The Corporation has powers to take over the physical possession of assets of defaulting industrial concerns and to enforce its recovery by way of sale of the securities mortgaged/hypothecated to it.  These powers are exercised under the provisions of Section-29 of the State Financial Corporations act, 1951 and this method is resorted to only after all efforts to recover the dues of the Corporation by other means have been exhausted.  The procedures for sale of assets are described in detail below :- 

1.   Valuation

The valuation of assets taken over is conducted by an external valuer on the Corporation’s panel of valuers.  The external valuer is required to conduct the valuation as per the prescribed scope of work, which is placed at Annexure-1.   The external valuation is to be amended every year.  If needed, internal valuation is done in specific cases as per guidelines at Annexure-2.

The valuation of the assets reflects a fair price of the assets and the realizable value for the unit, since the valuation is done duly taking into account all the positive or negative factors associated with the unit viz. its location, industry situation, condition of assets etc.

 2.       Invitation of Offers

The Regional Manager/H.O. release advertisements inviting offers for the purchase of assets of the units.  The interested parties can inspect the assets after contacting the concerned  District Manager.  All intending buyers are to be provided a copy of the terms and conditions of sale as per Annexure-3.  Offers are required to be accompanied with earnest money deposit of 10% of the amount of offer by Demand Draft (subject to a minimum of Rs.1.00 lakh).

The offer is to be given in a prescribed format which is available with all District Managers (Annexed at Annexure-4).

The RM/GMs are authorized to finalize the text of advertisements themselves and  to release them.  The following guidelines are applicable to the release of advertisement:

·         The unit may be advertised in the first instance, i.e. after attachment in 1 or 2 local and 1 national daily having good readership.

·         Readvertisement may be done normally once in 6 months.  The media for readvertisement may be got approved at every successive advertisement

·         At the stage of publication of the highest offer in hand, the media may be as under:-

Land/land and building

Local daily having good readership base.



Entire unit                  

local daily and 1 national newspaper.

In case need is felt for additional media, RM may seek approval of H.O.

3.      Terms and Conditions of sale (Annexure-4)

The salient features of the policy in sale of assets are as under:-

        I.            The Corporation entertains offers for the unit as a whole  (i.e. as a    project), or for land and building, and plant and equipment separately).

     II.            Offers are to be made in the prescribed format and should be accompanied with earnest money deposit (non interest bearing) equal to 10% of the amount of offer (subject to minimum of Rs.1.00 lakh).

The  earnest money is required to be deposited at the stage of making the offer.  At successive stages of negotiation no incremental earnest money is required from the offerer.  But at the stage of publishing the highest offer, the balance of 10% earnest money must be secured from the offerer whose offer is decided to be published.

Payment Terms:

Offers for plant and equipment would be accepted only on 100% cash down payment basis.

Offers for  land and building and also for entire fixed assets (i.e. for land, building and plant and equipment) may be on the basis of a part of sale consideration being payable upfront (cashdown) and the remaining being payable within a negotiated period.  The portion of sale consideration agreed to be deferred shall be charged interest at the prevailing rate of the Corporation.  The period of payment of deferred part of sale consideration shall be as per final negotiation as agreeable to the approving authority of the Corporation.

4.      Negotiation Process

The negotiations after receipt of offers proceed as under:-

The offers are invited by concerned Regional Manager/H.O. in whose area the said unit is located, and the offers are negotiated by the Regional Manager/Committee constituted at H.O.  A second or third negotiation may also be held if offers are found to be inadequate.

a.       If the offer does not increase beyond 50% of the valuation, the earnest money may be refunded by the RM, and no approval of H.O. is required.

b.      If the offer has come above 50% of the valuation, then the rejection of the offer and refund of earnest money may be recommended by the RM and approval of H.O. obtained.

c.       Once a suitable offer has been received, (i.e. an offer having reached at least 80% or above of the valuation), the Regional Manager will get it published in the news paper and solicit offers at least 5% higher than the offer in hand.

d.      If a higher offer is received thereafter, the new offerer and the offerer whose offer was published would be invited for the final round of negotiation by concerned Regional Manager who makes his recommendations thereafter.

e.       If an offer is received after the last date mentioned in the advertisement in which the highest offer was published by the Corporation, the same shall be entertained as under:

·         The new offerer desirous of having his offer considered after close of negotiations, will have to give an undertaking to bid at least 10% higher than the offer in hand.

