(a) whether the Government have decided to make new UTI set up from February 1, 2003;
(b) if so, the details thereof alongwith the reasons therefor;
(c) whether the new management company will be successful in carving out of the trust with all the New Schemes;and
(d) if soT the details in this regard?
THE MINISTER OF STATE IN THE MINISTRY OF FINANCE AND COMPANY AFFAIRS
(SHRI ANANDRAO VITHOBA ADSUL):
(a) and (b) Under the provisions of the Unit Trust of India (Transfer of Undertaking
and Repeal) Act, 2002, the erstwhile Unit Trust of India has been bifurcated, with effect
from 1st February, 2003, into (a) the `specified undertaking` viz. UTI-!, comprising of
schemes mentioned in Schedule-I of the above Act and managed by government appointed
Administrator and (b) the `specified company` viz. UTI-II, comprising of NAV based schemes
mentioned in Schedule-I I of the above Act. Government decided to bifurcate UTI to ring
fence the liabilities on government with regard to US-64 and assured return schemes of UTI;
and to distance itself from the mutual fund activities of UTI which are regulated by SEBI.
(c) and (d) UTI-II has been set up as per SEBI regulations and will work accordingly.