Srinagar, Sept 30, KDC: Twenty Public Sector Enterprises (PSEs) in Jammu and Kashmir reported aggregate losses of ₹252.53 crore in 2022-23, while the net worth of 14 PSEs had been completely eroded by accumulated losses, the Comptroller and Auditor General of India (CAG) has said.
The findings are contained in the CAG’s Report No. 03 of 2026, a copy of which lies with news agency Kashmir Dot Com, which reviewed the functioning and financial performance of Public Sector Enterprises in the Union Territory.
As of March 31, 2023, J&K had 42 PSEs under the audit jurisdiction of the CAG, comprising 39 Government Companies, two Statutory Corporations and one Government Controlled Other Company.
Of the 42 PSEs, six were inactive and 36 were active, the report said.
The power sector accounted for 78 per cent of total PSE investment, while 11 PSEs were profit-making according to their latest finalised accounts.
The reported profit of the PSEs increased to ₹1,286.79 crore in 2022-23 from ₹566.10 crore in 2021-22. At the same time, 20 PSEs reported losses totalling ₹252.53 crore, while accumulated losses had completely eroded the net worth of 14 PSEs.
The CAG recommended that the UT Government take an early decision on commencing the liquidation process for inactive PSEs, observing that they were neither contributing to the economy nor meeting the objectives for which they had been established.
It also recommended remedial action to improve the performance of loss-making PSEs.
The audit also flagged delays in finalisation of accounts. Of the 34 PSEs for which accounts for 2022-23 were due for audit, only four had presented their financial statements for CAG audit by September 30, 2023.
The report said 19 PSEs had accounts in arrears for three years or more, while the accounts of the two statutory corporations — Jammu and Kashmir Road Transport Corporation and Jammu and Kashmir and Ladakh Financial Corporation — were in arrears for two years or more as of September 30, 2023.
The CAG observed that delays in finalising financial statements meant that government investments in such PSEs remained outside legislative oversight. (KDC)
