Government of india formally scraps the disinvestment of Central Electronics Limited

Tags: National Economy/Finance National News

The central government has formally scrapped the  100% disinvestment of the Central Electronics Limited on 28 September 2022 and disqualified the successful New Delhi based bidder Nandlal Finance and Leasing limited.

 On 29 November 2021,the government approved the 100% sale of  Central Electronics Ltd (CEL) for Rs 201 crore.

The reason given by the government for canceling the deal was that Nandlal company failed to disclose that an insolvency case was  pending against the company  in the National Company Law Tribunals (NCLT) while it bidded for the CEL.

Government of India Disinvestment target for the financial year 2022-23

• In the 2022-23 Union Budget the Government of India has set a disinvestment target of Rs 65,000 crores.

• In 2021-22 the total money raised by the Government of India through disinvestment was Rs 13,531 crore against the target of Rs 78,000 crore. 

Central Electronics Limited 

Central Electronics Ltd (CEL) is a Central Public Sector Enterprises(CPSE)  under the Department of Scientific and Industrial Research (DSIR),Union Ministry of Science and Technology.

It was established in 1974, with an objective to commercially exploit indigenous technologies developed by National Laboratories and Research and Development Institutions in the country.