‘No legal import to the PSU tag’

Facing a public outcry, J&K Governor Satya Pal Malik on Tuesday said “the word Public Sector Undertaking (PSU)” for the J&K Bank had no legal connotation.
Former State Finance Minister Haseeb Drabu, however, said the Governor’s statement reflected “utter ignorance”. “J&K Bank is registered as a Government company under the Companies Act,” Mr. Malik told a delegation of the bank’s employees, who have been protesting against the State’s move to declare the bank a PSU, fearing that the move would rob the bank of its autonomy. “The bank continues to be a government-owned company,” he said. Questioning the statement, Mr. Drabu asked: “If the PSU has no legal connotation then why call J&K Bank a PSU and place it under the PSU framework?” The State Administrative Council, headed by the Governor, had recently approved a proposal to treat the bank as a PSU, bringing it under the RTI Act and the Central Vigilance Commission’s guidelines.
Source  :  https://www.thehindu.com/todays-paper/tp-national/no-legal-import-to-the-psu-tag/article25667141.ece

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