Wednesday 15 May 2013

Bank takes over Deccan Chronicle press


Deccan Chronicle Holdings Limited (DCHL) suffered another jolt on Wednesday when Kotak Mahindra Bank took possession of the premises of its printing press located at Kondapur on the outskirts of Hyderabad.
It is learnt that bank representatives, along with the police, descended on the printing press and sent away employees before locking and sealing the premises. This action follows notice served by the bank, which lent the media house close to Rs. 100 crore, for default on payment of Rs. 50 crore.
Earlier this year, the bank served a demand notice on DCHL, asking it to wipe out the entire liability within two months. The bank also served a possession notice under the provisions of the Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest (SARFAESI) Act 2002. Accordingly, it pasted a notice at the Kondapur press, indicating a “symbolic taking over” of over 9,800 square yards of land.
DCHL, it is learnt, has shifted the entire printing operations to Kompally.