EDC seals two IT firms

Sandesh Prabhudesai
30 August 2001  

The emerging information technology sector in Goa received a severe blow with two medical transcription units belonging to Delhi-based Usha Group were sealed by the state finance corporation for non-payment of loan.

Burr Brown India Ltd and Information Technology (India) Ltd, both units owned by Ajay Ray and others from Delhi, were sealed by the Economic Development Corporation for not paying a single instalment of loan amount, including interest, of Rs 15 crore since 1998.

The EDC has also filed an FIR with Verna police as the machinery and other equipment worth Rs 2.8 crore, hypothecated to the state finance corporation, was found missing from both the units, situated at Verna industrial estate.

According to P S Reddy, the EDC managing director, both the units will be now auctioned, along with its assets, in order to recover the loan amount.

Around 190 employees, including 110 medical transcriptionists, have also alleged that they have not been paid salaries for the last five months. Almost 120 among them were trained by the company by charging Rs 20,000 each, while assuring average salary of Rs 6000.

The employees were also lured with an assurance that both the establishments will be taken over by an NRI, who never came down to Goa.

According to EDC officials, the owners of the firm are absconding.

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