Facing a financial crunch, state- owned Dredging Corporation of India (DCI) is unable to undertake any developmental work, a Parliamentary panel has said.

The Parliamentary Standing Committee on Transport, Tourism and Culture noted that huge funds are outstanding due to Dredging Corporation of India (DCI) from various agencies and as a result of which the company has not been able to take up development activities.

The committee is of the view that DCI has been given shabby treatment and forced to carry out certain commercial activities. It felt that the state-run company had no autonomy.

Expressing concern over poaching in DCI, the panel said, “Poaching in DCI has left it dry. Many shore-based employees of the company have left and joined different private organisations in 2005-06.

Further, the committee said, “It seems some sort of anarchic decisions are being taken with the vested interests in the government to make DCI a sick unit which resulted in taking over of the dredging work by the private companies at exorbitant rates.

DCI net profit had declined by 80 per cent to Rs 3.02 crore for the quarter ended June 30, 2011. The company had reported a net profit of Rs 15.76 crore during the corresponding period of last financial year.

The government is the process of executing a policy to bring in private players in the sphere of underground excavation in the marine sector, which may result in ending the monopoly enjoyed by DCI.

Visakhapatnam-based DCI is engaged in dredging activities and provides its services in the areas of environmental protection, tourism, flood control, irrigation, power generation, port development, mining, reclamation, laying of off-shore pipelines.

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