Mumbai Textile mills land being e-auctioned

New Delhi, July 29 (ANI): Textile Minister Dayanidhi Maran on Thursday started the first-ever online auctioning of the sale of land of two closed mills in Mumbai owned by the National Textile Corporation (NTC) from New Delhi.

About 11 acres of the land, occupied by the two mills, is situated at a prime location.

This is the first initiative by a government-based company to sell their land through the process of e-auctioning in order to bring about transparency in the bidding process.

Maran has officially declared open the bidding process for Podar Mill land, spread over 2.39 acres.

The reserve price of the land has been fixed at 2.5 billion rupees.

The auction will take place over the next three days and the minimum bid increment amount has been fixed at 20 million rupees.

"With the objective to bring in transparency, for the very first time National Textile Corporation (NTC) is selling its assets through e-auctioning. I think the first mill to go is Podar Mill. There are about eight people who have paid their EMD (Earnest Money Deposit) and we expect that at the present market rates, we expect a good fair amount of deal to come out from this," said Maran.

There are about seven bidders finalized for the second deal which features some noted groups like Indiabulls InfraEstate, Peninsula Real Estate Management, Ahimsa Realtors, Perspective Realty, Videocon Realty and Infrastructure and Lodha Structure Developers.

NTC is expected to make hefty profits through this bidding process so that the money can be used for the implementation of its revival scheme.

The money will be used for the modernization of the various NTC-owned mills and paying due compensation to the workers.

NTC endeavours to transform itself into a profit making integrated textile company, consisting of ginning, spinning, weaving, processing, and garmenting by the end of the current financial year. (ANI)