CEL divestment hits roadblock as staff union goes to court

The government has put on hold the privatisation of Central Electronics Ltd (CEL) after the employees union approached the court against the sale of the company to a little-known firm, a top official said Wednesday.

Allegations of under-valuation in the Rs 210 crore highest bid made by the city-based Nandal Finance & Leasing are being examined, said Tuhin Kanta Pandey, Secretary in the Department of Investment and Public Asset Management, which is running the privatisation process.

The Letter of Intent for sale of 100 pc government shareholding in CEL to Nandal Finance & Leasing has not been issued, as the allegations are being examined.