Global advisor for MUL disinvestment to be finalised

By Our Special Correspondent

NEW DELHI, OCT. 18. The Union Government will shortly finalise a global advisor to help in disinvestment of Maruti Udyog (MUL) while six accountancy firms have already been shortlised for appointment as valuers. It has also finalised a Rs. 400 crore preferential capital issue as part of the disinvestment process of the joint venture automobile company.

This was disclosed here today by the Heavy Industries Minister, Mr. Manohar Joshi, during the Economic Editors Conference. He said three Indian and three foreign chartered accountancy firms have been shortlisted, out of which one Indian and two foreign firms are to be selected. The shortlist includes Bansi Mehta and Co., S. B. Billimoria and Co and C. C. Choksi and Co. as well as KPMG, Ernst and Young and Arthur Andersen.

Mr. Joshi also stated that the Government will soon bring out a white paper on the status of Central public sector enterprises that come under Heavy Industries Department. He said the paper had already been finalised and would serve as a road-map for the activities of the department. It would be sent to the Cabinet shortly for its approval.

On the automobile policy, he said it would be comprehensive and examine the future development of the sector while specifying threshold investment norms for foreign auto companies. He stressed that it would take into account the concerns of globalisation and promote competitiveness of the domestic auto industry. In addition, it would be fully compatible with norms laid down by the World Trade Organisation.

Mr. Joshi assured that the proposed auto policy would take care of research and development concerns and the testing facilities would be equipped with labs for the purpose. He also said a Rs. 750 crore project for establishing three testing facilities had been cleared. The first centre would be located in Pune while two other centres would be set up near Delhi and the fourth most likely in Chennai.

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Section  : Business
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