Ranchi, Oct. 22: Jharkhand High Court today clamped a stay on the salary of Bihar State Industrial Development Corporationís (BSIDC) managing director as the sick entity has failed to clear the dues of former employees.
A division bench of acting Chief Justice D.N. Patel and Justice Amitav Gupta passed the order while hearing a public interest litigation filed by the Bihar State Industrial Development Corporation Karmachari Mahasangh for payment of their pending salaries since 1997.
The bench observed that earlier on October 29, 2012, the high court had asked the corporation to sell its units and deposit Rs 75 crore, which was to be used to pay the former employees. However, BSIDC did not abide by the courtís instructions, prompting it to stay withdrawal of managing director Sudhir Kumarís salary till November 21.
BSIDC counsel Ananda Sen, however, pleaded that the corporation would deposit a sum of Rs 2 crore with the high courtís registrar-general by October 25. An amount of Rs 5.5 crore will be deposited by November 21, the next date of hearing. The corporation, Sen said, would have to take a loan from the Bihar government in order to arrange the money.
BSIDC is also taking steps to sell off its units that have been declared sick, the counsel added.
In the petition, the Mahasangh said that there are five units of the corporation in Jharkhand ó Bihar State Super Phosphate, Sindri, High Tension Insulator Factory, Malleable Cast Factory and Swarnarekha Watch Factory in Namkum and Electrical Equipment Factory in Tatisilwai.
The petitionerís counsels Himanshu Mehta and Manjushree Patra informed the court that as many as 1,551 employees of the corporation had not been paid their salaries and other monetary benefits since 1983.
BSIDC last released a meagre amount in 1997. Several employees retired, while many died during this period. At present, 1,263 employees are fighting for dues.