HNGIL Workers Union Writes To Labour Ministry Demanding Prosecution Of Resolution Professional

In a move that raises serious questions about the upkeep of Hindusthan National Glass & Industries Limited (HNGIL) assets, its workers' union has written to Labour and Finance Ministries against the appointed resolution professional Girish Juneja, accusing him of working on the behest of some vested interests. 

In a letter addressed to Union Labour Minister Dr. Mansukh Mandiya, the Workers Union of Hindusthan National Glass & Industries Limited (HNGIL) stated, "The Union Leader has received several suicide threats from the workmen of the Puducherry unit and other units due to constant harassment and injustice at the hands of the Resolution Professional (RP). Therefore, it is humbly requested that the Hon’ble Union Minister and other concerned officials urgently address this matter."

According to DNA India, the letter from the workers union is also addressed to the Union Finance Minister and Union Labour Minister, requesting strict action against Resolution Professional Girish Juneja of HNGIL. Juneja, who is responsible for the proper upkeep and maintenance of the corporate debtor's assets, has been accused of significant misconduct. The story will be updated once Juneja's reaction to these allegations is available.

During an inspection of HNG’s Sinnar plant by Maharashtra's Deputy Director of Industrial Safety, Mr. K.T. Zope, following a fire incident on December 29, 2023, it was found that the firefighting equipment was in a scrap condition. These findings have been submitted to the Chief Judicial Magistrate of Nashik, where Mr. Zope has demanded the prosecution of RP Juneja under the Factories Act.

The Workers Union letter to the Union Labour Minister further states, "A complaint dated 28.03.2024 was filed by the Deputy Director of Industrial Safety and Health, Nashik under the Maharashtra Factories Rules, 1963, before the Chief Judicial Magistrate, on the grounds that the RP failed to maintain the firefighting equipment at the plant."

The DNA report also mentions a police complaint filed by the Nashik plant workers' union with the Sinnar MIDC police station. In this complaint, RP Juneja is accused of purposely conspiring to shut down HNGIL's plants to direct its customers to AGI Greenpac, the second-largest player in container glass in India.

The workers' union of HNGIL has accused RP Juneja of colluding with AGI Greenpac. AGI Greenpac Limited, formerly known as HSIL Limited, is India’s leading packaging products company, manufacturing and marketing various packaging products including glass containers, specialty glass, Polyethylene Terephthalate (PET) bottles and products, and security caps and closures.

According to DNA, the Competition Commission of India (CCI) on March 15, 2023 stated that a merger between HNGIL, the largest player in container glass, and AGI Greenpac, the second largest, would create a monopoly and adversely affect competition (AAEC). It is notable that AGI Greenpac’s application under FORM 1 (Green Channel) was deemed “Not Valid” in October 2022 due to these AAEC concerns.

As per the DNA India report, AGI Greenpac, being a publicly listed company, was penalized by SEBI for violating the Listing Obligations and Disclosure Requirements (LODR). In its order dated April 30, 2024, SEBI noted that AGI Greenpac had failed to inform its investors about a show cause notice it received from the CCI on February 10, 2023. The story will be updated with the reaction of AGI Greenpac once the company puts forward its side on the issue.