SME Times News Bureau | 20 Mar, 2019
The Congress on Wednesday said the government intended to bring a
bailout package for the cash-strapped Jet Airways - partly owned by
foreign investors - using Indian tax payers' money.
Congress
spokesperson Randeep Surjewala told the media that the Modi government
had asked public sector banks - State Bank of India (SBI) and Punjab
National Bank (PNB) - to waive the debt on the airliner totalling Rs
8,500 crore by taking an equity of Rs 1.
"Naresh Goyal, who is a
London-based NRI, owns 51 per cent stakes while Etihad Airways has 24
per cent stake. It means the 75 per cent ownership is with an NRI and a
foreign company," said Surjewala.
"Why is the Modi government
giving a 'bailout package' to a bankrupt corporate entity like Jet
Airways owned by foreign investors, out of public money, but not to
India's debt-ridden farmers?"
"The PMO (Prime Minister's office)
has issued two orders. It has asked the SBI and other PSU banks to waive
the loan by converting it into equity of Rs 1. Also, it is going to pay
Rs 150 for every share to Etihad.
"Will the Modi government now save every defaulting crony capitalist out of public funds?"