Over 1000 employees of Super Bazar in the capital will get back their jobs as the Supreme Court on Wednesday paved the way for its revival by approving the scheme prepared by the Centre and the successful bidder duo of Indian Potash Ltd and Indian Labour Cooperative Society.
A Bench headed by Justice B P Singh approved the revival scheme after Additional Solicitor General Amarendra Sharan submitted that the Government and the successful bidders have sorted out the modalities for revival of the ailing shopping cooperative.
The Bench asked the bidder duo, petitioner Super Bazar Karamchari Dalit Sangh and the Central Registrar of Cooperative Societies to formally put it before the court. It also asked the government to facilitate the revival process and posted the matter for hearing on May 10.
Under the scheme, IPL-ILCS duo will have to match the Rs 288 crore bid of Reliance Indistries Ltd that on March 15 opted out of the race after the Centre refused to amend the Multi State Cooperative Societies Act, 2002 to allow them have full management control over Super Bazar. IPL-ILCS counsel Vivek Singh said the revival would be done within the parameters of the Act.
Central Registrar would be required to quash the proceedings for winding up of Super Bazar and the three Administrators would be appointed under Section 123 of the Act - one each representing the Government, IPL and ILCS.
After the appointment of Administrators, employees who have not availed of Voluntary Retirement Scheme shall come back on the rolls of Super Bazar. Out of over 2200 employees, only 1050 are left as the rest either took VRS or died during the pendency of the case.
Petitioner’s counsel Sarwa Mitter welcomed the order and expressed the hope that the whole process of revival would be completed soon.
After the appointment of the Administrators, a Special Annual General Meeting will be held to carry out the necessary amendments to the by-laws of Super Bazar in consonance with the provisions of the Multi-State Cooperative Societies Act and the court’s directions. After registration of the amendments, the Central Registrar would allow induction of new institutional members, including IPL and ILCS.
After the induction of fresh equity and registration of amended by-laws, the 75 per cent Government equity may be returned before the new Board takes over management from the Administrators or Board of Administrators.
Before its shut down, the Super Bazar had around 40,000 shareholders, 156 branches, 15 mobile vans and other units functional in Delhi.
The court asked the combine, the Government and the Registrar of Cooperative Societies to sit together and discuss the modalities for revival of Super Bazar under the existing legal framework without any changes in the Act.
The bids were invited in May last year on the orders of the court while hearing a petition filed by Super Bazar workers' union challenging a Delhi High Court order upholding the 2002 decision to wind up the ailing cooperative.