Chief secretary Yogendra Narain told newsmen here on Wednesday that the company which had incurred accumulated losses to the tune of Rs 230 crore during the last five years had been declared sick by the Bureau of Industrial and Financial Reconstruction (BIFR) in 1994.

The government was not in a position to further carry out the revival of the financially sick company and the state cabinet had given its approval for the same during its marathon meeting last night, the chief secretary said.

The decision for closure of the unit was being communicated to the BIFR while the legalities of the decision would be looked into by a committee, Narain said.

Of the six divisions, barring the computer training division, others would be closed down. The computer division would be transferred to the UP Electronics Corporation, theparent body, he said.

The public sector undertaking (PSU) has presently over 2000 employees engaged in six divisions.

Narain said the employees of the company would be given the `retrenchment benefits' and would be paid all the legal dues.

Uptron, once known for its brand names in the electronic goods, had been running into financial losses since 1991 and now approximately Rs 150 crore were required for its revival, the chief secretary said.

Prime Minister Atal Behari Vajpayee, who represents Lucknow parliamentary constituency, during his recent visit had assured the agitating employees that the Centre would look into the revival package of the company.