The Cabinet today approved the Rs 200-crore revival package for ailing public sector unit Scooters India Ltd, SIL.

After the government shelved plan to sell out its entire stake in SIL in 2011, the Department of Heavy Industry had put on hold the strategic sale of ailing public-sector unit SIL and had proposed a revival package of more than Rs 200 crore for revival of the company. Also, the department had consulted the Board for Reconstruction of Public Sector Enterprises, BRPSE, which examined the case and later suggested a revival package for the sick unit.

The automobile company has been incurring losses since 2002-03. In March 2009, the company was declared sick.