Mismanagement the bane of BICL | india | Hindustan Times
Today in New Delhi, India
Jul 28, 2017-Friday
-°C
New Delhi
  • Humidity
    -
  • Wind
    -

Mismanagement the bane of BICL

THE OFFICERS of the British India Corporation have squarely blamed the management for the failure of the BICL revival scheme. Speaking to Hindustan Times on condition of anonymity, these officers attributed all major financial losses to improper handling and incomplete projects under the revival scheme.

india Updated: Aug 24, 2006 01:32 IST

THE OFFICERS of the British India Corporation have squarely blamed the management for the failure of the BICL revival scheme.

Speaking to Hindustan Times on condition of anonymity, these officers attributed all major financial losses to improper handling and incomplete projects under the revival scheme.

At present the corporation’s survival is under question, after the BIFR issued a show cause notice to the BICL about six month back, as to why it should not be closed down.

However, during the last hearing on August 7, the BIFR gave three more months to the Union Ministry of Textiles and the BICL management to speed up their revival efforts. The extension was given after the representative of the MoT assured the BIFR of all possible help in the revival process and pleaded for three months’ time.

In 2002, the revival scheme of the BICL (worth Rs 225 crore) was approved by the BIFR.. The major share of the financial assistance for the revival plan was to come after the sale of BICL assets, but it could not be managed. Moreover, the government aid worth Rs 86 crore was utilised for modernisation, but most of the work was still incomplete, alleged the senior officers.

The sources at the senior level in the management alleged that BICL had been facing mismanagement for a long time. Top post like technical director and director of finance had been vacant for long time, while director of  National Handloom Development Corporation VK Goel was looking after the post of CMD as additional charge, the sources said. Company secretary KC Bajpai was under suspension for the last seven months for his alleged involvement in irregularities committed in the sale of land, while permanent CMD RR Kanojia was suspended in  July 2005 for his alleged misbehaviour with a class four employee .