IDBI to auction Sirpur Kagaznagar Paper Mill’s assets on Feb. 16

Sirupur Kagaznagar: All preparations have been made to auction the closed Sirpur Kagaznagar Paper Mills, which was only paper mill in Telangana State.

According to informed sources, the auction of assets of the mill will be held on February 16. The Industrial Development Bank of India was making preparations in this regard sending shockwaves to the workers who solely depended on the mill. The IDBI invited e-procurement tenders on behalf of Banks Consortium as the paper mill management had failed to pay Rs 422-crore arrears of loans taken by it from various banks. The IDBI has given time to submit the bids from January 23 to February 14 and the auction will take place on February 16.

The paper mill was closed two-and-a-half years ago as the management failed to run it due to heavy financial burden. It resulted in over 4,600 mill workers losing their jobs. Curiously, the e-tender announcement was made when the State government announced that it would give various subsidies to those who reopened the mill. –NSS

Leave a Reply

Your email address will not be published.