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This is an archive article published on July 12, 2005

BHEL stalemate: Sonia seeks quick fix, meets Prime Minister

A day after the Left reiterated its opposition to the BHEL divestment and sought Sonia Gandhi’s intervention to ensure the Centre adher...

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A day after the Left reiterated its opposition to the BHEL divestment and sought Sonia Gandhi’s intervention to ensure the Centre adheres to the CMP, the UPA chairperson met Manmohan Singh this evening to look for a way to end the stalemate.

The Government’s case is that the 10 per cent divestment of BHEL is needed to mop up resources for meeting other commitments like the employment guarantee scheme. It also argues that divestment is not privatisation.

But the Left insists it is privatisation and therefore, a violation of the CMP. The Left has ruled out any bargaining or dilution of its stand, saying it is a matter of principle.

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Congress sources, while insisting the dominant issue in discussions between Sonia and the Prime Minister was BHEL divestment, refused to divulge the options being considered.

The sources said Sonia is keen on a quick solution because the UPA is under pressure right now from all sides. The Left has announced a boycott of the co-ordination committee and has planned a nationwide strike for September 29.

The TRS has pulled out its ministers from the Congress-led Government in Andhra Pradesh to press for the formation of a separate Telengana state. The DMK has tactically supported the Left on divestment. Two UPA partners in Bihar — RJD leader Laloo Prasad Yadav and LJP’s Ram Vilas Paswan — are still at loggerheads with each other. JMM chief Shibu Soren is upset because he has not been reinducted into the Union Cabinet. And the Congress has to face Parliament again within a fortnight.

With Singh scheduled to leave for the US after a week, speculation is rife that a Cabinet reshuffle may be held this week, possibly Wednesday. The sources said if it all it occurs, the reshuffle will be a limited exercise — basically a patchwork.

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Those who face the axe include P M Sayeed, Jaipal Reddy, Sis Ram Ola and Renuka Chowdhury. The re-induction of Soren is a certainty. Several states, including Orissa, Kerala, Himachal Pradesh and Uttaranchal, are likely to win representation in the Cabinet.

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