·         The new bid can be considered only when open chance is given to all others.

·         The new offerer will  be required to tender 10% earnest money deposit with his undertaking.

·         A fresh advertisement publishing the new highest bid will be released by PICUP and cost of such readvertisement will be borne by the new entrant in the sale process.

·         As it is possible that a new bidder may intervene in a bid with intent to thwart the sale, hence in the event that the highest bidder withdraws his bid, the loss so suffered by PICUP wil be borne by the new bidder.  This would be enforced by seeking some easily enforceable security clause such as personal guarantee, etc.

 5.      Association of Promoters in Sale Process:

With a view to bringing about move transparency in the sale procedure and also ensuring receipt of a better offer from promoters, the promoters shall be informed about the sale by sending them copy of the advertisement by which the highest offer has been published and advising them to introduce a better offer on the date fixed for negotiation.


6.      Delegation of Powers for approvals of Sale Proposals:

The sale proposals in prescribed format would be considered and approved at 3 levels:-

(A)    General Manager   - in cases where the loans outstanding (incl. Those of pari-passu charge holders) are upto Rs.100.00 lakhs and sale offer covers the valuation of assets.

(B)     Managing Director – in cases where the loans outstanding are upto Rs.100.00 lahs and sale offer does not cover the valuation of assets.


In cases where the loans outstanding are over Rs.100.00 lakhs and sale offer covers the valuation of assets.

(C)    Settlement Committee  - in cases where the loans outstanding are over Rs.100.00 lakhs and sale offer does not cover the valuation of assets.

No negotiations are to be conducted  until the valuations have been completed.  If offers are received in cases where valuation/revaluation is pendng, they may be retained with the consent of the purchaser or may be returned, with the advice in both cases, as to the earliest date when the same can be considered.

7.      Issue of Sale Letter:

The letter of sale is issued after approval of competent authority has been obtained.

8.      Handing Over of Physical Possession of the Unit:

Once sale consideration or the down payment (as per negotiated terms of payment approved by the PICUP) has been received, the possession of the unit is handed over to the purchaser.  If the entire sale consideration is required to be paid upfront, then a sale deed is executed  right away with the purchaser.  If, however, a portion of sale consideration is deferred, i.e. payable over a span of time, then the rightful title of the assets can not be transferred to the purchaser but he would be allowed to take possession of the unit on depositing down payment and be required to pay interest on the deferred part of sale consideration at the prevailing rate of interest alongwith principal sale consideration under an `Agreement to Sell’.  In such cases the purchaser is required to provide the personal guarantees of the directors, partners, etc. alongwith details of their personal assets (networth)

9.      Default in making payment of Sale Consideration:

In case of sale on deferred payment basis/terms, the mortgage on the assets existing in favour of the Corporation continues.  In the event of default in payment of sale consideration the Corporation has the right to retake possession of the assets after issuance of a notice to purchaser under Section-29 of the State Financial Corporations Act, 1951.  In this case, all payments made by purchaser are forfeited by the Corporation.  For delays in making payment, the Corporation will charge penal interest over and above the current rate of interest for the defaulted amount and defaulted period.  

10.  Treatment of Liabilities of the Company whose assets have been sold:

 Electricity Dues:

Under the law, the electricity dues of the previous consumer are not to be charged to/collected from the purchaser of assets (Isha Marbles v. Bihar State Electricity Board).  The corporation will provide all assistance to purchaser to procure the reconnection of power.

