Auction value of Nagaon and Cachar paper mills keeps falling

STAFF REPORTER

GUWAHATI: The value of the land and other assets of Nagaon and Cachar paper mills are declining as time passes by.

Liquidator Kuldeep Verman first floated the tender to auction the property of the two paper mills in June 2021 with a base value of Rs 1,139 crore. As no bidder turned up, the liquidator had to retender in July 2021 with the base value of Rs 969 crore. There were no bidders, forcing him to retender in September 2021 with the base value of Rs 786 crore. Two days back, the liquidator had to float a fresh tender with a base value of Rs 429 crore.

According to official sources, since no party is evincing interest, the auction base value of the property keeps falling in every fresh tender. The State Government is also ready to take over the property. It has offered Rs 300 crore for it. It depends on the liquidator.

Nagaon Paper Mill has a landed property of 573 acres, and Cachar Paper Mill has 1,008 acres. A few months back, the State Government reached an understanding with the employees of the two paper mills that the government would clear their dues of around Rs 570 crore within three months on the condition that the latter would vacate their quarters. The State government did make it clear that it would not revive the paper mills but use their landed property for other industries.

The president of the joint action committee of the employees, Manabendra Chakravarty, said, "We doubt the declining value of the lands and other properties of the two paper mills is a conspiracy to hand them over to a private party at throwaway prices. We are against any private party taking over the property. We, however, have no objection if the government takes over the assets.

"The State Government did assure us to clear our dues and arrears within three months. However, over four months have elapsed. We have not received the amount as yet."

Water Resources Minister Pijush Hazarika took the lead in the understanding reached with the paper mill employees. When The Sentinel asked the minister on the status of the package to the employees, he said, "The government is examining all pros and cons. We will pay the amount to the paper mill employees by May this year."

Also Read;  Paper mills' staff threaten stir from February

 Also Watch: