RJD opposed to divestment of profitable PSUs: Gupta

A day after RJD leader Lalu Prasad Yadav’s remarks against disinvestment, party leader and company affairs minister Prem Chand Gupta on Sunday said that the party was opposed to disinvestment of profit-making PSUs.

He, however, said that RJD was not against these companies choosing the IPO route. ‘‘The thinking in our party is very clear that profit-making companies should not be disinvested. There should be other ways of raising finances for modernisation and expansion of any company,’’ he said.

The RJD’s opposition only makes things worse for the Prime Minsiter and Congress party, which had been trying to put up a brave face after buckling to ally DMK’s pressure on disinvestment moves in Neyveli Lignite Corporation.

Government’s efforts, said Gupta, should be to revive sick PSUs. He, however, denied suggestions that the decision to go back on disinvestment was a setback to the reforms process.