The workers’ union of Birla Tyres has taken its plea to the National Company Law Appellate Tribunal (NCLAT), challenging the recent sanction of the resolution plan by the Kolkata bench of the National Company Law Tribunal (NCLT). Representing 307 workers, the union initially filed claims totaling around Rs 31.47 crore for the settlement of pending wages. However, the resolution professional (RP) approved a mere Rs 2.67 crore, equivalent to just 8.48% of the total claim, prompting dissatisfaction.
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Dillip Panda, the union’s general secretary, expressed concern over the arbitrary rejection of claims for 191 contractual workers, despite a directive from the industrial tribunal, deeming it unjust. The union, in its appeal, questions the RP’s compliance with the Contract Labour Recognition and Abolition Act, emphasizing the principal employer’s responsibility for claims of contractual workers.
Highlighting discrepancies in the payments to workers, some receiving as little as Rs 3, Rs 36, and Rs 60 without justification, Panda pointed to inconsistencies in the RP’s acknowledgment of non-payment of remuneration. The union contends that the approval of the resolution plan seems to violate conditions outlined in sections 30 (2), (3), and (4) of the Insolvency and Bankruptcy Code (IBC). Seeking a thorough re-evaluation, the union aims for equitable treatment and justice for Birla Tyres workers. The NCLAT has admitted the appeal, with the next hearing scheduled for January 9.
