Corporations in JK running in huge losses

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By Fast Kashmir on 21/03/2017. 1 Comment

Govt allowing drain on exchequer by appointing 16 vice-chiefs

Srinagar, Mar 21: Most of the Public sector undertakings under the administrative control of department of industries and commerce department have been continuously running into huge losses.
The most shocking aspect is that Government doesn’t want to put an end to the prevailing situation of these corporations, has appointed 16 vice chairman’s by which these loss making corporations has been burdened with an expenditure of 40 lac rupees per year.
Source in the industries department told KNS that if we dissect the working of these corporations, we will find that accumulation of huge losses year after year.
Taking note of these messy affairs in the corporations, he said that JKI is leading the loss making portfolio touching around 650 crores loss with a huge employment of around 1500 souls. 
“The corporation has started selling its prime land to make the losses good and to pay salary/wages to its employees. This corporation is trying hard to give pension to its employees for which there is no money in the chest to pay pension to the retirees,” he said.
Reverting to another erstwhile vibrant organization namely SIDCO, he said it has been hijacked by the land Mafia and no scheme for acquiring land for prospective industrialists is seen forthcoming.
This corporation has turned into the loss making venture, for which the recently concluded board meeting was accordingly apprised and a serious note was taken by the board members,” the source said.
According to another source, Corporation in the Name of SICOP has a nose-dived in its commercial turnover which made a loss in turnover to the extent of 600 corores against the targeted figure of 1000 crore. Sources said that the balance sheet as on date shows an unhealthy picture. 
“The company has shown a profit of only one crore which is unbecoming on part of this organization.
A senior officer of industries and commerce department in civil secretariat on condition of anonymity has shown its reservation about handling of industrial estates recently transferred to the company, when failure has occurred in the fulfillment of responsibilities given to the corporation mentioned in articles of association/memorandum f of association.
Similar is the case with other corporations like handloom, handicraft, JK cements, where the losses have accumulated beyond the justified levels.
The handcraft corporation which has sales depots across the country could not promote the local handicraft items. The local artisans and the viewers are feeling discouraged with this organization, which has no promotional activity ever been formalized.
Same is the case with the handloom corporation which could not take the best advantage of the schemes of the central government which envisages promotion of local products.
Sources said that so far as JKPCC is concerned, is marred with lot of corruption cases. The corporation is much trailing from the fixed targets in all spheres with the result the utilization of government funds on time is not done in proper planed manner. The case about Ganpati Bridge and Tawi Bridge Jammu are the few leading examples where the corporation has taken a very casual approach and the cases are under investigation.
Sources said that these all corporations have already bled too much but despite this, the government has secured too much political mileage by appointing 16 vice chairman’s.
As per the official sources, the expenditure along with the salary would touch 3 lac rupees per month, which would not yield any positive result. 
Sources said that each corporation has been burdened with an expenditure of 40 lac rupees per year with this arrangement. (KNS)


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