Coop. mill land transferred to private party

HYDERABAD, DEC. 22. About 26 acres of surplus land on the premises of Rajahmundry Cooperative Spinning Mill was handed over to the preferred bidder, Tadi Tata Rao of Krishna Enterprises, for a sale consideration of Rs. 3.52 crores on Friday.

Last week the asset transfer of the mill on a seven-acre site to the approved bidder, Nookala Venkat Venugopala Rao, was effected for a consideration of Rs. 2.79 crores. Thus, the spinning mill with the plant and machinery and the adjoining land fetched a sum of Rs. 6.31 crores to the Government, according to a press release by Implementation Secretariat, which is overseeing the privatisation of State-level public enterprises.

It was made clear in the bid document for sale of the mill that bids for the plant and machinery would be considered only if suitable offers were received for the surplus land, owing to its attractive commercial potential.

Seven cooperative spinning mills have been identified for privatisation under phase-I programme of public enterprise reforms scheduled to be completed by the month-end. Two mills at Adilabad and Rajahmundry have since been privatised and the mill at Nellore is expected to be transferred to the private parties shortly.

Out of the remaining four mills, Parchur, Chirala and Chilakaluripeta, put up for sale in September did not receive encouraging bids. They would be adertised again. Nandyal mill would be put up for asset transfer once the court order is vacated.