Lok Sabha Question No. 1626 (UNSTARRED), answered on 2018-03-06
Subject: Sale of Assets
Ministry: CHEMICALS AND FERTILIZERS
Asked by: Adhikari Dibyendu

## GOVERNMENT OF INDIA MINISTRY OF CHEMICALS AND FERTILIZERS DEPARTMENT OF CHEMICALS AND PETROCHEMICALS

LOK SABHA UNSTARRED QUESTION NO. 1626 TO BE ANSWERED ON 06.03.2018

## Sale of Assets

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## 1626.  SHRI DIBYENDU ADHIKARI :

Will the Minister of CHEMICALS AND FERTILIZERS be pleased to state:

- (a) Whether Government proposes to sell assets and lands of the sick and closed PSUs;
- (b) if so, the details of assets and lands of closed Central PSUs thereof;
- (c) Whether  the  Government  has  received  any  proposal  under  PPP  mode  to    sell  or lease out the said lands and assets;
- (d) if so, the details thereof along with the initiatives taken by the Government in this regard; and
- (e) the steps taken so far by the Government to pay the dues of the State Government borne towards maintenance and other expenses till date?

## ANSWER

## MINISTER OF STATE INDEPENDENT CHARGE FOR MINISTRY OF PLANNING AND MINISTER OF STATE IN THE MINISTRY OF CHEMICALS AND FERTILIZERS (RAO INDERJIT SINGH)

(a)& (b):    So  far  as  Department  of  Fertilizers  is  concerned,  Fertilizers  and  Chemicals Travancore Ltd. (FACT) and Madras Fertilizers Ltd. (MFL) are loss making companies but  not  a  closed  Central  PSUs.    As  a  part  of  financial  restructuring,  FACT  sought approval  for  sale/leveraging  of  651.479  acres  of  land  held  by  the  Company.    Out  of which  481.790  acres  of  land  for  transfer  to  Government  of  Kerala  and  remaining 169.689 acres of land for transfer to BPCL-Kochi Refinery. MFL has also earmarked 70 acres land for monetization to CPCL.

Regarding Department of Pharmaceuticals, the Union Cabinet in its meeting held on 28.12.2016  has  decided  to  close  two  Pharmaceuticals  companies,  namely,  Indian Drugs and Pharmaceuticals Ltd. (IDPL) and Rajasthan Drugs and Pharmaceuticals Ltd. (RDPL) and strategically sell Bengal Chemicals and Pharmaceuticals Ltd. (BCPL) and Hindustan Antibiotics Ltd. (HAL) after meeting their liabilities from sale of their surplus land. The land details of PSUs under closure are as under:-

-  IDPL:-  Hyderabad  (890.34  acres),  Rishikesh  (834  acres)  and  Gurgaon  (89.79 acres)
-  RDPL:- 9.35 acres at Jaipur

The surplus land of PSUs under Strategic sale are as under:-

-  HAL:- 87.71 acres at Pune
-  BCPL:- 25.01 acres at Kolkata

The complete valuation other assets of the PSUs has not yet been done.

Regarding Department of Chemicals & Petrochemicals, as on date, Government / CCEA approved restructuring plan of Hindustan Organic Chemicals Limited (HOCL). As per  this  restructuring  plan,  all  plant  operations  at  Rasayani  unit  of  HOCL  has  been closed down except N204 plant which has been transferred to the Department of Space / ISRO. The restructuring plan inter alia includes sale of 442 acres land at Rasayani to Bharat Petroleum Corporation Limited (BCPL) and disposal of other encumbrance free land and assets (except land & assets associated with N204 plant to be transferred to ISRO) of Rasayani Unit in accordance with DPE guidelines.

Details of land and other assets of Rasayani Unit of HOCL are as follows:

- i. Land  (with  7/12  extracts  in  HOCL's  name)  in  various  parcels  and  of different  use  at  Rasayani,  Panvel  and  Khargar  totalling  approx.  1005 acres.
- ii. Plant, machinery and buildings
- iii. Nestle Flats, Mumbai
- iv. Office premises at Baroda
5. (c)  -  No, Madam.
6. (d)  - Does not arise.

(e) The Government has decided to first meet all the liabilities of these companies before  their  closure/strategic  sale.    The  restructuring  plan  of  Hindustan  Organic Chemicals Limited (HOCL) has provision for payment of company's outstanding dues towards  local  taxes,  electricity  and  water  charges,  etc.  to  the  authorities  concerned under the state Govt. of Maharashtra. The company has made the following payments to the Govt. of Maharashtra towards outstanding dues of the Rasayani Unit:

- i. Rs. 0.77 crore for Non Agricultural Land Taxes for the years 2016-17 and 201718.
- ii. Rs. 9.36 crore for electricity dues for the year 2017-18.
- iii. Rs. 2.15 crore for water dues for 2017-18.

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## MOST IMMEDIATE Provisionally ADMITTED QUESTION

F.No. Co-14012/3/2018-Coord-CPC Government of India Ministry of Chemicals & Fertilizers Department of Chemicals & Petrochemicals

New Delhi, dated the 27.3. 2018.

## OFFICE MEMORANDUM

Subject:- Admitted Unstarred Question for the Lok Sabha No. 1626 for answer on 6.3.2018 - regarding Sale of Assets .

The undersigned is directed to forward a copy of Lok Sabha admitted USQ No. 1626 on the above subject and to request all concerned to furnish the requisite material pointwise for framing necessary reply.

2.         It is requested that necessary material may be provided to the section alongwith a soft copy at e-mail address taneja.neelam@gov.in by 28.02.2018 (FN) positively.

Encl: As above

To

1.  Director (PC-I) / Dir (CH-II)
2.  Director (PSU) (Shri Niranjan Lal)

Department of Fertilizers, New Delhi

3.  E.A. (Shri Dinesh Kapila) Department of Pharmaceuticals, New Delhi

(Neelam Taneja) Section Officer (Coord)

## F.No. Co-14012/3/2018-Coord Government of India Ministry of Chemicals & Fertilizers Department of Chemicals & Petrochemicals

Subject:- Admitted Unstarred Question for the Lok Sabha No. 1626 for answer on 6.3.2018 - regarding Sale of Assets .

FR is a Lok Sabha admitted USQ No. 1626 on the above subject. It has been allocated to  Department  of  Chemicals  and  Petrochemicals for  co-ordination and submitting the reply to the MOS (C&F)/MCF.

2.       We  may  forward  a  copy  of  this  OM  to  all  the  Divisions  in  the  Deptt.  of Chemicals & Petrochemicals, Department of Pharmaceuticals and D/o of Fertilizers with the request to furnish the requisite information called for therein alongwith a soft  copy  at  e-mail  address taneja.neelam@gov.in to  Coordination  Section  by 28.2.2018  (FN) positively.
3.         An OM is put up for kind consideration please.

Submitted please.