Shourie plays the VRS card to speed up divestment

NEW DELHI: The disinvestment ministry has sought early settlement of outstanding dues of employees of five PSUs that are in advanced stage of privatisation. The five PSUs in question are Hindustan Copper, Instrumentation, Jessop, Nepa and Tungabhadra Steel Products.
At a meeting of the group of ministers here today, the disinvestment ministry suggested that dues of employees should be cleared only after the closure of the PSUs is worked out.
The disinvestment ministry has so far returned eight PSUs to the heavy industry ministry due to lack of buyer interest. These include Scooters India, Leather Corporation, Bharat Brakes and Valves, Praga Tools and Bharat Pumps and Compressors. Other PSUs returned for want of buyers are Hindustan Insecticide, National Industrial Development Corporation.
Hindustan Copper’s privatisation has been held up due to bidders’ demand for further financial revamp.
The government is to take a final view on the issue soon. Similarly financial restructuring package is under preparation for Tungabhadra Steel Products. Jessop’s sell-off will be finalised once the Kolkata High Court takes a decision on the writ petition filed by the staff association.
Ruia Cotex has already emerged as a successful bidder for the company with a bid of Rs 18.2 crore. As for Nepa, the central government has decided to invite fresh bids after it rejected the lone bid it received last year.