Squeezing PSUs

Demanding second interim dividend is bad optics

State-owned oil major Indian Oil Corporation (IOC) has declared it would pay a second interim dividend of over Rs 1,400 crore. The government owns just under 54 per cent in IOC, and will thus get over half that amount. The government has reportedly also demanded a second interim dividend from ONGC, which was initially unwilling to pay but has announced a board meeting in the next few days to pay what the government demands. ONGC had quite reasonably complained that it had just handed out an interim dividend, and therefore it was not as if it was swimming in cash;