People's Democracy

CITU Denounces Disinvestment Of NALCO And NLC
FM Following His Own Programme Overriding CMP

The Centre of Indian Trade Unions (CITU) general secretary Chittabrata Majumdar has issued the following statement on June 22, 2006

WHILE reiterating its strong opposition to creeping privatisation through disinvestment of profit making PSUs, the CITU denounces the UPA government’s decision to disinvest 10 per cent equity of National Aluminium Company Ltd. (NALCO) and Neyveli Lingnite Corporation.

The CITU notes with concern that despite the strong opposition of the employees, the trade unions, supporting parties of the government and in case of NALCO, even the union minister for mines himself who has publicly stated on June 20 that his ministry is against disinvestment of profit making PSUs, the finance ministry is pushing ahead its own agenda, which is neither ‘Common” nor “Minimum”. 

The CITU strongly feels, the ‘minimum’, the people expect from the government now, is to arrest the soaring price rise immediately, which is hitting the people. The ‘common’ programme for resources mobilisation is not sale of assets but recovery of income tax and corporate tax arrears, which has reached Rs 1,17,000 crore. The UPA government instead of addressing the priority issues is going ahead with asset-stripping exercise, overriding the nodal ministries and NCMP.

The earlier disinvestment of 12.85 per cent of NALCO had led to grabbing of 1.15 per cent share by its competitor HINDALCO and 2.91 per cent by FIIs. The CITU apprehends similar entry of FIIs, HINDALCO and Sterlite group of BALCO through the disinvestment process in NALCO.

The CITU therefore urges upon the government to desist from the disinvestment of profit making PSUs and to concentrate on bringing down the price of essential commodities and recover the tax arrears for revenue mobilisation. The CITU is confident that employees of NALCO & NLC and trade unions of all affiliates would give fitting reply to the process of creeping privatisation by the UPA government egged on by the union finance ministry. (INN)