Moser Baer employees get ₹100 crore after company assets get liquidated

The liquidation of Moser Baer’s assets has brought some cheer to the company’s employees. While it has managed to settle about ₹100 crore, another ₹15-16 crore remains to be paid, as claimed by the employees.

According to Anil Kohli, the official liquidator for Moser Baer, ₹100 crore has been paid to workmen out of the total ₹325 crore recovered from the liquidation. The entire provident fund (PF), gratuity and salaries for the insolvency resolution period of ten-and-a-half months has been paid despite the plant being closed all that time.

But the pre-Corporate Insolvency Resolution Process (CIRP) dues that workers are eligible for under the Workmen’s Compensation Act have not been cleared. This would be equal to two-and-a-half months’ pay, from August 1 to November 13, 2017, said Swarnendu Chatterjee, an advocate representing the Moser Baer Karamchari Union. The amount is close to ₹16 crore.