Calcutta, June 29: With the erosion of more than 50 per cent net worth at the end of the last fiscal, Mangalam Cement Limited, an BK Birla group company, is now knocking at the doors of the Board of Industrial and Financial reconstruction.The company has convened an extra-ordinary general meeting (EOGM) to inform shareholders that net worth as at the end of the financial year ended on March 31, 2000 in relation to its peak net worth during the immediately preceding four financial years, has eroded by more than fifty per cent.
This erosion of net worth attracts the provisions under Section 23 of the Sick Industrial Companies (Special Provisions) Act, 1985.
The company is also taking necessary steps to report any erosion to the BIFR.
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