Trade Tax, Excise, Custom etc. Dues

These due are not payable by the purchaser.  In case of any difficulty, the Corporation liaises with concerned departments to sort out problems/remove irritants, if any.

Dues of other pari-passu charge holders/second charge holders:

The dues of other pari-passu charge (FIs/Banks) creditors are settled from out of the sale consideration on a prorata basis.  The Banks normally have the stock of current assets hypothecated to them by way of a first charge.  As the Corporation does not dispose of such current assets under the sale process, the purchaser does not get any right to utilize the current assets.  The concerned Banks are advised to remove the current assets charged to them, at the time of handing over possession of fixed assets to the purchaser.  If it is not done, the purchaser is required to keep the same in safe custody until the Bank removes such assets from the premises.

11.  Refund of Earnest Money

i)          If offer does not increase to atleast 50% of the valuation on negotiation, the earnest money may be refunded by the RM and no approval of H.O. is required.

ii)         If the offer has come above 50% of the valuation, then rejection of offer and refund of earnest money may be done by RM after recommendation by him and approval of H.O.

12.  Forfeiture of Earnest Money:

If the offerer withdraws his bid at any stage prior to negotiation, or the highest tenderer withdraws his bid at any stage before issuance of letter of sale, the earnest money deposited by him shall be forfeited.




          In   supersession  of  previous   circulars   regarding

    valuation  of assets for disposal of units u/s-29,  one  time

    settlement  and  permission  for sale  of  total  assets/part

    assets, the updated guidelines shall be as follows :


    1)    The  valuation  should  be  conducted  only  after  the

    physical  inspection  of the assets (to be  valued  by  Tech.

    Officer) No valuation can be conducted without inspecting the

    assets to be valued.


    2)    We  should assess the fair market value of  the  assets

    which  means the value which the assets would fetch, if  they

    were disposed of in the open market.



          i) Private land:-


          The  basis  of valuation of land shoud  be  the  circle

    rates, rates of the nearby areas, rates taken in the cases of

    valuation  in recent past, as mentioned in the sale  register

    with registration authorities and local enquireies.  However,

    care  must  be  taken as quite often value  of  the  land  as

    recorded  in  the  sale  register  may  not  be  actual.  The

    valuation report should clearly specify the circle rate,  the

    rate  of  the  sale  register  (alongwith  the  location  and

    distance  of  the  land from the land  under  valuation)  and

    details  of  local enquiries for market rate.   The  names  &

    address of the persons who were contacted for local enquiries

    for making assessment of land price should also be  recorded. 

    However,  following points should also be kept in mind  while

    making actual assessment of value of land:


    a)    Specific location, size & shape of the land.

    b)    Future development plans of the area.

    c)    Connectivity & Infrastructure facility availability.

    d)    Rates prevailing in Govt. Indl. area  (NOIDA/UPSIDC/DI

          ETC.) in the vicinity of land under valuation.




          For  the land belonging to industrial areas of  UPSIDC,

    DI or Industrial Development Authorities, the current rate of

    the  land  in that area should be found from  the  respective

    organisation/deptts. and same must be recorded.  However many

    times it is found that these rates are lower than the  market

    rates  prevailing  in  that area.  Hence  with  these  rates,

    market  rates must also be invariably recorded and  valuation

    should be made on the basis of these rates.  In case of lower

    market  value  in the area, the guidelines for  valuation  of

    private land be kept in mind and recorded for valuation.



   iii)  LEASE HOLD LAND:-


          There  has  been some confusion over the  valuation  of

    land  which is available to the unit on lease.  If the  lease

    is given by some Govt. Deptt. (like to D.I. etc.), Some Govt.

    Corporation   (like   UPSIDC  ETC).   OR   Govt.   Industrial

    Development Authorities (like NOIDA, Greater NOIDA etc.) then

    the  valuation  of the land should be done on  the  basis  of

    current rates (please see para (ii) above irrespective of the

    remaining period of lease.


