Business Standard

Regency chief for CBI probe

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BS Reporter Chennai/ Hyderabad

Regency Ceramics Limited (RCL) chairman, GN Naidu, has sought an inquiry by the Central Bureau of Investigation (CBI) into the incidences of violence, arson, looting and murder of RCL president (operations), KC Chandra Sekhar, at Yanam in the Union Territory of Puducherry where its manufacturing unit is located.

Addressing a press conference here on Tuesday, Naidu said about 400 workers of RCL “encouraged and aided by outside anti-social elements” indiscriminately attacked employees attending to duty besides torching the plant and machinery, company trucks and buses and killing a key executive.

He said the Puducherry chief minister had ordered a probe into the episode by a deputy inspector general (DIG) of police. The chief minister assured him that a CBI probe would be sought, if necessary, after the DIG team completed its investigation.

 

According to Naidu, the situation at RCL took a serious turn last week when some employee representatives forcibly stopped workers from entering the factory premises. This resulted in violence and commotion and what followed was a gruesome attack on the employees, arson and looting.

Apart from RCL plant, he said, a packaging unit, several trucks and furniture, office equipment and records of a school and junior college belonging to the Regency group were damaged.

He said the extent of damage was yet to be ascertained. According to preliminary estimates of insurance companies, the loss could be over Rs 150 crore. The company has an insurance cover to the tune of Rs 500 crore.

Earlier, honorary president of the RCL workers union and Congress MP, Harsha Kumar, also sought a CBI probe into the incident in which RCL union leader, Murali Mohan, also reportedly died.

Naidu, however, said Murali Mohan was dismissed from employment about 8 months ago on grounds of insubordination and indiscipline. RCL workers wanted him to be reinstated but the management did not.

Established in 1984, RCL, which has an employee strength of 1,200, had been incurring losses for the past six years. The promoters stated that they had infused more than Rs 21 crore during this period to keep the operations going.

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First Published: Feb 01 2012 | 12:01 AM IST

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