labels: industry - general
Government to grant navratna status to seven more CPSUsnews
19 June 2007

Mumbai: The government will give navratna status to seven more public sector companies that include Hindustan Aeronautics Ltd, National Aluminium Co and Power Finance Corp, minister for heavy industries Santosh Mohan Dev said.

A high-level committee had recommended granting navratna status to HAL, NALCO, PFC, Bharat Electronics Ltd, National Mineral Development Corporation, Power Grid Corporation of India and Rural Electrification Corporation Ltd, the minister said.

Addressing a meeting of the Bengal National Chamber of Commerce & Industry in Kolkata, he said the government would ensure that these PSUs induct independent directors on their boards before granting navratna status.

With these, the number of Navratna CPSUs under the heavy industry ministry would go up from nine to 16.

Oil and Natural Gas Corp, NTPC Ltd, BHEL and Indian Oil are among the nine existing Navratna companies.

He said the government would not sell any profit-making enterprises to private parties. "We are interested in selling only sick companies," Dev said, adding that the Board for Reconstruction of Public Sector Enterprises (BRPSE) had identified 75 sick CPSUs, out of which 43 units had been earmarked for revival.

The government, he said, had already approved revival packages for 23, involving financial assistance of Rs7,660 crore.

Dev said the ministry had approved revival and restructuring of four PSUs - Andrew Yule & Company, Bridge & Roof, BBJ Construction Company Ltd and Braithwaite & Company Ltd.- all in West Bengal.

He said while the issue of revival of Burn Standard, Dev would be sent to the cabinet for approval, three companies - Braithwaite, Tyre Corporation of India and Burn Standard - had already started paying wages and salaries from their own resources.

The government was considering payment of salaries of Bharat Opthalmic Glass Ltd in Durgapur, he added.

The government would shortly hand over National Instruments Ltd to Jadavpur University, but with a rider that the university cannot sell land occupied by the company.

While a number of private sector companies had expressed their interest in acquiring the assets of the closed MAMC in Durgapur, he said, the government was keen to sell its residual stake in Jessop & Company.

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Government to grant navratna status to seven more CPSUs