Lok Sabha Question No. 1064 (UNSTARRED), answered on 2017-07-21
Subject: Disinvestment of BEML
Ministry: DEFENCE
Asked by: M. B. RAJESH, (ADV.) JOICE GEORGE, P.K.SREEMATHI TEACHER

## GOVERNMENT OF INDIA MINISTRY OF DEFENCE

## DEPARTMENT OF DEFENCE PRODUCTION

## LOK  SABHA UNSTARRED QUESTION NO.1064

TO BE ANSWERED ON THE 21 ST  JULY, 2017

## DISINVESTMENT OF BEML

1064.  SHRI M.B. RAJESH: ADV. JOICE GEORGE: SHRIMATI  P.K. SREEMATHI TEACHER:

Will the Minister of DEFENCE j{kk ea=h be pleased to state:

- (a) the present status of disinvestment of Bharat Earth Movers Limited (BEML) along with  the  amount proposed to be mobilised through  the  sale of Government  equities  in BEML;
- (b) the total assets of BEML with the breakup of extent of land and other assets;
- (c) whether BEML is a profit making PSU; and
- (d) if  so,  the  details  of  profits  made,  dividend  and  taxes  paid  to  the  Government during the last ten years?

## A    N    S    W    E    R

MINISTER OF STATE IN THE MINISTRY OF DEFENCE

(DR. SUBHASH BHAMRE)

र  ा रा य मं ी

(डा. सुभाष भामरे)

- (a) The Government  has  given 'in-principle' approval for strategic disinvestment of BEML  Ltd to the extent of 26% of Government shareholding  with  transfer  of  management  control  to  strategic  buyer. Transaction Advisor, Legal Advisor and Asset Valuer have been appointed by the Government as per the procedure and mechanism laid down for this purpose. After completion of the process, specific approval of Government will  be  sought  again.  The  amount  to  be  mobilised  through  the  sale  of Government Equities in BEML can be known only after completion of the process.
- (b) The details are given at Table 1 of Annexure-A.
- (c) & (d): Yes, Madam. The details are given at Table 2 of Annexure-A.

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## ANNEXURE-A REFERRED IN THE REPLY GIVEN IN PART (b) OF LOK SABHA UNSTARRED QUESTION NO. 1064 FOR ANSWER ON 21.7.2017

## Table 1 :

- (b) Breakup of extent of land and other assets of BEML Ltd as on 31.03.2017:

| Particulars                                                                            | Gross carrying value (Rs. in Crore)   | Accumulated Depreciation (Rs. in Crore)   | Net carrying value (Rs. in Crore)   |
|----------------------------------------------------------------------------------------|---------------------------------------|-------------------------------------------|-------------------------------------|
| (i)LAND (total 4191.56 acres) Free Hold ( 2696.63 acres ) Lease Hold ( 1494.93 acres ) | 12.86 80.39                           | - 0.65                                    | 12.86 79.74                         |
| (ii)OTHER ASSETS                                                                       |                                       |                                           |                                     |
| Buildings                                                                              | 151.35                                | 14.65                                     | 136.70                              |
| Plant and Equipment                                                                    | 272.41                                | 43.38                                     | 229.03                              |
| Furniture and Fixtures                                                                 | 4.74                                  | 2.08                                      | 2.67                                |
| Vehicles Given on lease Own use                                                        | 4.26 5.25                             | 1.06 1.22                                 | 3.20 4.03                           |
| Office Equipment                                                                       | 2.27                                  | 1.16                                      | 1.11                                |
| Road and Drains                                                                        | 15.33                                 | 6.12                                      | 9.21                                |
| Water Supply Installations                                                             | 2.38                                  | 0.09                                      | 2.29                                |
| Railway Sidings                                                                        | 8.69                                  | 1.99                                      | 6.70                                |
| Electrical Installation                                                                | 18.06                                 | 4.36                                      | 13.70                               |
| Jigs and Fixtures                                                                      | 15.63                                 | 6.28                                      | 9.34                                |
| Special Tools                                                                          | 10.22                                 | 5.25                                      | 4.97                                |
| Computers and Data processing units                                                    | 10.00                                 | 7.12                                      | 2.88                                |
| Total                                                                                  | 613.86                                | 95.42                                     | 518.44                              |

## Table 2 :

(c & d) :   Details of Profits made, Dividend and taxes paid to the Government during the last ten years:

(Rs. In Crore)

| Year    | Profit After Tax (PAT)   |   Dividend (Govt. Share) |   Contribution to exchequer (taxes) |
|---------|--------------------------|--------------------------|-------------------------------------|
| 2007-08 | 225.65                   |                    27    |                              595.63 |
| 2008-09 | 268.84                   |                    27    |                              580.34 |
| 2009-10 | 222.85                   |                    22.5  |                              688.25 |
| 2010-11 | 149.76                   |                    22.5  |                              657.92 |
| 2011-12 | 57.25                    |                    11.25 |                              682.58 |
| 2012-13 | (79.87)                  |                     5.63 |                              628.76 |
| 2013-14 | 4.68                     |                     2.25 |                              653.67 |
| 2014-15 | 6.76                     |                     2.25 |                              557.65 |
| 2015-16 | 53.15                    |                     9    |                              671.63 |
| 2016-17 | 72.55                    |                    18    |                              693.46 |

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