CPI against investing surplus of Navratnas in secondary market

Kolkata, Jul 27(UNI) The CPI today said it would oppose inside and outside Parliament the UPA Government's decision to allow 30 per cent of the surplus generated by the Navaratna and mini Navaratna PSUs to be invested in the secondary market.

Describing the move as 'disastrous', CPI national Secretary Gurudas Dasgupta said the amount--about Rs. 60,000 crore-- could have been spent on building social infrastructure, including expansion of irrigation, generation of power and spreading education, instead of investing in an 'unproductive' sector.

"This move will only stimulate speculative forces to manipulate the stock market and allure foreign investors to put in money in the secondary market. This has no relevance with development. This diversion of funds is nothing short of disastrous," he said.

Mr.Dasgupta said the total surplus of the Navaratna/Mini Navaratna companies amounted to Rs. 239535 crore.

UNI