MINISTER OF TEXTILES
(SMT. SMRITI ZUBIN IRANI)
(a) & (b): British India Corporation Ltd. (BICL) have been incurring losses since its nationalization in the year 1981. Owing to continuance losses, BIC was referred to Board for Industrial & Financial Reconstruction (BIFR) in 1991 and was declared sick in 1992. The government approved revival schemes in November, 2001, 2005 and 2011 at the cost of Rs. 211 crores, Rs. 47.35 crore and Rs. 338.04 crore which were not successful as permission for conversion of leasehold land into freehold and their disposal to generate funds was not given by the state government. NITI Aayog has recommended for closure of BICL in 2017. Pending salary and other dues of the employees will be paid on the closure of the company and disposal of its assets as per terms of closure to be approved by the competent authority.
(c) to (f): Cawnpore Textiles Ltd. (CTL) and Elgin Mills Company Ltd. (EMCL) are subsidiaries of British India Corporation Limited (BICL). These mills were wound up in 1999 and an Official Liquidator was appointed by the order of Hon’ble High Court of Allahabad. Ministry of Textiles facilitated Voluntary Retirement Scheme (VRS) to the employees of EMCL & CTL in 2001. All the employees of EMCL and CTL excluding 47 employees had taken VRS. Salary of the remaining 47 employees which also included school employees was paid by BICL from July, 2001 to October, 2014. In the year 2012 and 2013, the Official Liquidator, Hon’ble Hight Court, Allahabad took physical possession of moveable and immovable assets of EMCL and CTL. After take over of physical possession of assets, all the pending dues have to be paid by the Official Liquidator from disposal of assets of the two subsidiaries.
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