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Reliance Industries Ltd not cooperating in mill takeover

Published: Monday, Dec 21, 2009, 15:13 IST
Place: Patna | Agency: PTI

The Mukesh Ambani-led Reliance Industries Limited (RIL) is not responding positively in connection with the contract awarded to it for revival of the closed sugar mill at Motipur in Bihar's Muzaffapur district, according to State industry minister Gautam Singh.

Replying to a short-notice question by Shakeel Ahmed Khan (Rashtriya Janata Dal), Singh said the State government had assigned the job of bidding for the closed State-run sugar mills to the SBI-CAP.

RIL was awarded the contract for revival of sugar mills, for which it had to pay Rs55 crore to the State government while taking up the liabilities related to employees, he said.

The minister said the private sector giant had so far paid Rs5.5 crore out of Rs55 crore, and since then, it was not cooperating with the State government "as not a single official of the company had visited us for the takeover process."

"We have issued a notice to RIL seeking to know its stand, and if it failed to respond positively, we will go in for a fresh tender process for the mill," he informed.

"The delay in the decision by RIL has delayed the clearance of dues of the employees of Motipur sugar mill," he said, adding that land-related problems would be resolved if the company officials showed interest in taking over the mill.

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