firm applies for a Stand Up India loan. Which of the above applicants or entities are eligible for Stand Up India?
      A I and III only Correct Answer Incorrect Answer
      B I and II only Correct Answer Incorrect Answer
      C Only I Correct Answer Incorrect Answer
      D II and III only Correct Answer Incorrect Answer
      E I, II and III Correct Answer Incorrect Answer

      Solution

      Stand Up India provides composite loans between Rs. 10 lakh and Rs. 1 crore to at least one woman and one SC/ST borrower per bank branch for greenfield enterprises meaning new businesses being started for the first time. Statement I is correct Meena is a woman entrepreneur applying for a greenfield manufacturing unit; Rs. 45 lakh is within the prescribed range. She is eligible. Statement II is incorrect Raju is seeking funds to expand an existing business, not to start a new one. Stand Up India covers only greenfield (first-time) enterprises, not expansion of existing ones. Raju is ineligible. Statement III is correct in a non-individual enterprise, the scheme requires that at least 51% of the controlling stake be held by a woman or SC/ST entrepreneur. Priya holds 52%, which satisfies this condition. The entity is eligible.

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