Transaction, legal advisors working towards Shipping Corp disinvestment: Govt

The government on Monday said post ”in principle” approval for strategic disinvestment of government shareholding in Shipping Corporation of India (SCI), transaction and legal advisors are working in this direction.

Replying to a query regarding SCI privatisation in the Rajya Sabha, Shipping Minister Mansukh Mandaviya also said, “The government can requisition any Indian assets, including Indian ships, during a war or national emergency”.

“CCEA (Cabinet Committee on Economic Affairs) in its meeting held on November 20, 2019 accorded ”in – principle” approval for strategic disinvestment of Government of India”s shareholding of 63.75 per cent in SCI along with transfer of management control to a strategic buyer. Transaction Advisor and Legal Advisor have been appointed by the Government for the transaction,” Mandaviya said.

The TA (transaction advisor) and LA (legal advisor) are taking appropriate steps for processing the transaction, he added.

“Director General of Shipping has power to issue directions to ships registered under- Merchant Shipping Act or licensed under Merchant Shipping Act in public interest or in the interest of Indian Shipping to proceed for any particular purpose,” the minister said.

Shipping Corporation has a fleet strength of 59 vessels at present and is the largest Indian shipping company catering to the overseas and coastal transportation of goods.