Why in News?
- The Union Cabinet has approved a mechanism for sale of enemy shares which at the current price is estimated at around Rs 3,000 crore.
- Sale proceeds are to be deposited as disinvestment proceeds in the government account maintained by the Ministry of Finance. The Department of Investment and Public Asset Management has been authorised to sell the shares.
- A total number of 6,50,75,877 shares in 996 companies of 20,323 shareholders are under the custody of Custodian of Enemy Property of India (CEPI).
- The decision will lead to monetisation of movable enemy property lying dormant for decades and the proceeds will be used for development and social welfare programmes.
- Enemy properties were those left behind by the people who took citizenship of Pakistan and China. There are 9,280 properties left behind by Pakistani nationals and 126 properties which belonged to Chinese nationals, a ministry official said.
- The government has vested these properties in the Custodian of Enemy Property for India, an office instituted under the Central government.
- A list of all vested enemy properties (movable and immovable) shall be prepared by the custodian for its submission to the Central government within three months from the publication of this order.
- For the purpose of valuation of the immovable enemy property, a valuation committee will be constituted at the district level with the district magistrate as the chairman besides two other official members.
- The committee shall consider the circle rate of the area where the property is situated or a rate fixed by the district administration as a mode of valuation of the property along with other valuation modes.
- The custodian will prepare and submit the state-wise list of the enemy properties along with their valuation to the Central government within one month from the date of receipt of the valuation report from the valuation committee.
- mong the 9,280 properties left behind by Pakistani nationals, the highest 4,991 properties are located in Uttar Pradesh followed by West Bengal which has 2,735 such estates. There are 487 such properties in Delhi. Among the 126 properties left behind by Chinese nationals, the highest 57 are located in Meghalaya followed by West Bengal with 29.