Kerala - Kozhikode   

Comtrust crisis: panel seeks VS’ intervention

KOZHIKODE: A committee formed to “save Comtrust Weaving Factory from closure” has sought the Chief Minister’s intervention to end the labour dispute and ease the financial crisis that have paralysed its functioning.

The committee has said that “a solution is unlikely to emerge from the reconciliation talks held by District Collector P.B. Salim. In fact, the problems that have crippled the factory are too complex to be solved at the district-level. So the Chief Minister must intervene and facilitate the factory’s revival,” A. Vasu, chairman, Comtrust Protection Committee, said on Monday.

Mr. Vasu pointed out that without clearing its Rs.15-crore debt it would not be possible to revive the factory.

The Comtrust Protection Committee has strongly opposed moves to clear the liabilities by selling the 2.5 acres on which it is located since it believes “that the proposal is a conspiracy hatched by some top politicians, the factory management and the factory-directors.”

However it is not against raising money for the factory’s capital requirements and for clearing its debts by selling the land owned by the Comtrust in other places, which are not needed for running Comtrust’s factories.

A way had also to be found to clear the mounting interest on loan that had been taken from a private bank, because of which the debt had been rising steadily.

“Interest has to be paid to the bank. Payment of Provident Fund and ESI is also in arrears. So, sale of company land that is not required for the factory has become urgent,” he said.

“All concerned know that it is the only solution to the problems. The company land in Puthiyara, Faroke in Kozhikode and in Jappu in Mangalore could be disposed of to raise funds to clear debts. These are issues that cannot be solved through district-level talks,” Mr. Vasu said, appealing to Chief Minister V.S. Achuthanandan, Industries Minister Elamaram Karim and Labour Minister P.K. Gurudasan to convene a conciliatory meeting to revive the factory.

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Comtrust crisis: panel seeks VS’ intervention

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