The Hindustan Antibiotics Mazdur Sangh, the only employees union in the public sector pharmaceutical company Hindustan Antibiotics is all set to scuttle the privatization move proposed by the government for this BIFR referred company. Mumbai based pharmaceutical major, Sun Pharmaceutical Industries has given a last minute offer to take over the company. Sun's offer was accepted by IDBI as the operating agency appointed by BIFR even after a winding up notice issued by the Board to the company.

According to informed sources, the Sun proposal is most likely to be considered by the Board after obtaining a consensus with government and the creditors. The Board has already issued a winding up notice to Hindustan Antibiotics, as there were no suitable offers during the private bidding announced early this year. However, the employees union has secured a stay from the Bombay High Court till December 18 against the closure move.

Commenting on the union's view about BIFR move to either privatize or wind up the company, Arun Bhorade, general secretary, Hindustan Antibiotics Mazdur Sangh (HAMS) said that the company's current operations are on a progressive path and there is no need for privatization. "We want the government to run the company for which the company itself has submitted a proposal with no fresh fund infusion from the government."

Since the company has submitted its proposal to the Board, it should have examined the same before calling for another proposal from the private sector, he said. "Also, while doing so, the Board or the operating agency should have at least informed us about the same. Since Sun's proposal was accepted in a secretive manner, we suspect some sort of unfair play in the whole deal," he added.

Bhorade said that if the BIFR wanted to consider the private proposal on December 18 as the concerned parties are called for a hearing, we have no option but to approach the court to the stop the move," he said.

The proposal is likely to be heard on December 18, when the Board is scheduled to conduct a hearing of the company management, creditors and the government with regard to the already served closure notice. According to informed sources Sun's offer would also be presented at the hearing. If the creditors and the government give their consent to the offer, the Board will most likely consider this proposal for prospective change of management in the company, the sources added.