Question : INVESTMENT IN SICK TEXTILE UNITS



(a) whether more than 25 percent units of textile industry in the country have been estimated as sick units since this industry is passing through a miserable condition;

(b) if so, the details thereof;

(c) whether the Government have found out the amount invested by the financial institutions in these sick units; and

(d) if so, the amount invested therein and the details of the investment made in the sick units under the public sector and the private sector, separately?

Answer given by the minister

MINISTER OF STATE FOR TEXTILES (SHRI V. DHANANJAYA KUMAR)

(a) & (b) Since textile industry is predominantly in the decentralised sector consisting of a number of segments, it is not possible to compile the information with regard to the total number of textile units in the country and the number of such units sick. However, as on 31-1-2002, 650 cases of textile mills have been registered with Board for Industrial and Financial Reconstruction (BIFR) under the provision of Sick Industrial Companies (Special Provision) Act 1985; out of which 317 cases have been disposed off.

(c) & (d) As per the information furnished by Reserve Bank of India, number of sick textile units in SSI and Non-SSI sector, as on 31-3-2001 financed by scheduled commercial banks is as under :

Sr. No. Particulars	No. of Units Amount Outstanding (Rs. Crore)
1. Non-SSI Textile units (sick) 564 3362.49

2. SSI Textile units (sick) 20315 489.98


The break up of Non-SSI sick textile units is given below :
Sr. No. Sector Number Amount
1. Public 92 436.27

2. Private 457 2848.26

3. Joint 9 66.76

4. Co-operative 6 11.20
Total 564 3362.49


As per the report on Development Banking in India by IDBI for the year 1999-2000, at the end March 2000, Rs. 722 Crore loan amount is outstanding in respect of 139 sick textile companies registered with BIFR. This information relates to IDBI, IFCI and ICICI.