Press Information Bureau
Government of India
Ministry of Finance

08-May-2012 18:55 IST

Investment by Public Financial Institution in Tobacco Companies

The details of investments made by Life Insurance Corporation of India (LIC) and the Unit Trust of India (UTI) in ITC Limited are as under:

 

 

LIC is investing in Government’s Securities, Infrastructure Financing and Companies including private sector within permissible regulatory norms. The Unit Trust of India which was established under the UTI Act 1963, invest in many public sector and private sector companies across various industries in terms of its main business. The investment in the equity shares of ITC Limited was one of such investments made by UTI.

             This information was given by the Minister of State for Finance, Shri   Namo Narain   Meena in written reply to a question in Rajya  Sabha today.

 

 

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DSM/Hb

Public financial institution investment: disclosure of equity holdings and regulatory compliance for investments in a tobacco company. Disclosure reports substantial equity holdings by two public financial institutions in a tobacco company and identifies those investments as part of institutional portfolios. One institution's investments span government securities, infrastructure financing and corporate equity within permissible regulatory norms; the other operates under its founding statute and makes equity investments across sectors as part of its main business. The investment in the tobacco company is thus presented as effected pursuant to institutional investment policies and legal mandates and was disclosed in a parliamentary reply.