Talks on Kanpur jute mill row end amicably

Written by Deepa Jainani | Lucknow | Updated: Jun 27 2009, 05:35am hrs
Talks between the JK jute mill management, its workers and the labour department ended amicably late on Thursday night, after the management agreed to withdraw the work suspension order from June 29, subject to restoration of power to the mill after clearing a payment of Rs 37 lakh.

The talks also formally announced the agreement arrived at between Sarda group and Moolchand Jain, a jute trader. The management of the mill has now been passed over to Jain, who will look after the daily running of the mill and all its expenses. Jain will also pay Sarda group Rs 1,000/tonne or at least Rs 6 lakh per month for using the mill. This money will be used to clear off outstanding liabilities of approximately Rs 50 crore.

Speaking to FE after the talks, Moolchand Jain said he was hopeful that work in the mill would start soon and that workers would cooperate with the management.