New Delhi: If financial accountability is a yardstick to assess the health of an enterprise, several public sector units run by state governments are presently in a precarious state.
All these enterprises, which have the potential of growing into the mould of Navratna companies, have emerged like blotting papers soaking public funds.
More than 80 companies in Uttar Pradesh alone have no records of their financial dealings. In fact, same is the condition of PSUs in several other states.
The root cause of the present health of these units, which are major beneficiaries of budgetary allocation, is a lack of proper monitoring mechanism.
These PSUs are becoming sick due to apathy of state governments. The situation has come to a pass where the state governments, in many cases, don’t have proper records of these units, which in turn makes it difficult to make an assessment at the Central level. Even CAG is finding it difficult to audit the accounts of these enterprises.
Now the Central government has decided to intervene on the matter. The Ministry of Heavy Industry and Public Enterprises has decided to take a stock of the situation in the meeting with the state representatives later this month.