Government considering non-plan loan to 8 sick CPSEs: Praful Patel

NEW DELHI: The government today said a proposal to provide non-Plan loan to eight sick central public sector enterprises (CPSEs), including Hindustan Cables and NEPA Ltd, is under inter-ministerial consideration.

"A proposal for providing non-Plan loan to eight such CPSEs, which are not able to pay salary and wages to their employees, for payment of wages for the period from April 1, 2012 to September 30, 2012, is under inter-ministerial consideration," Minister of Heavy Industries and Public Enterprises Praful Patel said in a written reply to Lok Sabha.

These eight PSUs include Hindustan Cables, HMT (Watches), HMT Chinar Watches, Nagaland Pulp and Paper, Triveni Structurals Ltd, Tungabhadra Steel Products, Nepa Ltd and HMT Bearings, he added.

Replying to another query, Patel said the Board for Industrial and Financial Reconstruction (BIFR) has suggested various measures for revival of sick industrial CPSEs.

Of the total number of 64 CPSEs referred to BIFR since 1992, only 45 CPSEs are operating. The remaining 19 PSUs are either closed or have ceased to be a CPSE, he said.

Out of the 45 PSUs, BIFR sanctioned revival schemes in 15 cases which include financial restructuring, business restructuring (including disinvestment) and manpower rationalisation.