MTNL is in the ICU and any time it may die – says Shri P.K. Purwar, CMD BSNL – but the government wants to merge BSNL, MTNL and BBNL–what will happen to BSNL?

Shri P.K. Purwar, CMD BSNL, has reported that “the MTNL is in the ICU and any day it can be declared dead. I can say a catastrophe is waiting to happen in MTNL.” Shri P.K. Purwar has further stated that the debt of MTNL is Rs.26,000/- crore whereas it’s revenue is only Rs.1,300/- crore (per year). The interest payment alone comes to Rs.2,100/- crore. (Business Line dated 21.03.2022).  

Under these circumstances, the employees are also receiving media reports that, the government has taken decision to merge BSNL, MTNL and BBNL and convert them into a single company. BSNL is already struggling in a financial crisis. Under these circumstances, if MTNL, which is already in the ICU and is waiting to die any time, is merged with BSNL, what will happen to BSNL? Is it appropriate on the part of the government to merge BSNL and MTNL?