The Centre is planning to close down the HMT Watches Company due to heavy losses in its operation and lack of demand for its production in the market.
The HMT Watches Company, a subsidiary of HMT Limited, has been incurring losses since 2000 and struggling to generate resources to pay salaries to its employees.
The Department of Heavy Industry, Ministry of Heavy Industries & Public Enterprises, administrative control of the company, has decided to shut down HMT Watches and HMT Chinar Watches and winding up process will be started soon, sources told Deccan Herald. Earlier the Board for Reconstruction of Public Sector Enterprises (BRPSE) has recommended for closer and even the company board also gave its approval.
Though in 2000, the HMT Watch Business Group was restructured as HMT Watches Limited, the firm started making losses soon.
Despite several revival plans were mooted, it was junked by the Ministry of Finance and Planning Commission after it was found that none of the proposals were viable.
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