New Delhi: Disinvestment Minister Arun Shourie today (Feb 19, 2004) hit out at the Comptroller and Auditor General (CAG) for making adverse observations in the Centaur (Mumbai) sale deal without giving the Ministry a chance to explain and said he would take up the issue with the Cabinet Secretary and the Statutory Auditor.

"I will take up the issue with the Cabinet Secretary and CAG," Shourie told reporters when asked as to how he could prevent recurrence of such practices.

Terming as "idiotic" the method for computing notional loss as was done by CAG, the Minister said that the disinvestment process followed by the Government was time-tested and had been upheld by the Supreme Court in BALCO sale deal.

Reacting to the allegations by political parties including Communist Party of India - Marxist (CPM) and Shiv Sena leader Sanjay Nirupam, Shourie said it was ironic that "we swallow or vomit allegations".

Expressing shock over the CAG not asking the Ministry for comments on the draft paragraph before finalising the report, the Minister said he would talk to Cabinet Secretariat and the CAG V N Kaul for streamlining the system.

He, however, conceded that the CAG had sent a draft paragraph to Airport Authority about the sale of Centaur Hotel in Mumbai to Batra Hospitality but added that his Ministry had no knowledge about it.