Cabinet clears strategic sale in Bharat Pumps

The union cabinet committee on economic affairs today cleared the ‘strategic sale’ of Public-Sector undertaking, Bharat Pumps and Compressors Ltd.

Bharat Pumps is the first PSU to be put for strategic sale by the Narendra Modi government. 

“The Cabinet has approved ? 111.59 crore as financial assistance for retired employees of Bharat Pumps and Compressors Ltd, Allahabad. It has also approved a proposal for discharging statutory dues such as provident fund and gratuity of retired employees as well as outstanding dues of CISF,” an official release said.

Bharat Pumps, under the Ministry of Heavy Industries and Public Enterprises, had posted a net loss of Rs 4,777 crore in 2014-15 and was recommended for revival and then disinvestment by the NITI Aayog in its report earlier this year.

The Centre has set a target of Rs 20,500 crore from strategic sale in loss-making and sick PSUs this fiscal. Last fiscal it has targeted to raise Rs 28,500 crore from strategic sale, but could not earn a single paisa. 

That apart, the Cabinet also approved a Finance Ministry proposal to set up a IT platform for rollout of GST from April 1. The project called Saksham has been pioneered by CBEC.