Close on the heels of Disinvestment Commission recommending privatisation of National Buildings Construction Corp, Disinvestment Department has asked Ministry of Urban Development for its comments in the matter, by January 31.

DoD has sought comments of MoUD on NBCC, after which it would be taken to the Core Group of Secretaries on Disinvestment, sources said.

It may be recalled that Disinvestment Commission had earlier this month suggested sale of 74 per cent stake of its 100 per cent shareholding in NBCC to strategic partner while retaining 26 per cent for three years.

In its recent report, the commission had noted that there was no rationale for the government to continue in the company as there were no social benefits accruing from future association due to existence of employment opportunities.

NBCC has an equity base of Rs 120 crore (Rs 1.2 billion) and employs around 3150 staff.