New Delhi: Taking serious note of the performance by several PSU’s, the Department of Public Enterprise (DPE) has given stern directives to review the performance of Public Sector Units having Miniratna status. It is likely that several PSUs might lose this status, as they have slumped on performance parameters.

As per the directives, the appointment of minimum three non-official directors is one of the pre-conditions for exercising Miniratna powers. "If minimum three non-official directors are not on the boards of a Miniratna company, the proposal for appointment of requisite number of non-functional directors may be furnished," the directive said.

However, in case any of these Miniratnas PSU’s does not fulfill the laid down criteria, order for divestment of its Miniratna status may be immediately issued.

Notably, a Miniratna PSU should have made profit for three successive years and a positive net worth, as per the DPE norms. A comprehensive report has been sought before Monday, from the ministries and departments which have administrative control over the PSUs.

The Government of India has divided PSU’s in three different grades. The first grade of Maharatna which include only five PSU’s followed by 16 firms under Navratna category. Presently, 48 companies are entitled with ‘Miniratna’ status.

(JPN/Bureau)