Losses soil Indian along with 88 PSUs

New Delhi: Unable to face competition of a liberalised environment, as many as 88 Public Sector Undertakings have eroded networth due to heavy accumulation of losses till March 2005, a report of Comptroller and Auditor General of India (CAG) said.
"Their (88 companies) accumulated losses were Rs 82,001 crore against investment of Rs 14,469 crore as on march, 2005, making their networth negative," the CAG said in its report tabled in Parliament recently.
Given the aggregate networth, 88 PSUs have become negative to the tune of Rs 65,800 crore and CAG has expressed doubt over the recovery of loans amounting Rs 34,295 crore given by the centre to 58 companies. The PSUs whose equity capital has eroded includes eastern coalfields, Bharat Coking Coal, Konkan Railway Corporation, Fertiliser Corporation of India, Hindustan Fertilisers Corporation and Indian airlines.
29/05/06 PTI/Financial Express

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