Industry And Cluster | News & Insights

Long-Delayed Justice: Ahmedabad Mill Land Finally Sold

Published: November 4, 2024
Author: TANVI_MUNJAL

After a gruelling 35-year legal battle, a significant step has been taken towards resolving the decades-old issue of unpaid dues to former workers of the Aryoday Spinning & Weaving Mills. The Gujarat High Court has finally approved the sale of 58,000 square yards of land owned by the defunct mill, located in the Asarwa area of Ahmedabad.

The land, valued at Rs 82 crore, was acquired by Devbhoomi Agrifresh Pvt Ltd in a recent auction. This development marks a partial victory for the 3,285 workers who have been waiting for their rightful dues since the mill’s closure in 1989. Sadly, over 60% of these workers have passed away without receiving any compensation.

The legal proceedings surrounding the land sale were fraught with challenges. Multiple bidders had contested the process, delaying the resolution. However, Justice Mauna Bhatt, recognizing the “paramount interest” of secured creditors and the prolonged suffering of the workers, ultimately approved the highest bid.

While the sale of the land is a positive development, it is important to note that the total amount realised from the sale is still insufficient to fully compensate all the affected workers. Previously, the sale of machinery and equipment had yielded only Rs 55 lakh, falling short of expectations.

This case highlights the persistent issue of delayed justice for workers in India’s textile industry. Despite numerous legal hurdles, the workers’ relentless pursuit of their rights has finally borne some fruit. However, the long-lasting impact of the mill’s closure on the lives of these workers and their families cannot be easily undone.

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