24 April 2007 11:41 [Source: ICIS news]
BIFR is a statutory authority that decides the fate of chronically loss-incurring manufacturing enterprises. The company did not indicate whether it intended to challenge the board’s order before a higher statutory authority.
It merely quoted the order: “The bench confirmed its prima-facie opinion that it would be equitable and in [the] public interest if the company was wound up in terms of Section 20(1) of the Sick Industrial Companies (Special Provision) Act, 1985.”
The authority declared the company “sick” in January 2006 and had asked financial institution IFCI Limited to explore the prospects of turning the company around by submitting its recommendations.
The company has been incurring losses since the 1990s and its 12,000 tonne/year acrylic fibre plant at Haldia in
In 2005, Consolidated Fibres submitted a financial and operational restructuring package to lenders, which mooted the installation of a co-generation plant for producing process steam and electricity.
For the latest chemical news, data and analysis that directly impacts your business sign up for a free trial to ICIS news - the breaking online news service for the global chemical industry.
Get the facts and analysis behind the headlines from our market leading weekly magazine: sign up to a free trial to ICIS Chemical Business.
|ICIS news FREE TRIAL|
|Get access to breaking chemical news as it happens.|
|ICIS Global Petrochemical Index (IPEX)|
|ICIS Global Petrochemical Index (IPEX). Download the free tabular data and a chart of the historical index|
Asian Chemical Connections