The Union Cabinet has given its approval to proposal for dissolution of Central Inland Water Transport Corporation Limited (CIWTC).
CIWTC was incorporated in February 1967 as Public Sector Undertaking under the Companies Act 1956 by the Central Government. It was under the administrative control of Ministry of Shipping (MOS).
It had taken over the assets and liabilities of the erstwhile River Steam Navigation Company Limited (RSNCL) under a scheme approved by the Calcutta High Court.
Why Government is closing CIWTC?
- Since its inception CIWTC was incurring losses due to inherent limitation and infrastructure bottle necks and never could become viable company.
- Central Government is closing it in line with its decision to revitalize sick CPSUs wherever possible or to wind up irretrievable cases.
- The dissolution of the CIWTC would be initiated after disposal of movable and immovable assets. This would free up the assets for better utilization and for the benefit of the people.
- A number of assets have been taken up by Inland Waterways Authority of India to provide services on National Waterway 4 on Brahmputra River.