Union Cabinet approves winding up of Bharat Yantra Nigam Limited

November 14th, 2007 - 2:04 am ICT by admin  
The Cabinet gave clearance to waiver of the Government of India’s (GOI) loan of 1.10 crore rupees as on March 3, 2007, waiver of interest of 4.14 crore rupees accrued on GOI loan as on March 3, 2007, and any addition upto the date of closure.

It also gave clearance to writing down of the share capital of the BYNL to the tune of 2.31 crore rupees, opening of Voluntary Retirement Scheme (VRS) to enable the employee desirous of opting for an early separation before closure of the company, budgetary support for the cost of closure of the company to the extent of 3.82 crore rupees.

The Cabinet also gave its nod to proposals of transfer of the assets and liabilities as on a cut off date of March 3, 2007 of the company among the subsidiaries, transfer of shares held by the BYNL in subsidiaries to the GOI, cosure and winding up of the BYNL, the holding company under the relevant provisions of Companies Act, 1956 after transfer of assets and liabilities to the subsidiary companies and transfer of shares of the Subsidiary held by BYNL to the GOI. Each Subsidiary will become separate Central Public Sector Enterprise.

BYNL is a holding company of six subsidiary companies namely, M/s Bharat Heavy Plate and Vessels Limited (BHPV), Visakhapatnam; M/s Bharat Pumps and Compressors Limited (BPCL), Naini; M/s Bridge and Roof Company India Limited (B and R), Kolkata; M/s. Richardson and Cruddas (1972) Limited (R and C), Mumbai; M/s. Triveni Structurals Limited (TSL), Naini; and M/s Tungabhadra Steel Products Limited (TSPL), Karnataka.

The decision for winding up of BYNL will enable its subsidiaries to have an independent status, which will improve their performance and profitability, a government release said. (ANI)

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