Withdraw auction notice to paper mills: Assam Congress to PM Modi

Withdraw auction notice to paper mills: Assam Congress to PM Modi

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Prime Minister Narendra Modi. (PTI photo)
GUWAHATI: Assam Congress on Saturday moved PM Narendra Modi, seeking his intervention to withdraw the auction notice issued by the official liquidator for two defunct paper mills under the Hindustan Paper Corporation (HPC) in the state. Assam PCC president and Rajya Sabha MP Ripun Bora urged Modi to assist the Assam government to revive the two paper mills like the successful takeover of the unit of Hindustan Newsprint Limited at Kottayam by the Kerala government.
In his letter to Modi, Bora demanded revival of the two paper mills and reminded him of the BJP's electoral promises of safeguarding the public sector undertakings.
"I think it is not necessary to remind you about your repeated commitment in numbers of election campaigning meetings while you visited Assam during 2014, 2016, 2019 and even 2021 to revive the said two paper mills by giving special economic packages. Even other senior leaders of the BJP government and Sarbananda Sonowal, the then chief minister of Assam, and Himanta Biswa Sarma, the present chief minister, also assured the people of Assam to revive the two paper mills at any cost which is the lifeline of the people of the Brahmaputra and Barak Valleys," rued Bora.
He said the promises to revive the paper mills was reflected in different election manifestos of BJP during subsequent elections for the last few years.
Not only the employees and their families, but Bora said the bamboo growers, unemployed youths, small businessmen, bamboo suppliers in particular and the people of Assam in general were expecting that the government will never go to take such a harsh decision to sell these two paper mills to private parties with huge landed property of more than 2000 acres.
Production in the two paper mills, Nagaon Paper Mill at Jagiroad in Morigaon district and Cachar Paper Mill at Panchgram in Hailakandi district, was brought to a halt in March 2017 and October 2015 respectively. Soon after, the officers and employees association of the two paper mills were compelled to move the National Company Law Appellate Tribunal (NCLAT), which on May 29, 2019 passed an order directing the Union government to infuse funds to ensure that the company remains operational. Bora said the Assam government vide petition dated September 10, 2020 had also expressed interest to take over the two industries.
Manabendra Chakraborty, president of the joint action committee of the two public sector paper mills, told TOI that their union is exploring possibilities to challenge the official liquidator's notice. "NCLAT asked the government to pump in requisite funds for ensuring the company (HPC), which runs the two industries, remains a going concern. The liquidator should clarify whether he has approached the Centre and state government to get adequate funds for the revival," Chakraborty asked.
As a follow-up action of the order of NCLAT, different questions were raised in both houses of Parliament and zero hour discussions in both houses were held on this issue.
Following a number of representations, memorandums by the officers and employees union of the two paper mills, and pleas from different civil society organisations from Assam, a comprehensive revival plan was formulated at the initiatives of PMO. The Congress, however, alleged that the plan is still lying pending for approval.
"I urge upon you that the said comprehensive plan of revival be explored prior to the sale of the two paper mills to any third party because the government of Kerala took over the Hindustan News Print Ltd, a subsidiary unit of HPC. Therefore there is every possibility that the Assam government can protect these two public sector undertakings," Bora said.
"The employees of the two paper mills have not been paid their salaries for the last couple of years, more than 100 employees died for want of medical treatment, several employees committed suicide out of depression thinking about their future. Considering the present horrible economic condition and Covid-19 pandemic situation you are requested to please release all the outstanding salaries, allowances and other dues to the employees and officers of the two paper mills without further delay," read the memorandum.
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