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CITU urges DMK to stall BSNL divestment
BS Reporter / New Delhi Aug 10, 2008, 03:16 IST

K KarunanidhiPandhe writes to Karunanidhi as a DMK minister heads the telecom ministry.

With its own influence on the UPA government gone, the CPI(M)’s trade union wing, the CITU, is banking on the UPA’s allies to stop the government from divesting its stake in public sector undertakings (PSUs).

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CITU President and CPI(M) Politburo member MK Pandhe has written to Tamil Nadu Chief Minister and DMK chief K Karunanidhi seeking his intervention to stall the government’s move to divest 10 per cent stake in BSNL.

Although the Left’s withdrawal of support from the UPA did not lead to the fall of the government, the CITU suggested, “Due to your firm stand, the government of India has been prevailed upon to withdraw the proposal to disinvest Neyveli Lignite Corporation. I would, therefore, request you to take a similar stand on the question of disinvestment of Bharat Sanchar Nigam Ltd by taking up the matter with the government of India so that BSNL remains a proud PSU.”

In 2006, Karunanidhi, the head of the second-largest ally of the Congress in the UPA, had informally threatened to pull out of the government when Finance Minister P Chidambaram proposed disinvestment of Nalco and Neyveli Lignite Corporation.

This time, A Raja of the DMK heads the telecom ministry, from where the BSNL disinvestment proposal has emanated. But in an attempt to create a divide between the Congress and the DMK, Pandhe has tried to project the idea as Chidambaram’s. “In a meeting, the communication minister respected the feelings expressed by the workers’ representatives but it appears that the Union Ministry of Finance is determined to go ahead with the proposal,” said Pandhe.

The government has proposed to disinvest 10 per cent of its equity in BSNL. The BSNL Employees Union is opposed to the proposal despite the government offering the company’s shares to the workers. “I hope you take into account the opinions expressed by the workers of BSNL so that the government of India’s effort to go ahead with an IPO for BSNL is nipped in the bud in time,” Pandhe added.

The CPI(M) had earlier tried to bring the DMK in its camp against the prime minister’s move to go ahead with the Indo-US civilian nuclear agreement. But Karunanidhi turned down the Left’s proposal and voted in favour of the ruling alliance.

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