The MTI will be handed over to the newly constituted Indian Institute of Maritime Studies (IIMS) which will govern all the four major maritime institutions in the country. IIMS is eventually expected to become the first maritime university in the country, top SCI officials said. According to the shareholders agreement entered with prospective bidders, the government shall be entitled to exercise the option to purchase the MTI property within a period of one year from the closing date by giving a notice to the company to that effect.
It further states that the strategic partner shall continue to operate MTI on the same basis as it was being operated prior to it disinvestment, till the completion of the sale of MTI property in favour of the government or any entity nominated by the government.
SCI will be eligible to receive the amount derived from the sale or transfer of MTI as per the valuation arrived at by an independent valuer, sources said. Industry sources said that the sale of non-core assets in case companies lined up for disinvestment came to light during the VSNL disinvestment. In this case, the government was to be a beneficiary through the proceeds generated from the sale of 770 acre surplus land of VSNL. The process of valuation and sale of land is yet to commence in the VSNL deal. SCI had set up MTI in 1987 considering the training requirements of fleet and shore personnel. The MTI is a branch of the World Maritime University, and also a training centre for UNCTAD. The MTI has extensive modern training facilities and is equipped with marine engineering workshops, laboratories, classrooms, a well equipped library, seminar rooms, hostel and auditorium.