World Bank State opposes additional conditionalities Ajodhya Singh Condolences Basu Lambasts World Bank conditionalities Dunlop BIFR wants revival package SSI in Bengal An appraisal

The Dunlop Company management was directed by the Board of Industrial and Financial Reconstruction (BIFR) on 10 August to submit within a month to the Industrial Development Bank of India a fresh package for the Company's revival under section 17(3) of the Sick Industrial Companies Act. At a hearing earlier on the same day, the BIFR rejected the Dunlop management’s revival scheme and asked the Dunlop to submit within the same period all its accounts to the IDBI which was the operating agency. During the hearing the Dunlop management wanted time till 16 August for getting its present scheme approved by the banks, State Governments and trade unions. But the BIFR rejected the prayer since the Company had failed to present a viable blueprint for its regeneration. The BIFR bench even expressed its apprehension that the Company was scheming to reap a fortune by selling its land and other immovable property since the present management had no intention to run the company again. In such circumstances, the IDBI has been entrusted not only to scrutinize the Dunlop accounts in detail but also to prepare its own revival package for the unit in consultation with creditors, banks and the concerned State Governments.

During the hearing before the BIFR Shri Dipankar Mukherjee M.P. on behalf of the CITU, emphasised that the Duncan management's revival proposal submitted before the BIFR lacked credibility. He pointed out that the Company Management’s procrastination and lack of sincerity were clearly evident from the fact that it failed to keep its promise of paying the arrears wages of the workers even after taking a loan of Rs. 44.59 crores on that count. The CITU's contention was supported by the trade union of the Dunlop Ambattur factory.