BIFR package for 4 cos

NEW DELHI, May 24: The Board for Industrial and Financial Reconstruction BIFR has come out with schemes to rehabilitate three private sect...

NEW DELHI, May 24: The Board for Industrial and Financial Reconstruction BIFR has come out with schemes to rehabilitate three private sector companies and one public sector undertaking PSU.

The board has formulated a Rs 10.85 crore scheme to revive ailing public sector Indian Turpentine and Rosin Co Ltd ITRC, a Rs 5.32 crore plan for Loharu Steel Industries Ltd LSIL, a 4.60 crore rehabilitation scheme for Matushree Textiles Ltd MTL and another Rs 50 lakh proposal to revive sick Bhiwaniwala Jute Fibres BJFL.

The Maharashtra-based Matushree Textiles8217;s rehabilitation plan envisages sale of its Silvassa unit and one time settlement of dues of banks and financial institutions.

The cost of the scheme of reviving MTL includes capital expenditure Rs 26.50 lakh, pressing creditors Rs 51.68 lakh, working capital Rs 95.01 lakh and repayment of lots to Unit Trust of India Rs 1.22 crore. The scheme is proposed to be financed by way of equity Rs 1.25 crore and unsecured loans Rs 1.25 crorefrom promoters and sale proceeds of Silvassa units Rs 2.10 crore.

The revival plan for ITRC, engaged in manufacturing turpentine and other derivatives from resin and also industrial alcohol from molasses, envisages processing of leesa into rosin/turpentine, one time settlement of lease finance dues of Industrial Finance Corporation of India IFCI and sale of industrial alcohol plant and other surplus assets.

According to BIFR order, Rs 10.85 crore cost of scheme of ITRC include one time settlement OTS to IFCI worth Rs 4.60 crore, dues of forest department to the tune of Rs 4.0 crore and margin money for additional working capital worth Rs 64 lakh.

The revival plan of Loharu Steel, having a rolling mill near Bangalore for manufacturing tor-steel rods and plain mild steel, envisages restructuring of liabilities by way of lots of dues of Punjab National Bank and regularising the dues of Canara Bank and capital expenditure on power generating set. The cost of the scheme has been estimated at Rs 5.32crore which comprises dues of PNB worth Rs 1.90 crore, capital expenditure of Rs 1.1 crore, interest on crystallised dues to the tune of Rs 54 lakh and margin money for working capital worth Rs 96 lakh.

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The scheme is proposed to be financed by way of equity Rs 2.06 crore, unsecured loans Rs 1.8 crore, sale of surplus assets Rs 65 lakh and by internal accruals Rs 82 lakh.

The revival plan of Bhiwaniwala Jute, engaged in manufacture of jute twine at their plant at Nachhipur Orissa, envisages capital expenditure for removal of imbalance and payment to the pressing creditors. The cost of the scheme is estimated at Rs 54 lakh comprising capital expenditure Rs 43 lakh, payment to pressing creditors Rs 8 lakh and margin money for additional working capital Rs 3 lakh.