          However, if the lease is from private person/bodies the

    ramaining  period  of lease would be an important  factor  in

    evaluating  the  land.  Following discount may be  taken  for

    balance lease period available :


          Perpetual lease          -    full value

          More than 60 yrs.        -    -do-

          30-60 yrs.               -    25% discount

          10-30 yrs.               -    50% discount

          Less than 10 yrs.        -    90% discount


          However,  it is important to find out as to who is  the

    lessor/title     holder     of    the     land.      If     a

    partner/proprietor/promoter    director    (whose    personal

    guarantee  has  been  taken)/guarantor  is  the  lessor/title

    holder  of  land, the land be considered to be  available  as

    free hold if it is assigned/mortgaged to the corporation  (as

    by  invoking the personal guarantee the land can be  attached

    and  sold  freely).  In such cases full market value  of  the

    land can be taken in the valuation.




    i)    The basis for valuation of the building is the  average

    useful life of the factory building which has to be assessed. 

    Normally for industrial buildings this could be taken  around

    25  to 30 years.  On the basis of this useful life  and  some

    residual value, depreciation @ 5% per year (By W.D.V. method)

    may  be  taken  on the present gorss  cost  of  the  building

    construction  as  per the prevailing rates  approved  by  the



    ii)    If  the factory building has been constructed  on  the

    land  available  on lease from private  persons/bodies,  full

    value  as  per  our  current rates should  be  taken  in  the

    valuation provided the remaining lease period of the land  is

    more   than  10  years.   If  a   partner/proprietor/promoter

    director (whose personal guarantee has been  taken)/guarantor

    is the lesssor/title hoder of land, the land be considered to

    be available as free hold if it is assigned/mortgaged to  the

    corporation.  However, in case the remaining lease period  of

    the land is less than 10 years and neither personal guarantee

    of  lessor/title  holder of the land is available nor  is  it

    assigned/mortgaged  to  the Corporation, then it may  not  be

    possible to get full value of the building.  In that case 50%

    discount  may be taken for 10 years and further  5%  decrease

    per year for subsequent years.


    iii)   If any part of the building has damaged  significantly

    (i.e. beyond normal deterioration) a realistic assessment  of

      the same must be made as per the current rates.  The  details

    of this should be clearly mentioned in the valuation  report. 

    Proper  justification  for allowing deduction  must  be given

    clearly.   These  deduction should be made from  the  present

    gross  value of the building construction as per the  current

    rates before allowing depreciation.


    iv)   The rates for part construction of building  shall  be

          considered on the basis of following break up :    


    i)    Upto plinth                        10%

    ii)   Brick work in super structure      16%

          upto lintel level

    iii)  As above but upto roof level       14%

    iv)   Roofing                            24%

    v)    Flooring                            7%

    vi)   Wood work                          18%

    vii)  Internal finishing                  7%

    viii) External finishing                  4%


                                  Total :   100%          


    v)    Realisable value of building :


          It  has  been observed that reasonable offers  are  not

    available  for the units of slow moving and very slow  moving

    areas  because of the fact that the offer is compared to  the

    valuation of the assets which is being done as per prevailing

    norms  of the Corporation.  For example, value of a  building

    at   NOIDA   and  value  of  another  building   of   similar

    construction and covered area at Selakui, will be the same as

    per  our norms.  But while building at NOIDA may fetch  close

    to  100% of its valuation or even more it may not fetch  half

    of  its  value at Selakui due to  locational  disadvantage  &

    other several reasons.


          Hence it is felt that for the units of slow moving  and

    very  slow  moving  areas, there should  be  some  indicative

    guidelines to spell out some optimum realisable value for the

    assets particularly for building of the unit.


          Hence while assessing realisable value, officer  making

    valuation  will  use  his common  prudence  and  will  record

    specific  reasons, if assessement of realisable valuation  is

    on lower side within the given range :

                          REALISABLE VALUE


    i.    FAST MOVING AREA         100% of the normal valuation.

    ii.   SLOW MOVING AREA          85% of the normal valuation.

    iii.  VERY SLOW MOVING AREA     75% of the normal valuation.


