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Badal Sanyal

AAIFR was supposed to hear the arguments of DIL's debenture holders on March 13, which, however, was deferred till April 2 .

KOLKATA, March 14

THE management of Dunlop India Ltd (DIL) is reported to have got together enough funds for the company to restart manufacturing operations at its Ambattur factory in Tamil Nadu.

Actual re-starting of operations, however, depends on the decision by the Appellate Authority of Industrial and Financial Reconstruction (AAIFR) on the rehabilitation package for the ailing tyre company controlled by the M.R. Chhabria-founded Jumbo Group.

Confirming this over the telephone from Mumbai, a senior executive of the group told Business Line that the management had sought the AAIFR's early approval on re-starting of operations at Ambattur, pending approval by it of the final rehabilitation package after discussions with other major stakeholders of the company.

AAIFR was supposed to hear the arguments of DIL's debenture holders on March 13, which, however, was deferred till April 2 . The Jumbo Group source felt that the AAIFR would be able to make some ad hoc arrangements, which would enable the management to begin manufacturing truck tyres from Ambattur. The source, however, remained non-committal about the resumption of operations from its factory at Sahaganj in West Bengal.

Commenting on the damage to "defunct" property at Kolkata following an early-morning fire on Thursday, the source said it was an unfortunate event but the company would not be financially affected because the property was fully protected against such incidents.

He added that the property, where the company's sales and marketing office was earlier located, was small compared to DIL's total assets and property. According to him, the value of the fire-affected property was just a "drop in the ocean" compared to the total value of the company's idle assets and property which is likely to be leased out and sold as part of the company's rehabilitation package.

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