The two-member bench of the board comprising G Narayanan and NR Bannerji in its recent order said that MLL could not revive on its own and appointed Industrial Development Bank of India (IDBI) as the operating agency to examine the viability of the company and formulate a rehabilitation package by December 1999.

BIFR order comes in the wake of MLL's networth of Rs 3.87 crore being completely wiped out by accumulated losses of Rs 4.91 crore.

While directing the operating agency to suggest cost measures for MLL's revival, BIFR also said that operating agency would get valuation of assets of the company as on March 1998 done through a reputed firm of chartered engineer or accountants. The board directed MLL promoters to allow the operating agency access to all information including inspection of theplant.

IDBI would also study in depth market potential for company's existing and proposed products and managerial competence of the promoters, BIFR said. The board said that BIFR and IDBI would appoint a nominee director each on MLL board.