THE MINISTER OF STATE IN THE MINISTRY OF FINANCE (SHRI BALASAHEB VIKHE PATIL) :
(a), (b), (d) and (e) As reported by Board for Industrial and Financial Reconstruction
(BIFR) 2894 references from private sector companies and 174 from public sector companies
(74 Central Public Sector Undertakings (CPSUs) and 100 State Public Sector Undertakings
(SPSUs) have been received and registered with the Board under the provisions of the Sic
Industrial Companies (Special Provisions) Act, 1985. Out of these, rehabilitation schemes
were sanctioned for the revival of 551 private sector sick companies and 52 public sector
sick companies (24 CPSUs and 28 SPSUs).
The BIFR has dismissed cases of 626 companies as non-maintainable [including 595 private
sector sick companies and 31 public sector companies (5 CPSUs and SPSUs). The BIFR has
recommended 708 private sector companies and 33 public sector companies (11 CPSUs and 22
SPSUs) for winding up to the concerned High Courts u/s 20(1) of the Act. In accordance with
the practices and usages customary amongst public financial institutions and in conformity
with the provisions of statutes governing public financial institutions as also the
provisions of public Financial Institutions (obligation as to Fidelity and Secrecy)
Act, 1983, further details relating to individual constituents cannot be divulged.
A State-wise break-up of these 3068 sick companies registered with the Board is given in
the enclosed statement.
(c) BIFR has reported that following factors caused delay in disposal of cases by the Board.
need to give an opportunity to all interested parties,hesitation on the part of banks and
financial institutions to increase their exposures in the sick company.
# requirement of obtaining of consent of all the agencies involved in the rehabilitation.
# non-compliance or delayed compliance with the direction of the Board by the sick
companies, operating agencies and financial institutions/banks.
