The National Land Monetisation Corporation (NLMC) will have an initial authorised share capital of ₹5,000 crore and paid-up share capital of ₹150 crore, and will be a wholly-owned subsidiary of the Centre, Bhagwat Kisanrao Karad, Union Minister of State for Finance, said in a written reply to a question in the Rajya Sabha on Tuesday.
The minister stated that NLMC will undertake monetisation of surplus land and building assets of Central Public Sector Enterprises (CPSEs) and other government agencies.
Its objectives would be to undertake professional and orderly monetisation of land and other non-core assets referred to it; to own, hold, manage and monetise land and building assets of CPSEs under closure and surplus land and buildings of 100 per cent Government of India owned enterprises under strategic disinvestment and to advise and support monetisation of surplus land assets of demerged companies holding surplus land as well as “other CPSEs”.
It would also advise and assist government departments, statutory bodies/authorities, autonomous bodies, corporations, etc. on monetisation of surplus and under-utilised non-core assets.
The corporation would identify surplus land and building assets to create an inventory for monetisation in consultation with CPSEs/other government agencies; it would act as a repository of best practices in land monetisation, assist and provide expert technical advice to DPE/DIPAM/Centre in implementation of the asset monetisation program.
According to Karad, the NLMC would be administered by a board of directors. The proposed board structure envisages a mix of senior government officials and eminent professionals in the field of real estate, banking, investment banking, construction, legal and related fields. Incorporation is underway and is being steered by the Department of Public Enterprises, Ministry of Finance, the written response said.