Hindustan Prefab signs MoU with Min of Housing

New Delhi: Hindustan Prefab Limited (HPL), a loss-making PSU, on Friday signed a Memorandum of Understanding with the Ministry of Housing and Urban Poverty Alleviation with an aim to revive the company.

HPL, engaged in civil construction including housing, was declared a sick PSU by the previous NDA government and was not allowed to sign any contracts.

Hindustan Prefab Chairman and Managing Director Jaiveer Srivastavaa and HUPA secretary Ranjit Issar signed the MOU, under which the company will be allowed to take contracts.

The previous government had decided to disinvest its stake in the company but the UPA coalition run government under its Common Minimum Programme (CMP) has agreed to support the company in its revival, HPL CMD Jaiveer Srivastavaa said.

HPL is a sick PSU with a capital base of Rs 6.97 crore and accumulated government loans to the tune of Rs 111 crore.