SC orders Assam govt to settle down Rs 70 crore dues to tea corporation workers
SC orders Assam govt to settle down Rs 70 crore dues to tea corporation workers
Digital Desk: The Supreme Court made a significant move following its ruling that directed the Assam Government to pay the long-overdue debts of Assam Tea Corporation Ltd.
The order states to pay cash-strapped Assam Tea Corporation Ltd. a pending due of Rs 70 crore in two equal installments of Rs 35 crore each and the first installment would be paid by June 30.
However, the second installment is scheduled to be deposited with the ATCL's appropriate authorities by June 30, 2026.
"The state government took a while to come around." The bench, which included Justices Abhay S. Oka and Ujjal Bhuyan, made the statement in light of the pressing issues.
The top court further stated that it would assess whether the state government should be relieved of any future liabilities only after depositing Rs 70 crore.
On December 9, last year, the state government announced that Rs 70 crore would be paid in two yearly payments and requested four weeks to produce an affidavit.
The state government had previously ordered the ATCL chairman to submit information on the company's movable and immovable properties after stating that it could not inject more funds into the loss-making firm, which operates 14 tea estates.
In 2020, the top court established a committee that estimated that workers owed approximately Rs 414.73 crore and that provident funds owed approximately Rs 230 crore.
On February 7, 2023, the highest court ordered that approximately Rs 650 crore be paid to workers in 25 Assam tea gardens, including 15 that were run by ATCL.
