Stay order on vacating quarters by paper mills employees’ extended by Delhi High Court

February 26: In a great relief for the HPC Paper Mill Employees of Nagaon and Panchgram, Delhi High Court on January 28, 2020 passed a stay order over the Order of Liquidator of HPC to vacate the quarters of the employees within 31 January, 2020. On 25 February, 2020, the stay order was extended till 25 March, 2020 by the Delhi High Court, in response to case of Cachar Paper Project Workers Union versus Union of India.

As per report, the liquidator has submitted in written that the process for revival of HPC Paper Mills of Assam as a “going concern” will commence within a few weeks as per orders of the National Company Law Appellate Tribunal (NCLAT) given on 29 May, 2019 and 18 February, 2020.

In a joint press release issued by Ananda Bordoloi, General Secretary & Manobendra Chakraborty, President of the Paper Mill Employees Union said, “The Union of India and the Central Provident Fund Commissioner have not submitted their replies till date and have sought time to submit it during the next date of hearing. The next date of hearing is on 25 March, 2020. We have full faith on judiciary and confidence that justice would be delivered.”

They further mentioned that, “he government  cannot deny their responsibilities and will discharge its duty to save the industries and employment of two lakh youths in industrially backward state of Assam.”

The National Company Law Tribunal (NCLT) had in November 2019 ordered the liquidation of the Nagaon and Cachar paper mills after the central government refused to release Rs 98 lakh that Hindustan Paper Corporation Limited (HPCL) owed to a company named Allow & Metals as payment for raw materials the latter supplied to the two paper mills. A  circular has been issued on behalf of the liquidators of Hindustan Paper Corporation Limited (HPCL) on 23 December, 2019 asking “residents of respective quarters of HPC Ltd (including HPC Salt lake housing complex) of all locations to kindly vacate their quarters by 31.01.2020”.

Cachar Paper Mill and Nagaon Paper Mill run by Hindustan Paper Corporation Limited (HPCL) have been non-functional since 20 October 2015 and 13 March 2017 respectively. The employees of the two mills have not received salaries for the past 36 and 34 months.