Pawan Hans recently wrote a letter to PM Modi after the chopper operator's union urged the management to reconsider its privatisation move.
All-India Civil Aviation Employees Union, which is Pawan Hans Helicopters' union, suggested in the letter for the government to increase ONGC's stake from 49 % and then go for a public issue as per the earlier five-year business plan instead of an outright sale.
The union also met civil aviation minister Suresh Prabhu and submitted a memorandum, opposing the decision to hand over a profit-making entity to private players as well.
The union's letter further read, “We came to know from various newspaper reports that government had received very poor response for Pawan Hans. Considering this, we'd request that the government consider a second option which was suggested by the employees union in various letters to civil aviation and finance ministries and the Prime Minister's Office.”
The union added, “As per the existing disinvestment policy, those units having a positive net worth, no accumulated losses and having earned net profit for three preceding consecutive years be required to achieve the mandatory listing norms of 25 per cent public holding for listing on the stock exchange.”
It stated, “Total dividend it has paid out till date is Rs. 2,345 crore from 1995-96 to 2015-2016 while the total taxes paid stand at Rs. 480 crore during this period.”
The letter also said, “The management control of Pawan Hans can be given to ONGC by allowing it to increase its stake and subsequently go in for a public issue to get government a much higher price from the sale of shares in stretches in the next five years with expansion and improved performance.”
As government has considered and allowed similar units to participate in the process of strategic sale, it should allow Airport Authority, ONGC and HAL to participate in this process, it added.