    NOTE :

    i)    Assessment to be done as per suggestive remarks in the

          preceding para.

    ii)   RRV to be taken after calculating dep. value.




          The valuation of plant & machinery depends upon so many

    factors, such as :


    -     Whether there is any case of technological obsolescence

    -     Whether there is any reduction in the price of plant &

          machinery since installation of these machines.

    -     What is actual condition of plant & machinery, i.e.

          Whether  critical/crucial parts of the  machines  have

          lost their accuracy and workability.

    -     Whether major parts are missing.

    -     Whether dies and moulds(as the case may be) are really

          suitable and marketable.

    -     Whether  currently same machines are being  sold  with

          more accessories and technological upgradation.

    -     Whether any particular industrial sector is passing

          through a bad phase/recession, etc.

    -     Loss of facility of Sales Tax exemption.

    -     Loss of opportunity of warranty which is normally

          available to new machines.


          In case of imported machines, the valuation shall  also

    depend on the following factors :-


    -     Variation in Landed value ( in foreign currency).

    -     Variation in currency exchange rate

    -     Variation in customs duty


    i)    Ideally the value of machines should be the replacement

    value  but looking to the various factors as mentioned  above

    and  the fact that the escalation in prices of  machines  for

    the   last  4/5  yrs  is  generally  insignificant   due   to

    competitiveness,  parctically the bill value of the  machines

    can  be  considered,  hence base of  value  for  arriving  at

    saleable  prices,  in  case  of  imported  m/cs.,  the   pre-

    depreciated   base-value  will  be   calculated   considering

    original bill value & above mentioned parameters.


    ii)    In case a particular machine is damaged or some  parts

    are missing then a realistic assessment should be made to the

    repair  cost  and the current value of  missing  parts.   The

    present  value  of missing parts should be reduced  from  the

    base  value  of  the plant & machinery  before  allowing  the



    iii)  The depreciation rate would be 10% per annum (by W.D.V.

    method) for normal plant & machinery, 15% for those parts  of

    plant   &  machinery  which  are  in  regular  contact   with

    liquid/corrosive  chemicals  and 20% in cases  of  fabricated

    furnaces  and dies & moulds.  The Gen. Sets be depreciated  @

    10% before the date of possession of the unit and @ 5%  after

    the date of possession of the unit.


    iv)   It only the plant & machinery of a unit is proposed  to

    be sold (and not the land & building) only bare cost of plant

    & machinery should be considered.  However if the entire unit

    i.e.  land,  building & plant & machinery is proposed  to  be

    disposed  of,  installation and transportation  charges  etc.

    should also be considered for the valuation.


    v)    If certain vital parts or plant & machinery have  badly

    damaged  beyond  repair and the machinery has  been  rendered

    useless  as  in the case of furnaces made of civil  work  and

    refractory, etc., the scrap value of the same may have to  be

    considered  for  the valuation.  In such cases a  team  of  2

    Tech. Officers will make the valuation.


    vi)  Consideration may also be given if the plant & machinery

    has  become totally obsolete and  operationally  uneconomical

    and  uncompetitive, as in the case of computers etc. In  this

    case  also  a team of two technical officers will  made  this





    i)    Generating    Sets/Pump/Boiler/Transformer   etc.    be

          assessed as plant & machinery.


    ii)   Civil Constructions be valued as per building.


    iii)  Furniture & fixtures be valued as plant & machinery.




    i)    Valuation as conducted above shall remain valid  for  a

    period  of  one year from the date of valuation.   After  one

    year, fresh valuation would have to be conducted. However  in

    between  if  there is a significant increase  in  the  market

    value  of  land  (in case of  land  of  UPSIDC/DI/Indl.  Dev.

