The government has delayed decision on proposal to revive sick public sector unit - Scooters India (SIL). After the government postponed the plan to sell its entire stake in the state-owned firm, the Department of Heavy Industries (DHI) had proposed a revival package of more than Rs 200 crore. The automobile company, which has about 1,200 regular employees, has been incurring losses since 2002-03 and was declared sick in March 2009.
The government’s revival in the firm includes both cash and non-cash assistance. While cash assistance implies equity infusion, grants and loans, non-cash assistance includes waiving interest, government loan and conversion of loan into equity.
