E-Paper
Now, modified scheme for BIC revival
WITHOUT ANY major change in manpower and management, preparations are on to submit modified revival scheme for British India Corporation (BIC), which has been sought by the Board of Industrial and Financial Reconstruction (BIFR) by end of February 28, 2006. According to well-placed sources, three senior officers of the BIC are on move to meet chairman-cum-managing director (CMD) and thereafter Union Ministry of Textile to discuss about said scheme before it was submitted to BIFR.
WITHOUT ANY major change in manpower and management, preparations are on to submit modified revival scheme for British India Corporation (BIC), which has been sought by the Board of Industrial and Financial Reconstruction (BIFR) by end of February 28, 2006.
According to well-placed sources, three senior officers of the BIC are on move to meet chairman-cum-managing director (CMD) and thereafter Union Ministry of Textile to discuss about said scheme before it was submitted to BIFR.
While talking to HT, officers of the BIC said that BIFR had granted many financial and other relaxations to BIC, so it could gain profit and run with its own financial sources in future, while it finalised the revival scheme in November 2001.
However, due to laxity and malafide working no improvement could be made in about five years time.
They said that this time too same thing might happen after BIFR approves proposed modified revival scheme. They were in view that lot of changes were needed to bring improvement at BIC. They suggested that a full-fledged CMD should be appointed and who should be able to handle day-to-day matters.
The other departments of BIC need to bring efficiency in their working style of sale, marketing and technical. They alleged that due to poor marketing lot of produced items was laying in warehouses. Therefore, search for market was an urgent need at present.
According to sources, in earlier proposal of revival more than Rs 2 cores provision was made and about Rs 125 core were to be obtained by the BIC’s valuable land and Rs 49 cores were given by the government as assistant along with Rs 39 core interest free aid. Besides, government had agreed to take the burden of three years of salary of employees too.
In the same way, financial institute had exempted the interest on their loan, however, they said that interest would be charged from the date of BIFR decision till it paid to them by BIC, sources added.
The money expected from land resources could not be collected fully and only about 25 per cent could be obtained yet. However, government had given all aids assured by it, sources informed.
About poor management at BIC, another former employee of BIC as company secretary Grija Shankar Bajpai too agreed, while talking to HT few days back. He said that since company was managed by private management and after it became public sector company, could not follow the system in management to be followed by the public sector company.
Bajpai said that in private management function on the basis of ‘word of mouth’. However, public sector function on the basis of records.