    Authority, these institutions/Deptts may also revise price of

    land)  or  plant  & machinery or rates  of  construction  are

    modified  by the Corporation, the valuation would have to  be

    corrected/modified accordingly.


    ii)    Valuation  of  D-II  category  &  those  cases   where

    sanctioned amount is above Rs. 50.00 lakhs, should be done by

    a team of at least 2 Tech. Officers. 







U/S 29 OF SFC'S ACT, 1951




       1-    The assets of units are available for sale on `As is

             where is basis'.


       2-    Interested  parties  are  invited  to  submit  their

             offer(s)  in  sealed  cover  so  as  to  reach   the

             Sr.Manager (Technical), PICUP Head Office, or the Sr.

             Regional Manager,Noida,PICUP (as the case may be),on

             or before  the date  mentioned  in the advertisement 

             for  sale  of unit. The offer should be accompanied

             with  detailed background of the purchaser company,

             its  directors/ partners/proprietor, particulars of

             net  worth  with details of personal assets  of 

             promoters/directors/ partners and liabilities.


       3-    The  offer should be accompanied by a  Demand  Draft

             equivalent to 10% of the amount of offer, (subject to

             minimum  of  Rs. 1,00,000) in  favour  of  'PICUP' 

             payable  at  Lucknow  as  earnest  money   and   the

             envelope containing the offer should be superscribed

             with  the words `Offers for (Name of  the  Industrial

             Unit)'.   No interest is payable by the  Corporation

             on the earnest money.


       4-    The  offered sale consideration may be on 100%  cash

             down basis.  In case the offer is on part cash  down

             &  part   deferred  payment  basis,   the   deferred

             portion of sale consideration will carry interest at

             the   prevailing  rate  and  payable  as per a mutu-

             ally agreed schedule.


       5-    Interested  parties may also submit their offer  for 

             Land  &  Building and Plant &  Machinery  (including

             Misc.  fixed assets) separately.  In case of  offers

             for purchase only of plant and machinery  (including

             miscellaneous fixed assets), the sale price will  be

             required to be paid 100% cash down.


       6-    If  the  offer is accepted by  the  Corporation  and

             offerer  does  not come forward to make  the  agreed

             downpayment  within stipulated time as mentioned  in

             the sale letter, the offer shall stand rejected  and

             the amount deposited towards earnest  money shall be

             automaticaly forfeited without any notice.


       7-    The  Corporation  reserves the right to  accept  any

             offer  or  to  reject all or  any  of  them  without

             assigning any reason.



       8-    The unit can be inspected by prior arrangement  with

             the  converned District Manager at Head Office of PI

             CUP, Gomti Nagar, Lucknow (Tel.: 0522-2720798,803,805,

             FAX-0522-2720792); or the Regional Manager  (Noida),PICUP

             Regional Office,B-35, Sector-14, NOIDA. (Tel. 0120-

 2512624,2516691;FAX:0120-2510039)for units located in     

 Noida, Ghaziabad, Gautam Budh Nagar, Bulandshahr, and Meerut. 


       POST  SALE  CONDITIONS  (applicable to  sale  on  deferred

       payment basis):


       1.    The  purchaser will not remove from site,  transfer,

             sell  or otherwise dispose of or encumber the  plant

             and   machinery  and  other  assets  without   prior

             approval of PICUP in writing.


       2.    The  purchaser  will repair and keep the  assets  in

             good  working  condition  and  shall  get  the  same

             insured  in joint names of PICUP and  itself as  per

             norms of the Corporation and will deposit the  cover

             note with the Corporation.


       3.    In  case  the  purchaser is  a  company  within  the

             meaning of the companies Act, 1956, the  Corporation

             will have a right to nominate one Director at  least

             on  the Board of the purchaser company in  case  the

             sale is on deferred payment basis.


       4.    The  Corporation  will have a right to  inspect  the                

             factory  with or without prior appointment and  will

             have a right to call for any statements,  periodical

             returns, or financial details in connection with the

             working of the unit.                                 


