NTC generates Rs 5,966 cr from sale of surplus land, buildings

The National Textile Corporation (NTC) has generated Rs 5,966 crore funds through sale of surplus land and buildings as on 31 January, 2011, Parliament was informed today.

While replying to a query in Lok Sabha, Minister of State for Textiles Panabaaka Lakshmi, however said that some states have not given permission for sale of leasehold lands.

Asked whether corruption in the sale of land and buildings of NTC mills has been reported, she said, "Certain procedural shortcomings/irregularities in the sale of assets have been alleged. However, no specific complaint of corruption has been received."

She added, sale below the reserve price in few cases was done as provided under the Board for Industrial and Financial Reconstruction (BIFR) guidelines and only after approval of the ASC.

The revival plan for NTC was approved by the government and sanctioned by the BIFR. The plan is a self-financing and the resources are to be generated by sale of surplus land and assets.

Replying to another query in Lok Sabha, Lakshmi said, all committed liabilities under the Technology Upgradation Scheme (the textile modernisation subsidy scheme) continued to be financed.

The TUFS has fully utilised the 11th Plan allocation of Rs 8,000 crore by 2010-11. It has catalysed investments of Rs 1.03 lakh crore in the 11th Plan period.