CWG may not get more funds from PSUs

Central sector units (CPSUs) are not likely to make any more contribution to the forthcoming Commonwealth Games with the creation of a "trust deficit" following allegations of corruption against some key personnel of the Organising Committee, a top government official said.

"I think there is no likelihood of money flowing from the Central pubic sector units now," he said.

The official said the goings-on in the CWG have shaken the confidence of the PSUs, which otherwise would have helped the Games as a matter of national pride.

In fact, before corruption charges surfaced, the department of public enterprises had written in June a letter to top-performing Maharatnas and Navratnas, asking them to make generous contributions to the Games, beginning October 3.

It had said the CPSUs should volunteer to help the CWG as a part of their corporate social responsibility.

"But now the situation has completely changed and the government-owned companies would like to be cautious about their funds," he added.
    
The CWG organising committee had a budget of Rs 1,600 crore which it had obtained from the government and had promised to return by earning sponsorships, television rights and ticket sale. In the absence of sponsors, it is likely to fall quite of short of covering its budget.
    
While the Railways had committed Rs 100 crore in cash and kind in its budget for the CWG, it recently sought clarifications from the Organising Committee about the usage of the funds.
     
Central Bank of India had contributed Rs 50 crore. Power major NTPC, which had committed Rs 50 crore, contributed Rs 20 crore in February and rest is yet to be released.
     
Air India, the official carrier of the CWG, has chipped in with tickets for officials and players as part of its contribution to the event. Besides, it has also offered to provide two chartered flights for the event. The airline's contribution in kind--tickets and chartered flights--is estimated to be Rs 50 crore in money terms.