Property Dispute Lawyer On Disinvestment of Sick PSUs

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Property Dispute Lawyer On

• Disinvestment of Sick PSUs

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Property Dispute Lawyer

• There are many public sector units performing
  badly and are liability on the government. To
  reduce the burden government is planning to
  entrust various sick units in Mumbai, Kolkata,
  Pune, Ahmedabad and other cities to state-owned
  National Buildings and Construction Corporation
  (NBCC), before selling off the chronically
  loss-making entities.
• NBCC, is developing real estate in Delhi has
  shown interest in prime plots owned by companies
  such as Bengal Chemicals, National Bicycle
  Corporation and Richardson Cruddas in Mumbais
  Worli and Byculla. Similarly, NBCC is looking for
  land owned by NJMC and other state-government
  entities such as Lilly Biscuits and WBWC in
  Kolkata, the eastern part of India.

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Property Dispute Lawyer

• NBCC chairman and MD Anoop Kumar Mittal said,
  the company has written to the disinvestment
  department and the Board for Reconstruction of
  Public Enterprises to enter into a partnership
  with some of the loss-making PSUs. Our interest
  goes beyond metros as we also want to look at
  tier-II cities.
• In addition, the company has initiated a dialogue
  with some of the companies to develop land.
  Government officials said NBCC has suggested
  various models, including direct sale of land and
  even joint ventures for the development of real
  estate. There are also suggestions of a holding
  company model, which will bring the sick
  companies under its fold, along with the staff
  and other assets and liabilities.

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Property Dispute Lawyer

• According to Mr. Kislay Pandey - Property Dispute
  Lawyer, the Supreme Court of India, Government
  cannot burn the losses for too long, management
  of sick unit is a problematic issue, therefore,
  disinvestment is the only option to reduce
  burgeoning liabilities and the new BJP government
  is searching ways to maximize the underutilised
  and idle resources. The BJP government is
  continuing with the UPAs disinvestment policy
  and it is good to make strategic disinvestment
  plan .
• Under the policy approved by the UPA, loss-making
  PSUs were to be put on the block but its a
  different matter that no action was initiated for
  a decade. But, before these companies are sold,
  the government will want to sell off its real
  estate so that it is not accused of handing over
  prime property at throwaway prices. Analysts,
  however, say that there may not be many takers
  for the sick companies minus the real estate.