The Telegraph
Since 1st March, 1999
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Mardia Chem in blame game on debt woes

New Delhi, Dec. 9: Mardia Chemicals, slapped with a defaulters’ notice by the ICICI Bank, said today the country’s largest private conglomerate — the Reliance group — was behind its problems.

“They demanded that our caustic chlorine plant should be sold to them which I disagreed,” said R. S. Mardia, chairman and managing director. “They said they would ruin me.”

Mardia claimed that the company was forced to halt production for seven months on the trumped up charge that the plant was discharging hazardous chemicals into the environment. “Ours was a zero discharge company. We were punished under a pretext from which we never recovered.”

ICICI Bank has recently taken over a closed Mardia Chemicals factory in Vatva, Gujarat after the company failed to pay back an outstanding loan amount of Rs 300 crore under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Bill 2002. The Mardias had applied for a loan of Rs 551 crore from a consortium of bankers and financial institutions with ICICI Bank as the lead banker.

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