Ranchi, Oct. 18: In 2005, the Centre was mulling closure of Heavy Engineering Corporation Ltd (HEC). Four years later, it has honoured the Ranchi-based company with the Standing Conference of Public Enterprises (SCOPE) gold medal.
Prime Minister Manmohan Singh handed over the medal for excellence and outstanding contribution to public sector management (in special institutional turnaround category) to HEC chairman-cum-managing director G.K. Pillai at a ceremony at Vigyan Bhavan, New Delhi, on October 15.
Today, the Confederation of Indian Industries (CII), Jharkhand state council, felicitated Pillai for bagging the award. The function was presided over by industries secretary N.N. Sinha.
“It is a proud moment for HEC. The SCOPE award is a tribute to our workers and executives who have displayed excellent team spirit in turning around the corporation which was once on the death bed,” Pillai said.
The Board for Industrial and Financial Reconstruction had ordered shutting down of HEC in 2005 to stop further drain on the exchequer.
“HEC is back to life. I will ensure that the corporation, instead of walking, now begins to run so that it is able to claim its rightful place in the corporate world. Efforts are on to ensure sustainability of growth and profits. To achieve this dream, plans are being worked out to modernise HEC plants and to introduce new technology,” Pillai said.
He added that the corporation had not only recorded profit for the past three years in a row — the highest being Rs 18.37 crore in 2008-09 fiscal — its growth continued despite recession.
Pillai conceded that for several decades, HEC has been denied the benefits of new technology due to regular losses and depletion of capital.
“Now that the corporation has begun to record profits, it’s time that a complete modernisation of its plants is undertaken,” he hoped.
The company’s gross turnover in the current fiscal has gone up by 9.9 per cent from last year’s Rs 412.92 crore to 453.87 crore. In the standing year, production has increased by 9.6 per cent to Rs 419.47 crore from last fiscal’s Rs 382.73 crore.