In a major policy decision, the Maharashtra Cabinet chaired by Chief Minister Eknath Shinde on Wednesday approved the establishment of an Asset Reconstruction Company (ARC) on the lines of a similar Central policy.
As per a statement released by the Chief Minister’s Office (CMO), the ARC will protect the public interest in terms of government land, share capital, loans and loan guarantees.
The CMO said, “At present, the state provides land, a share capital, grants, and loan guarantees to various institutions. If properties fall into distress for various reasons, the government’s role in reconstruction is limited.
"Alternatively, the government and the public, by and large, suffer. The establishment of state ARC will enable restructuring of such sick and closed enterprises.”