       5.    The    assets    of   the    unit    shall    remain                  

             hypothecated/pledged/mortgaged/assigned in favour of

             the Corporation until the full/final realization  of

             the dues in respect of the deferred portion of  sale



       6.    In  case  of breach of any terms and  conditions  or       

             default  in  payment  of  the  balance   outstanding

             amount,  the  Corporation  will have  the  right  to

             initiate recovery  proceedings by way of taking over

             the assets under Section 29 of the SFC's Act,   1951

             or   by  issuing  a  Recovery  Certificate   against

             purchaser  or through any other remedy available  as

             per SFC   Act or otherwise.


       7.    In  the  event  of default  in  making  payments  of

             interest/instalments of deferred sale consideration,

             an  additional  interest  @  2.5%  p.a., by way of

             penal interest,  would  be charged   on  the  defaulted 

             amount  and  for   the defaulted period, over and

             above the prevailing rate of interest.  


       8.    The  directors/promoters  of the  purchaser  company 

             shall  furnish  irrevocable personal  guarantee  for

             payments of  interest  and   instalments  of   Sale

             Consideration on due dates.


       9.    In  the event of default in making payments  of  any

             interest  or  deferred  instalments  or  total  sale

             consideration  as  stipulated  in  sale  letter,  or

             payments  against  bills raised by  PICUP,  if  any,

             PICUP  reserves  the right to cancel  the  sale  and

             forfeit the amounts already deposited.


      10.    The cost of stamp duty and sale deed shall be  borne

             by the purchaser.




       1.    The   Corporation  shall  not  bear  any   liability

             whatsoever in respect of the assets being sold.   As

             far  as old power dues of UPSEB are  concerned,  the

             Hon'ble  Supreme Court has laid down the law in  its

             judgement in the case of M/s. Isha Marbles Vs  Bihar

             State  Electricity  Board  (1995)  2  SCC  that  the

             auction-purchase  is  not  liable  to  pay  the  old

             electricity dues of the old previous  consumer/owner

             of assets.


       2.    Offers found suitable on a preliminary scrutiny  would

             be  taken  up  by a  Negotiation  Committee  of  the

             Corporation  constituted  for the  purpose  and  the

             parties making such offers may be invited to  appear

             before  such committee for negotiation on a day  and

             time notified in writing.


       3.    The Corporation may postpone the date of sale at its

             discretion  by an order pasted on the  Notice-Boards

             in its offices.



       4.    The  highest negotiated offer will  be  readvertised

             and  offers at least 5% higher shall be  invited  by

             the Corporation. Opportunity will be allowed to  the

             highest  bidder to match or better the new offer  so

             received and a negotiation may be held. After  close

             of  final  negotiation  no  fresh  offers  would  be



Annexure 4



S.29, SFCs ACT,1951



The Regional Manager/ The Senior Manager

Pradeshiya Industrial & Investment Corporation

of U.P.Ltd.,

B-35, Sector 14, Noida/ PICUP Bhawan,

Gomti Nagar,





Dear Sir,


SUB:REQUEST FOR  PURCHASE  OF  ASSETS  OF  M/S_________________________


I am submitting  an application for purchase of  fixed assets of the unit, alongwith Bank Draft no. _______

dated_________ draw on _____________________ for Rs.______________, being  10% of the amount of offer /

 Rs.1,00,000/- (whichever is higher) towards earnest money.  I am submitting the offer after having gone through

the TERMS AND CONDITIONS OF SALE prescribed by the PICUP, which are acceptable to me/us.


The particulars of the offer/ offerers are as under:


A.     Amount of offer:

B.     Payment Terms

C.     Name of offerer (Individual/Firm/Company)

D.     Address

E.      Phone Nos./Fax Nos.

F.      Details of Partners/Directors (append sheets)


Name and                       Age          Educ.Qual.     Experience                 Details        Details

Address                                                                                              of Immovable     Movable

                                                                                            Property           Property










We have authorized Shri ____________________ to negotiate on our behalf.  His signatures are attested below:


                                                                                                          Yours faithfully,




                                                                                                       (                               )