Union Cabinet Approves Sale Of HMT Land To ISRO For Rs 1192 Crore

On Friday (31 March), the Union Cabinet chaired by the Prime Minister Narendra Modi gave its approval for transfer of 208.35 acres land in Tumkur and Bengaluru that belonged to now defunct HMT Watches Ltd to Indian Space Research Organization (ISRO) at a cost of over Rs. 1194.21 crore.

Another acre of land of HMT Ltd. will be transferred to Gas Authority of India Limited (GAIL) at a cost of Rs.34.30 crore.

The government believes that such transfer of land will free the productive resources and ensure their better utilisation after efficient organisation like ISRO and GAIL take over.

In January last year, the government had decided to shut down HMT Watches Ltd. due to mounting losses with no scope for revival. All the employees were given voluntary retirement package.

In another decision, the Cabinet gave its approval for monetisation of 675.43 acres of land which is currently not in use by Heavy Engineering Corporation (HEC) Limited, Ranchi. The land will be sold to the Jharkhand government at the cost of Rs. 742.98 crore. A part of this sum will go towards employee benefits of the HEC.