business-northeast-logo

AIDC all set to bid for paper mill assets

BNE ADMIN


Spread the love

Guwahati: Assam Industrial Development Corporation (AIDC), the nodal agency tasked by the State Government to procure the Hindustan Paper Corporation (HPC) assets at Nagaon and Cachar, is likely to participate in the e-auction to be held on March 28.

Sources said that following the sixth auction notice by liquidator Kuldeep Verma, AIDC has submitted an 'expression of interest' (Eol) to participate in the e-auction.

In her budget speech on March 16, Finance Minister Ajanta Neog had said that the Government has decided to take over the assets of HPC by discharging all its obligations to its employees and other debtors as admissible under law. "Total expenditure will be Rs 700 crore. We are going to release around Rs 375 crore before March 31, 2022, and the balance in the next financial year," she had said.

Interestingly, the reserve price of the properties at Nagaon and Cachar has been fixed at Rs 375 crore. The property at Jagiroad is 573.95 acres and the Cachar Paper Mill at Panchgram is spread over 1,008 acres. HPC also has a 10 katha property at Haflong which has been clubbed in the Rs 375-crore worth assets by the liquidator. AIDC is the sole bidder for the assets at Nagaon, Cachar, and Haflong, sources said.

Earlier, the 99.56 'cottah' HPC Housing Colony at Salt Lake in Kolkata has successfully auctioned at Rs 70.07 crore against the reserve price of Rs 52.65 crore, three years after the liquidation of the defunct PSU properties had commenced.

The Assam Government had initially offered Rs 300 crore for the assets at Jagiroad and Panchgram, but it had also stated in a letter to the liquidator that the price can be "negotiated if needed".

The offer from the Assam Government had come after it had inked a deal with the employees to clear their dues as part of a relief package and an assurance that it would take over the assets at Nagaon and Cachar.

BNE ADMIN