HAL to sell 87 acres of land to clear outstanding debts
Hindustan Antibiotics Limited, a public sector pharmaceutical company, was declared sick in 1997. Prime land has been cleared for sale in Nehrunagar, in the heart of Pimpri.Updated: Jul 27, 2017 14:25 IST
Hindustan Antibiotics Limited (HAL), Pimpri, had invited tenders for the sale of 87 acres, in order to generate funds for payment of salaries of employees, restoration of the company and to clear debt. A week after the deadline to fill up the tender process got over, employees of the company are worried since the Central government has not communicated with the management of HAL or the employee union and given any further information about the tender process.
Hindustan Antibiotics Limited, a public sector pharmaceutical company, was declared sick in 1997. Prime land has been cleared for sale in Nehrunagar, in the heart of Pimpri. HAL plans to raise ₹821 crore by selling this 87 acres which had been sanctioned to them by the Central government. This land can be sold to any state government department, public sector organisation, or an urban development organisation through the legal process.
The Central government also approved a ₹100 crore loan for payment of salaries of the employees. Apart from this, the Central government also deposited ₹100 crore in the company's account three months ago towards the payment of salaries, arrears and other critical expenses, which offered some relief to employees.
Sale of the company's land would mitigate the sufferings and critical condition of the employees. However, over the last ten years, HAL had invited bids for the sale of 20 acres for housing schemes but nothing materialised.
Arun Borade, vice president of HAL Mazdoor Sangh, said, “We still not get any information about who will take part in the tender process. We are very worried about our salaries. Though, we have received our salaries up to March 2017, we are now waiting the rest.” We are yet to receive approximately ₹7.30 crore, he added.
The sale of land will meet the company's net liabilities of ₹821.17 crore and help in the waiver of government loans and interest amounting to ₹307.23 crore and various dues amounting to ₹128.68 crore.
Over the past six decades, HAL was into commercial production of several antibiotics like penicillin and life-saving drugs, primarily with the objective of providing them at affordable rates.
First Published: Jul 27, 2017 14:25 IST