ADILABAD: The closed Sirpur Paper Mills Limited (SPM) has been put up for sale by banks to recover their dues amounting to ₹422.21 crore. The sale is being seen as the first concrete step towards reopening of the unit which has 2,000 staff and workers on its rolls besides 1,000 contract workers.
SPM was an integrated pulp and paper mill, one of the largest manufacturer of variety and colour paper. It was started in 1938 in Sirpur-Kagaznagar town in Adilabad district. It is now owned by R.K. Poddar and has stopped production since October 2014 throwing the lives of the workers and the general economy of Kagaznagar town out of gear.
Government support
The Industrial Development Bank of India, which has been assigned the role of Authorised Officer, had taken physical possession of the mill and other properties in October 2016. The duration since the closure of the factory has also seen intense efforts made by Sirpur MLA Koneru Konappa to get it reopened.
The MLA had mobilised about ₹ 70 lakh for payment of school fee of the children of the workers of the SPM among other things. He welcomed the notification for sale of SPM.
“Chief Minister K. Chandrashekhar Rao and Municipal Administration Minister K.T. Rama Rao are keen on the mill being revived.
They have promised support of the Government in any move towards saving the interest of the workers,” the MLA recalled.
