(a) whether UTI had some time back assured repurchase of all units of Rs.12/- and give a dividend of atleast @ 10 percent in July last year;
(b) if so, whether the Government have also undertaken to meet the shortfall;
(c) if so, the action taken to protect the interest of all small investors in UTI; and
(d) the outcome thereof?
MINISTER OF STATE IN THE MINISTRY OF FINANCE AND COMPANY AFFAIRS (SHRI ANANDDRAO V ADSUL)
(a) Government has assured a repurchase price of Rs. 12/-
upto 5000 units of US-64 in May, 2003 and thereafter.
UTI did not give any assurance to pay a dividend of
atleast 10 percent in July 2002.
(b) Yes, Sir.
(c) & (d) Investors of US-65 will be given an option of
five year, tax-free tradeable bonds in lieu of cash
payments at the time of redemption, Secondary market
trading in Units of US-64 has also commenced.