IDPL seeking bail out package

Ailing pharma PSU awaits Rs 761 cr bailout 29 Jul 2009, 0539 hrs IST, Sushmi Dey, ET Bureau

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NEW DELHI: The government is likely to expedite the revival plan of sick pharmaceutical public sector unit Indian Drugs and Pharmaceuticals Ltd (IDPL), which has been hanging fire since 2007. IDPL is still awaiting Cabinet approval for a Rs 761-crore package, pending with a group of ministers (GoM) since 2007. The department of pharmaceuticals, under the chemicals ministry, is planning to take up the matter on a priority basis, a government official close to the development said. First on the agenda, the official who asked not to be named said, would be the restructuring of the ministerial panel headed by defence minister AK Antony. The panel did examine the bailout package but failed to suggest modifications or endorse the plan to speed up the company’s revival. The department of pharmaceuticals has already written to the Cabinet secretary in this regard, said the official. “The department is reworking the plan. The ministry of chemicals and fertilisers (headed by MK Azhagiri) has also accorded the IDPL revival plan in the 100-day agenda of the government. The government may soon initiate action by reconstituting a new GoM to take a final call on the issue,” the official said. Pharma circles have been abuzz with news of IDPL’s ‘imminent’ revival after the government included the company’s revival plan in the 100-day agenda. Indeed, chances of restructuring the GoM look bright as some of the members in the previous panel are not part of the government anymore. For instance, previous health minister Dr Anbumani Ramadoss, chemicals minister Ram Vilas Paswan and labour minister Oscar Fernandes in the previous government have all been replaced by new ministers in UPA-II.

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