The management of the Sirpur Paper Mills (SPM) at Kagaznagar in Adilabad district has made a regulatory filing with the Bombay Stock Exchange that its plea for admitting its ‘case’ made with the Board for Industrial and Financial Reconstruction (BIFR) be accepted. The plea was made based on the fact that the factory was making losses.
The SPM had suspended production at the end of October last year on the plea that it was unable to purchase raw material owing to losses and to its ever increasing cost. The factory has 3,150 staff, workers and contract workers, those belonging to the last category agitating for opening the paper mill since the last three months as they have not received their salaries for the period.
The management has issued an appeal to the government to extend it the required financial help, besides giving some concessions in the form of deferred payment of electricity bills to reopen the SPM. The workers on the other hand are accusing the management of negligence.
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The workers staged a protest at Kagaznagar railway station when Deputy CM Kadiam Srihari arrived at Kagaznagar as part of his visit. Accusing the management of negligence, he assured the workers that the government would make efforts to protect their interests.
Urges its ‘case’ made with the Board for Industrial and Financial Reconstruction to be accepted