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Gzb company shut 30 yrs ago but occupied govt land, fined Rs 111 crore
Ghaziabad
: Modinagar Palika Parishad has slapped a fine of over Rs 111 crore on Modi Tele Fibre, a defunct private firm, for illegally occupying 25 acres of municipal land since 1984.
Though the company, once involved in textile thread manufacturing, shut down nearly 30 years ago, it continued to hold onto the land until the civic body reclaimed it in 2021.
A formal notice now demands payment within 15 days; failing to do so, recovery proceedings will begin, officials said. The case marks one of the region's largest municipal penalties.
"The Modi Tele Fiber, which used to make textile fiber, was in possession of about 25 acres of govt land in C-Line, which was used for commercial purposes. In a land audit carried out in 2021 by the palika, it was revealed that the company was in illegal possession of the land where it set up a factory and dwelling units," said Ankit Choudhary, revenue officer, Modinagar Nagar Palika.
In Khasra number 632, 2910 sqm of land was encroached; 1140 sqm in Khasra number 633; 1390 sqm in Khasra number 641; and in Khasra number 572, about 21730 sqm of land was under company possession.
"The fine amount has been computed for the time period between 1984 and 2021, which has been calculated to be Rs 111 crore. In 2021, we took possession of the land, but within the factory, there are a few areas where the company has dumped its unused and defunct machinery.
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Since the company was closed many years ago, we pasted the notice on the company gate to deposit the amount in 15 days, failing which the recovery process will be initiated," added Choudhary.
The palika issued similar notices to the company earlier, but it failed to respond. "Since the company has been closed down for many years now, which has led to mass retrenchment of workers, there is no office or employees left, so we had to paste the notice on the gate of the company," said Choudhary.
Attempts were made to contact the management of the company, but to no avail. Modi Tele Fibres (MTL), formerly known as Modi Threads, was incorporated in August 1983 as a private limited company and became a public limited company in March 1985
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