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Meghalaya has approved a special one-time plan to shut Mawmluh Cherra Cements Limited (MCCL), commonly known as Cherra Cement. The state’s formal 2025 closure scheme provides a total outlay of ₹98,25,92,649 (about ₹98.26 crore) for employee-related payments, supplier and contractor liabilities, and dues owed to 90 former employees. A separate claim that ₹24.43 crore in dues was written off is not confirmed by the official closure notification or the contemporaneous All India Radio report.
What the Cabinet decision covers
An All India Radio Shillong bulletin reported that the Meghalaya Cabinet approved a special one-time plan to close the factory. It also said Chief Minister Conrad K. Sangma described a voluntary retirement scheme for more than 250 employees and said the government would sell MCCL’s assets. The bulletin does not mention a ₹24.43-crore write-off.
The legal and financial framework is set out in the Meghalaya Commerce & Industries Department’s One-Time Special Industrial Closure Scheme for Mawmluh Cherra Cements Limited (MCCL) Unit, 2025, issued on 30 January 2025. The government portal lists it as Notice IND.47/2024/69.
The notification sets the scheme’s total financial outlay at ₹98,25,92,649. It is a closure package to settle specified liabilities and provide employee benefits; it is not, by itself, evidence that a particular debt was waived or written off.
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How the ₹98.26-crore package is allocated
| Category | Amount | What the notification says |
|---|---|---|
| Permanent employees, including Home Guard liabilities | ₹83,71,39,896 | Largest component of the closure allocation |
| Suppliers and contractors | ₹7,73,08,345 | Specified supplier and contractor liabilities |
| 90 former employees | ₹6,81,44,408 | Outstanding payments |
| Total | ₹98,25,92,649 | Overall one-time closure-scheme outlay |
The liability cut-off is 31 December 2024. Payments are planned over three financial years in a 40:30:30 ratio, rather than as a single payment on the notification date.
What employees are entitled to
The scheme specifies several elements of the employee settlement:
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- Salary compensation capped at 48 months of basic salary plus dearness allowance (DA).
- Gratuity calculated under the Payment of Gratuity Act.
- Leave encashment of up to 300 days.
- Settlement of outstanding dues.
- Applicable pay revisions.
The All India Radio report separately describes the employee exit route as a voluntary retirement scheme for more than 250 workers. The notification’s financial schedule includes permanent employees and Home Guard liabilities, while also identifying payments due to 90 former employees.
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The plant had stopped operating
The official notification says the unit had been non-operational since March 2020. It records that the government considered revival but concluded that restarting the plant was not feasible because of environmental, financial and operational constraints.
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Production history and investment
MCCL was originally incorporated as Assam Cements Limited on 20 May 1955, renamed Mawmluh Cherra Cements Limited in 1974, and began commercial production on 15 November 1966. A 600-tonnes-per-day dry-process plant was commissioned in September 2016 at a stated total cost of ₹142.97 crore. The notification says low capacity utilisation and continuing operating problems made the unit financially unviable.
The government’s conclusion is stated plainly in the notification: “the MCCL’s revival is not feasible due to environmental, financial and operational constraints.”
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What is known about the ₹24.43-crore write-off claim
The ₹24.43-crore figure appears in the supplied news title, but it is not stated in the 30 January 2025 closure notification, the Meghalaya government’s scheme listing, or the retrieved All India Radio bulletin. Those records establish the ₹98.26-crore closure outlay and its categories; they do not establish a ₹24.43-crore waiver, accounting write-off, or creditor settlement.
“Write-off” and “closure package” describe different actions. A write-off could mean that a creditor’s claim is waived or removed from accounts. The MCCL scheme instead sets out compensation and settlement payments, with a defined cut-off date and instalment schedule. Without a Cabinet minute, finance or industries department order, or official press release specifying the ₹24.43 crore, its scope and accounting treatment cannot be treated as verified.
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What happens next
- Eligible employee, former-employee, supplier and contractor liabilities are identified using the scheme’s 31 December 2024 cut-off.
- Payments are scheduled across three financial years in the 40:30:30 distribution set out in the notification.
- The voluntary retirement process is applied to the workforce described by the Cabinet announcement.
- MCCL’s assets are to be sold, according to the Chief Minister’s statement reported by All India Radio.
The government portal’s record for Notice IND.47/2024/69 was released on 30 January 2025 and was marked as last updated on 3 September 2026. Readers seeking to verify any separate dues write-off should look for a later official order that names the amount and explains whether it is a waiver, settlement, or accounting adjustment.
Primary documents
- Meghalaya Commerce & Industries Department closure-scheme notification (30 January 2025)
- Meghalaya government portal record for Notice IND.47/2024/69
- All India Radio Shillong bulletin reporting Cabinet approval and the proposed employee exit plan
The Bottom Line
Meghalaya’s documented decision is a ₹98.26-crore, one-time MCCL closure scheme covering specified employee and commercial liabilities. The separate ₹24.43-crore dues write-off claim remains unverified in the available official records.
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