53 PSUs in Kerala incurs loss of Rs. 889.89 crores: CAG report


Trivandrum: As per the Comptroller and Auditor General (CAG) report for the year tabled in the Kerala Legislative Assembly, as many as 53 public sector undertakings in the State are loss making and they have cumulatively incurred a loss of Rs. 889.89 crores during the 2014-15 financial year.

During the period of CAG audit, there were 111 working and 15 non-functional PSUs in the State that employed 1.28 lakh employees. Their total turnover was Rs. 19,194.06 crores. 50 PSUs were profit making and earned a profit of Rs. 498.47 crores and four had neither recorded profit nor loss.

The top three loss making State owned enterprises are Kerala State Road Transport Corporation (KSRTC) with an incurred loss of Rs. 508.22 crores; Kerala State Cashew Development Corporation with a loss of Rs. 127.95 crores, and the Kerala State Civil Supplies Corporation (SupplyCo) with a loss of Rs. 89.11 crores.

The top profit making PSUs are Kerala State Electricity Board (KSEB) with a profit of Rs. 140.42 crores, Kerala State Beverages Corporation (Bevco) with Rs. 123.54 crores, Kerala State Financial Enterprises (KSFE) with Rs. 69.90 crores and Kerala State Industrial Development Corporation (KSIDC) with Rs. 30.49 crores.

The CAG report also mentioned that out of the 15 non-working PSUs, five had commenced liquidation process. Since the non-working PSUs are not contributing to the State’s economy, they may be considered either to be closed down or revived. The government should make an early decision regarding winding up of nine non-working PSUs where closing orders have been issued but liquidation process has not yet begun.

Kerala Biz News


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