The unit is expected to be handed over to Kinfra
The process for clearing the financial liabilities of Travancore Rayons Limited, Perumbavoor, is in progress on expected lines, sources associated with the exercise said. The closed industrial unit will be ready for takeover by the government agencies as soon as the current procedures are over.
The unit is expected to be handed over to Kinfra in tune with the government's policy of entrusting the agency for executing the preparatory work of the land to enable the government to hand over it to suitable entities for launching industrial ventures. The Kerala State Industrial Development Corporation (KSIDC) will provide necessary funding arrangements and other guidance for setting up machinery to start manufacture of a new range of products.
A meeting has been convened this week to decide upon the one-time settlement package for banks and financial institutions involved in lending to the unit. The institutional mechanism of various entities involved in the funding process has delayed the process, but the government is hopeful of reaching the settlement within a month, sources said. The decision on package for the labour has already been worked out.
The final package would be discussed in the cabinet soon after arriving at a decision on the one-time settlement with the banks and financial institutions. The government has already submitted statements to the High Court to permit the government to execute the revival process. A case for winding up the unit had been pending with the court and permission is required to extend the time limit allotted to carry out the revival exercise. The latest submission seeking extension of time so as to facilitate the takeover was submitted on May 31, sources said.