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Friday, October 19, 2001



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Six firms shortlisted for Maruti valuation

Our Bureau

NEW DELHI, Oct. 18

THE Government has shortlisted six firms of chartered accountants and international consultants from which three would be selected as valuers of Maruti Udyog Ltd (MUL) during the disinvestment process of Government holding in the car manufacturer.

Out of the three one would be an Indian valuer, while the other two would be foreign.

The six include three Indian chartered accountancy firms -- Bansi Mehta & Co, S.B. Billimoria and Co and C. Choksi and Co. The international consultants selected for the process are KPMG, Ernst and Young and Arthur Anderson Associates.

Disclosing this at the Economic Editors Conference here on Thursday, the Minister for Heavy Industry and Public Enterprises (MoHIPE), Mr Manohar Joshi, said that the selection of the valuers are expected to be done shortly.

On the long-awaited auto policy, Mr Joshi said that the policy would be taken up by the Cabinet shortly. He said that the policy would make the auto sector fully compatible with the World Trade Organisation (WTO) regime.

It would also seek to address the concerns of globalisation and to facilitate indigenous design and development.

Mr Joshi hinted that the Ministry would not push for disinvestment in Bharat Heavy Electricals Ltd (BHEL) as per the suggestions of the Disinvestment Commission. ``BHEL can be categorised as a strategic unit because of its importance for the power sector ,'' Mr Joshi said.

The Minister said that public sector reforms would receive high priority. The reforms would include restructuring and reviving potentially viable PSUs, closing down unviable undertakings, bringing down Government equity in all non-strategic units to 26 p er cent or lower and to protect the interests of the workers.

Replying to a query, the Secretary, MoHIPE, Mr Ravindra Gupta, said that the Government had not agreed to suggestions by a section of the profitable PSUs to be allowed to give higher compensation under the voluntary retirement scheme.

Reuters adds: Special attention will be given to small car makers through the new automobile policy, Mr Joshi said on Thursday.

``Cars less than 3.8 metres in length will require special attention since they are the mainstay of our industry,'' he told reporters while describing the Government's new auto policy. Though he declined to elaborate, he hinted at possible tax incentives .

Related links:
Suzuki approval for Maruti road-map has Shourie upbeat
Valuers, advisor soon for Maruti sell-off

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