IMPHAL, May 4: The state government has agreed to provide the fund of Rs 3,47,90,703 to the Manipur Pulp & Allied Products Ltd (MPAPL) as grant to clear the liabilities of MANIDCO payment of Auditors`™ fees and retained it`™s staff etc. for availing Easy Exit Scheme, 2011.
According to a highly placed official source, Manipur Pulp & Allied Products Limited (MPAPL) formerly known as Bamboo Chipping Plants (BCP) was set up on August 31, 1987 as subsidiary unit of Manipur Industrial Development Corporation Ltd. (MANIDCO) and incorporated on October 27, 1988 under the Companies Act. 1956.
The source further said, that the company is defaulting loan to the tune of Rs.17,06,15,089 (Principal plus Interest) of MANIDCO released to MPAPL in different stages. As per government direction, MPAPL had negotiated with MANIDCO to the payment of a reduced amount of Rs.3,29,37,414 under one time settlement of (SIDBI).
Further the Government of India, Ministry of Corporate Affairs vide their circular No.2/7/2010-CL V dated February 3, 2011 has decided to extend the Easy Exit Scheme, 2011 but no provision of fund was provided to the payment of liabilities of MANIDCO and payment of salaries of retained staff, audit fees etc. the official source added.