February 12, 2020 (MLN): Hashimi Can Company Limited has released a detailed Independent Auditor’s Report for the Year ended June 30, 2019, which states that the closure of the company's operations was due to an illegal strike by the unionized workers, which led to termination of all employees.
Upon termination, the unionized workers rather than accepting and receiving the termination letters, forcefully entered the premises and ransacked the offices and occupied the same with help of criminal elements of the surrounding area, the report revealed.
This illegal occupation continued for a long time and was vacated recently after much struggle.
‘This very brief background is necessary to keep the events in view which led to all the difficulties the, company has been facing for all the years. The people at front were only the sponsor directors, practically the CEO and the Managing Director. The business abruptly shut down resulting in claims of customers with pending orders which were settled by personal resources of the sponsors along with several litigations at Labor Courts, NIRC and High Court. All the notices by SECP and hearings were also attended by the sponsors and are still being attended’, it further added.
The Company went onto inform that the circumstances were force majure and not in control of the management. After access to the offices was restored, the sponsors started taking care of all the non-compliances and are able to clear most of the unwillfull defaults including:
Now only a matter of settlement of a revision application against winding up order by SECP is pending after which company will be able to join CDC and start its operation in a new field of business. Ground work has already been done and company will start trading business after availability of funds expected very soon through sale of assets, as resolved at the AGM for year ended June 30, 2018.
The Auditor’s Review also included a copy of the Financial Statement for Quarter ended December 31, 2019, which showed improvements regarding qualified view.
In light of the above-stated circumstances, the Company has requested PSX to let it get out of troubles and once again become active and not add further defaults in view of the efforts made by the management to remain afloat after so much struggle.
‘It may be pointed out here that the liability of a bank with first charge was also paid in full after reaching a settlement agreement spread over 2.5 years. This liability was also paid by the sponsors from their own resources and all these amounts are reflected in balance sheet of the company under Director's loans which are interest free and unsecured’ the report added.
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