Government Sells ‘Enemy Properties’ Worth ₹ 1,874 Crore in April

In a first, the government has sold ‘enemy properties’ worth Rs 1,874 crore in April, as it seeks to fast-track the sale process of such assets to meet the Rs 90,000-crore disinvestment target set for the current fiscal.

The government has mopped up Rs 2,350 crore as the disinvestment proceeds in the first month of 2019-20, of which, Rs 476 crore was on account of IPO of Rail Vikas Nigam Ltd (RVNL) and Rs 1,874 crore from the sale of ‘Enemy Property’, according to data on the DIPAM website.

The Cabinet in November 2018 had given its go-ahead to the Department of Investment and Public Asset Management (DIPAM) to sell ‘enemy shares’ and ‘enemy properties’ — which refers to the assets left behind by people who migrated to Pakistan or China and are no longer citizens of India.

Thereafter in March 2019, the Cabinet cleared the mechanism for monetisation of immovable ‘enemy property’ assets held under the custody of the Custodian of Enemy Property for India (CEPI).

According to the asset monetisation guideliness laid down by DIPAM, the CEPI or the Ministry of Home Affairs selects the properties for sale in consultation with stakeholders and the state government.

Such assets would have to be free of encumbrances and encroachment. The final approval for sale of such assets is given by a ministerial panel headed by the finance minister.

In the previous financial year, the government mopped up Rs 84,972 crore from disinvestment, including sale of ‘enemy shares’ worth Rs 779 crore.

Source: ET

Image Courtesy: DNAIndia