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CPI(M) warns UPA Government

Special Correspondent

Intentions to disinvest in profitable public sector units

KOLKATA: The Communist Party of India (Marxist) leadership has warned the United Progressive Alliance Government of "serious repercussions" if it goes ahead with what the CPI(M) described as "the first serious breach of the Common Minimum Programme (CMP)" — that of the Cabinet's decision "to sell off 10 per cent of shares of the Bharat Heavy Electricals Ltd (BHEL)" which is indicative of the Centre's intentions "to disinvest shares up to 49 per cent in profitable public sector units including [the blue chip] navratnas".

"The CPI(M) considers this decision a serious violation of the CMP... . its leadership will convey to the Government that this policy is not acceptable and proceeding with it will have serious repercussions ... and [could involve] taking up of appropriate steps," the party's general secretary, Prakash Karat, said here on Sunday at the conclusion of the three-day meeting of the party's Central Committee.

On earlier occasions the CPI(M) has been critical of the UPA Government "for not implementing CMP measures or for departing from its framework," he said. "But this decision is a violation and not in the spirit of the CMP... The sale of BHEL is not a piecemeal decision... .after this it will be the oil companies. It is a full-fledged plan for disinvestments in the blue chip PSUs which will open the door to privatisation. Reducing the share from 51 to 49 per cent is only a small step," Mr. Karat cautioned.

On the question of the proposed rise in prices of petroleum products, Mr. Karat said the CPI(M) had conveyed to the Centre its opposition to increase the prices of petrol, diesel and cooking gas. "The Central Committee has decided that any announcement of increase in petroleum products prices must be responded with a countrywide protest action," he added. "The Government has also to change the appropriate parity pricing from refining oil to crude oil. Along with this there has to be a price stabilisation fund to meet the fluctuations in international prices".

Situation in Bihar

As regards the pre-poll situation in Bihar, Mr. Karat said the party leadership "is confident that the Bharatiya Janata Party-Janata Dal(U) manipulative combine can be defeated [in the October/November polls] but a repetition of what happened in the last elections held in Bihar and Jharkhand should not take place". "This requires avoiding a division of the votes of the secular parties ... and we will be working out the proper electoral tactics [for getting the secular parties together], he said.

"We will have to see the role played by the other parties and then decide on ours." The CPI(M) will also talk to other Left parties, when asked about the CPI's opposition to tie up with the RJD. "None is untouchable," he said.

The party leadership cautioned the UPA Government "not to accept the United States' offer to sell F16 fighter planes to India ... India should not get inveigled into an endless arms race with Pakistan with the U.S. supplying arms ... now it's F16s, next it will be F18s," Mr. Karat remarked.

He also criticised the Centre's food-for-work for nearly 150 districts for "the way it has been designed ... [it is] very defective and the guidelines not proper". There was a need for revising the guidelines and the party units will conduct a national campaign in August on issues pertaining to land, food and employment, according to Mr. Karat.

* * *

CPI(M) against loans with conditions

KOLKATA: The Communist Party of India (Marxist) leadership reiterated here on Sunday the party's opposition to accept loans from international financial institutions such as the World Bank under the Structural Adjustment Programme.

"Our State Governments [those run by the CPI(M) and its Left allies] will not accept such loans that prescribe conditions like the SAP," CPI(M) general secretary Prakash Karat said.

"We have not done so in the past and will not in the future."

"We have determined a framework in which our [State] Governments will be accepting loans [for rejuvenating the economy]," Mr. Karat said.

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