Concerned over the staggering Rs 2,100 crore (Rs 12 billion) statutory dues of ailing public sector undertakings in the midst of a cumbersome and time consuming winding up process, a Group of Ministers on Thursday asked the heavy industry ministry to look for a legal remedy in consultation with the law ministry.
"To the extent that there are certain legal differences that were referred to, the concerned ministry with the law ministry will look into it," Deputy Chairman of the Planning Commission K C Pant, who heads the GoM on statutory dues said after the meeting in New Delhi.
Without getting into specific details, he said that the GoM, which will meet again after six weeks, also decided that for any fresh decision the Cabinet will be consulted.
Official sources said that the meeting, attended by Heavy Industry Minister Balasahib Vikhe Patil and Law Minister Jana Krishnamurthy discussed the need for having in place a legal provision under, which PSUs referred to the Board for Industrial and Financial Reconstruction could be pulled out from its purview for expediting its liquidation.
The need for this has been felt in the wake of delay in repeal of the Sick Industries Company Act and mounting statutory dues, which were valued at over Rs 2,100 crore as per June 2002 data.
