sitemapHome | Registration | Job Portal for CA's | Expert Exchange | Currency Converter | Post Matrimonial Ads | Post Property Ads
News shortcuts: From the Courts | News Headlines | VAT (Value Added Tax) | Placements & Empanelment | Various Acts & Rules | Latest Circulars | New Forms | Forex | Auditing | Direct Tax | Customs and Excise | ICAI | Corporate Law | Markets | Students | General | Mergers and Acquisitions | Continuing Prof. Edu. | Budget Extravaganza | Transfer Pricing | GST - Goods and Services Tax
Latest Expert Exchange
« Auditing »
 Supreme Court puts the spotlight on audit firms
 Auditing to be less of a burden as accountants embrace AI
 CAG's report on GST will be totally paperless
 Time Limit For Completion Of Assessment From The Date Of Special Auditor’s Report Under Income Tax Act, 1961
 Provisioning pertaining to Fraud Accounts
 Tax Audit Report (TAR) Certain exceptions and increased limits according to number of partners and considering nature of activity are desirable
 Cost Auditing Standards [ Cost Audit Documentation (102)] – Part-II
 Conference on Companies Act gets under way
 New bureau to dissolve state-run banks' power to choose auditors
 Foreign Exchange Management (Permissible Capital Account Transactions) (Fourth Amendment) Regulations, 2015
 ICAI forms 'prima facie' view on NSEL auditor

CAG wants closure of non-functional PSUs
March, 24th 2010

Comptroller and Auditor General of India has recommended to close down 10 non-functional state-owned public sector undertakings (PSUs) as they do not serve any purpose.

In its report tabled today in the state Assembly, the CAG said, The process of voluntary winding up of the Companies Act is much faster and needs to be adopted/pursued vigorously. The government may make a decision regarding winding up of five non-functional PSUs where no decision about their continuation or otherwise has been taken after they became non-functional. The government may consider setting up a cell to expedite closing down such companies.

It has also said that the working PSUs earned a profit during 2004-07 but later they started incurring losses, which have reached Rs 3,120.13 crore in 2008-09. During the year 2008-09,out of 40 working PSUs, 26 earned a profit of Rs 113.70 crore while 10 PSUs incurred losses to the tune of Rs 3,233 .83 crore. The remaining four companies did not provide first accounts.

The CAG report has revealed that power transmission and distribution companies have incurred losses. Among them, Madhya Pradesh Poorva Kshetra Vidyut Vitaran Company Limited incurred a loss of Rs 1,706.92 crore, MP Paschim Kshetra Vidyut Vitaran Company Limited Rs 674.44 crore, MP Madhya Kshetra Vidyut Vitran Company Limited Rs 494.22 crore and MP Power Generating Company Limited lost Rs 335.66 crore.

The losses of the PSUs are mainly attributable to deficiencies in financial management, planning, implementation of projects, running their operations and monitoring, the report said. The report also revealed that the debt-turnover ratio has deteriorated from 0.81:1 in 2003-04 to 1.94:1 in 2005-06 as debt increased from Rs 4,452.15 crore (2003-04) to Rs 14,337.67 crore (2005-06), thereafter it shows declining trend from 1.05:1 (2006-07) to 0.45:1 (2008-09) due to decrease in debt from Rs 14,989.72 crore (2006-07) to Rs 9,309 crore (2008-09) during the same period.

Home | About Us | Terms and Conditions | Contact Us
Copyright 2018 CAinINDIA All Right Reserved.
Designed and Developed by Binarysoft Technologies Pvt. Ltd.
Integrated Software Solutions Integrated Software Development Integrated Software Services Integrated Software Solutions India Integrated Softw

Transfer Pricing | International Taxation | Business Consulting | Corporate Compliance and Consulting | Assurance and Risk Advisory | Indirect Taxes | Direct Taxes | Transaction Advisory | Regular Compliance and Reporting | Tax Assessments | International Taxation Advisory | Capital Structuring | Withholding tax advisory | Expatriate Tax Reporting | Litigation | Badges | Club Badges | Seals | Military Insignias | Emblems | Family Crest | Software Development India | Software Development Company | SEO Company | Web Application Development | MLM Software | MLM Solutions