Question : SUGAR MILLS

(a) whether for sugar mills were functioning under Kanpur Sugars in Uttar Pradesh and Bihar in collaboration with British India Corporation under his Ministry;

(b) whether these mills have been closed for the last ten years;

(c) whether the Government is contemplating to provide any package for revival and renovations of these mills;

(d) if not, the reasons therefor;

(e) whether the Government is also considering to refer these mills to BIFR; and

(f) if so, the time by which action is likely to be taken in this regard?

MINISTER OF STATE IN THE MINISTRY OF TEXTILES (SHRI E.V.K.S. ELANGOVAN)

(a) to (d) : Yes, Sir. Four sugar mills were running in the name of Cawnpore Sugar Works Ltd. (CSWL), out of which three were in Uttar Pradesh, and one in Bihar. The CSWL was declared a sick company under the provision of Sick Industrial Companies Act (SICA). The company was referred to Board for Industrial and Financial Reconstruction (BIFR), which approved a Rehabilitation Package in December, 1998.

(e) & (f) : As per directions by BIFR, BIC Ltd. transferred all the shares of CSWL in its custody to its new promoter, viz. M/s. Gangotri Enterprises Ltd (GEL). At present, BIC has no administrative control over CSWL.