BANGALORE, May 7: THE Karnataka State Industrial Investment and Development Corporation Ltd (Ksiidc) is facing rough weather with investment of around Rs 160 crore gathering dust in locked out units. Making the situation worse is another RS 60 crore being spent on the security of these units.

Stating that the figure of Rs 160 crore is highly exaggerated chairman and managing director, Ksiidc C Gopal Reddy confirmed at the same time that, "we have a list of some 30 to 40 units which have been closed down for various reasons."

Repeated attempts to get that list from the Ksiidc office, however, have proved futile. "With Ksiidc looking at investments only beyond Rs ten crore the Rs 160 crore figure also appears to be an understatement," said a reputed Bangalore-based category- 1 merchant banker.

"Also the sunshine industries like horticulture, floriculture etc.which attracted a lot of investment crossed over the hill too fast," said a senior Ksiidc official. The recovery department, it was told, is facing difficulties in a few industries including the two mentioned above.

According to industry people, the general slump in the economy could also have contributed to lacklustre performance of new units.Meanwhile Ksiidc has been shifting its focus away from equity investment to other support activities.

Whatever be the reason, Ksiidc is trying itself to make better investment decisions in future. In what could be one of the main corrective measures the state's nodal agency for catalysing investments is now busy preparing an industry-wise performance report of various units financed by it.

Although the completion of the report has been facing regular delays, the critics claim that once it is tabled the accountability of approval procedures will increase.

Copyright © 1997 Indian Express Newspapers (Bombay) Ltd.