Nizam Sugar factory employees cry foul after NCLT orders liquidation

The sugar factory employees staged a protest at the factory in Bodhan demanding that the Telangana State government should take steps to have the NCLT judgment scrapped.

Published: 14th June 2019 07:05 AM  |   Last Updated: 14th June 2019 10:43 AM   |  A+A-

Nizam Sugars factory near Bodhan in Nizamabad

Nizam Sugars factory near Bodhan in Nizamabad (File Photo)

Express News Service

NIZAMABAD: The National Company Law Tribunal (NCLT)  has ordered liquidation of Nizam Deccan Sugars Limited (NDSL) recently.  The State government had 49 per cent stake in the Nizam Sugars.

With the NCLT order, political parties and NDSL employees are all eyes as to how the issue would pan out in the coming days. 

Largest sugar factory in Asia, Nizam Sugars was established in 1938 in Bodhan. Later its units were established in several other places.  In undivided Andhra Pradesh, the then TDP government as part of development of Nizam Sugars sold 51 per cent stake to a private players. 

The sugar factory has three additional units at Bodhan, Metpally and Mumbojipally (Medak).

During 2014 election campaign, the TRS leadership had promised to take over Nizam Sugars if they come to power and develop it.  As promised, the TRS government in 2015 issued a GO to continue all the three units of the sugar factory under cooperative sector.

In this backdrop a lay off was declared and all the three units were closed.

The private management of the sugar mill then approached the National Company Law Tribunal (NCLT) in 2017 for liquidation. After hearing both sides NCLT recently gave its verdict in support of the liquidation process.  

Agitated over the NCLT judgment, the employees of the sugar factory staged a protest at the factory in Bodhan on Thursday demanding that the State government should take steps to have the NCLT judgment scrapped. The employees further want the State government to absorb them in any other governments jobs and also clear their pending salaries.

Stay up to date on all the latest Telangana news with The New Indian Express App. Download now
(Get the news that matters from New Indian Express on WhatsApp. Click this link and hit 'Click to Subscribe'. Follow the instructions after that.)

Comments

Disclaimer : We respect your thoughts and views! But we need to be judicious while moderating your comments. All the comments will be moderated by the newindianexpress.com editorial. Abstain from posting comments that are obscene, defamatory or inflammatory, and do not indulge in personal attacks. Try to avoid outside hyperlinks inside the comment. Help us delete comments that do not follow these guidelines.

The views expressed in comments published on newindianexpress.com are those of the comment writers alone. They do not represent the views or opinions of newindianexpress.com or its staff, nor do they represent the views or opinions of The New Indian Express Group, or any entity of, or affiliated with, The New Indian Express Group. newindianexpress.com reserves the right to take any or all comments down at any time.

flipboard facebook twitter whatsapp