The fate of Mangalam Cement will be decided in the next six months. B K Birla group, the promoters, will either hive off the company or allow it to go to liquidation.
This was intimated to financial institutions by the company after Industrial Development Bank of India (IDBI) warned the management of legal action under the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Bill, 2002.
In response to the IDBI threat, the B K Birla group has refused to infuse any more funds to revive the firm though it had proposed such an infusion as part of a restructuring package earlier.
The company
