Rs 900-cr disposed-off on CPSEs: Dev
These funds have been provided for payment of wages to almost 27,000 employees of sick public sector enterprises.
By TNN |
NEW DELHI: The UPA government has provided a budgetary support of Rs 901.38 crore to central public sector enterprises (CPSEs) between May 2004 and May 2006, the Minister of Heavy Industries and Public Enterprises Santosh Mohan Dev said on Thursday. These funds have been provided for payment of wages to almost 27,000 employees of sick public sector enterprises.
In May 2004, 26 companies under ministry of heavy industries were found to be sick and could not pay their salaries. "The number has now reduced to 15 on account of turnaround by a number of companies," the minister said. Companies that have started paying their statutory dues include Cement Corporation of India, HMT Bearings, Braithwaite & Co., Richardson & Cruddas, Bharat Pumps & Compressors, Praga Tools and Tyre Corporation of India.
The government had given funds worth Rs 517 crore to pay off salaries of PSUs in October 2004 and then given an additional Rs 150 crore for salary dues in August 2005. Of the Rs 125 crore sanctioned by the government on Thursday, about one third is earmarked for payment of salary dues of companies under the HMT group alone. These include HMT Ltd, HMT Machine Tools, HMT (Watches) Bangalore and HMT (Chinar Watches).
All PSUs combined together have recorded a profit of Rs 825 crore in 2005-06 for the first time since liberalisation, the minister added.
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