Recently, Nandal Finance and Leasing Limited acquired the entire CEL including all of its assets for just Rs 260 Crore after winning the dubious bid. While the land owned by the company alone is valued at Rs 450 crore.
Rambilas, Co-Secretary, CITU (Sahibabad Unit), a union affiliated to the CPM, said that the Modi government told the media and the world that the company was in loss while the truth is that the company is showing profits since 2013. “
In the last financial year alone, the company recorded a gross profit of Rs136 crore in 2020-21, added Rambilas, a contemporary of Safdar Hashmi – the iconic theater artist who was killed by communal goons in 1989.
When asked how the government could show the loss if the company was making a profit, Ramblas replied, “They only showed the loss-making arm of the PSU.”
According to the profile, the CEL which was founded in 1974, falls under the Ministry of Science and Technology, works in three sectors:
1) Defense – the main branch of the company is dedicated to defense related research and supply of electronic items to DRDO and ISRO
2) Solar Enterprise – the second wing is dedicated to research in the field of solar technology
3) Railway Safety – the third wing of the company worked on the development of safety measures for the railway called Drishti.
Apart from this, the company has also been involved in manufacturing bulletproof vests and a reading device called Drishti Nayan for specially disabled people.
CEL is among the top 6-7 companies producing missile radomes, laser-based perimeter intrusion detection system (PIDS), piezoelectric generator fuse for Heat-55 for munitions factories, and circulator and an isolator for satellite systems around the world.
“Despite being very crucial to India’s defense manufacturing and security concerns, the Modi government has put the PSU up for sale…the government has compromised with national security,” Sanjay blamed CITU’s Kumar.
Calling Modi ruled a real “anti-national”, Sanjay said: “The first attempt to privatize CEL was made in 2018 but no bidders came forward.”
“Then after watering down the bidding clauses, the Modi government invited again to bid in 2019 for the second time. The service clause has been watered down considerably, as happened in the case of the sale of Air India,” Sanjay added.