He was speaking at a function here on Monday organised jointly by the regional office of the Textile Ministry and Gujarat Workers' Welfare Board to distribute over Rs 5 crore to 1,479 workers of seven closed textile mills for their rehabilitation.

Rana said the proposal has been sent to the Finance Ministry, and after it is cleared, it will benefit many retrenched workers. He also said the Textile Ministry has given an interim raise of Rs 500 per month in the salary of National Textile Corporation workers, even though the matter was pending in the Supreme Court.

He said TWRF was not paid for years together as successive Governments at the Centre were diverting the fund to other fields. In 1997-98, the BJP-led Government at the Centredeposited Rs 16 crore in the fund, out of which Rs 11 crore has gone to the workers in Gujarat, he said.

He said that a sufficient amount has been collected by now in the fund, but the Government is waiting for more applicants to come forward and stake claim. Rana said the Textile Ministry has released Rs 7.15 crore for eligible workers of Gujarat. Out of this, approximately Rs 5 crore was distributed on Monday to 1,479 workers of seven closed mills and the rest will be distributed to late claimants.

Rana said Rs 28,000 crore was also being released for the Technology Upgradation Fund (TUF). He accepted the suggestion of former MP Harin Pathak that closed mills and sick units should also get TUF.

Acting Chief Minister and State Industries Minister Suresh Mehta said the State Government was coming out with schemes which would help the retrenched textile workers to find jobs in other fields.

The seven closed mills are Ambika Mills, Amrita Mills, Ahmedabad Commercial Mills, Rustom Mills, New RajpurMills, Arbuda Mills and Patel Mills.

Rs 110 crore has been given uptil now for the rehabilitation of the workers of closed mills all over India, out of which Gujarat has got more than Rs 81 crore for its 38,729 retrenched workers.