Ahmedabad Collector carries out 1st auction in 13 yrs

The Ahmedabad Collector has auctioned an industrial unit and paid its workers, National Small Industries Corporation and other creditors their dues from the funds raised. The industrial unit was defunct for nearly 13 years. This is the first-ever auction carried out by the Alien Recovery Branch of Ahmedabad Collectorate.

Standard Material Agency Pvt Ltd, a unit located in Phase-IV of Vatva GIDC area, owed more than Rs3.5 crore to its workers, the NSIC and other creditors. The Ahmedabad collector was given the authority to auction the machinery and land belonging to the industrial unit under Revenue Recovery Certificate.

The auction was carried out on December 21, 2010 with upset value of the property fixed at Rs3.60 crore. The collectorate received Rs4 crore from a private party. However, the whole issue was caught in the legal battle which was finally resolved in favour of the collectorate.

This is first ever recovery carried out by the alien recovery branch of Ahmedabad collectorate, said Vijay Nehra, collector of Ahmedabad. Altogether 32 parties had shown interest in purchasing the property. Chechani Group from Rajasthan bided highest price of Rs4.01 crore for the property. Now, the sales deed has been executed and dues of NSIC and workers will be paid shortly, official of alien recovery branch.