Thiruvananthapuram : In its bid to revive sick public sector units, the state govt has decided take over of Hindustan News Print Ltd(HNPL), which . the Centre had previously planned to shut down.
The Department of Industries has reached a consensus with the official liquidator, over the matter.
The govt will pay Rs 25 crore against the firm’s assets/liabilities after which, 100 percent of the company's shares shall be transferred to the State govt.
The decision came about at a meeting in Kolkata between Public Sector Restructuring and Internal Audit Board(RIAB) chairman N Shashidharan Nair and HPC liqudator Kuldeep Verma, on Friday.
Hindustan News Print’s parent company, the Hindustan Paper Corporation LTD(HPCL) has cases filed by its creditors at National Company Law Tribunal(NCLT). HPCL has agreed to paying these debts from the sales proceeds.
Reps from SBI, Canara Bank and Vijaya Bank, the petitioners, held talks with RIAB in this regard and have expressed consensus with the govt decision.
In effect, the state govt can takeover the company, on winding up the court proceedings. Such development would also close a case pending before NCLT in Kochi too.
The liquidator, on Monday, had informed the tribunal that the amount offered by govt was satisfactory. Lenders including banks too, have expressed consensus on the sale amount involved.
Once the takeover is complete, govt will hold talks with parties the company has other liabilities with. Such owings roughly amount to Rs 430 crore.
