IFCI AND HMT MAJOR DEFAULTERS OF EPF INVESTMENT RETURNS
The Industrial Finance
Corporation of India, IFCI and Hindustan Machine Tools(HMT) are
the major defaulters of the Employees Provident Fund EPF, which
has invested part of its funds in these two establishments. Giving
this information in a written reply in the Lok Sabha today the
Minister of State for Labour and Employment Shri Muni Lall said
that as on 31st March, 2002, the total face value of
the amount due from IFCI is Rs.50.12 crore and Rs.25 crore from
HMT. He said the amount invested by the EPF in IFCI is Rs. 1,046.43
crore and IDBI Rs.3,442.57 crore. The Minister said that the issue
figured at the special meeting of the Central Board Trustees of
the Employees Provident Fund on 4th of April this year.
In a written reply
to another question, the Labour Minister Shri Sharad Yadav said
that under the guidelines of the Finance Ministry regarding investment
pattern, only upto 10% of the Provident Fund Deposits can be invested
in private sector bonds/securities which have an investment grade
rating from at least two credit rating agencies. He said that
the Board of Trustees have been empowered in this regard which
decides after taking proper assessment of the risk/return prospects.
