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Clear out junk files and repair common Windows errorsFree Scan →Scan for outdated or missing drivers - takes under a minuteDriver Scan →Repair Windows errors before they cause bigger problemsFix Now →Meghalaya has approved a one-time plan to close Mawmluh Cherra Cements Limited (MCCL), commonly known as Cherra Cement. The official 2025 scheme provides a total closure package of ₹98,25,92,649 (about ₹98.26 crore) for employee, supplier, contractor and former-employee liabilities. The separate claim that ₹24.43 crore in dues was written off is not confirmed in the government notification or the contemporaneous All India Radio report reviewed for this article.
What Meghalaya approved
The Meghalaya Commerce & Industries Department issued the One-Time Special Industrial Closure Scheme for Mawmluh Cherra Cements Limited (MCCL) Unit, 2025 on 30 January 2025. The scheme is available in the department’s official notification. A contemporaneous All India Radio Shillong bulletin reported that the Cabinet approved a special one-time plan to close the factory, that a voluntary retirement scheme was being offered to more than 250 employees, and that MCCL assets would be sold.
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The government notification says revival is not feasible because of “environmental, financial and operational constraints.” It sets a liability cut-off of 31 December 2024 and schedules payments over three financial years in a 40:30:30 ratio.
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How the ₹98.26 crore closure package is allocated
| Liability head | Amount | Coverage stated in the scheme |
|---|---|---|
| Permanent employees, including Home Guard liabilities | ₹83,71,39,896 | Employee compensation and related settlements |
| Suppliers and contractors | ₹7,73,08,345 | Outstanding supplier and contractor liabilities |
| Former employees | ₹6,81,44,408 | Outstanding payments for 90 former employees |
| Total | ₹98,25,92,649 (about ₹98.26 crore) | One-time closure-scheme outlay |
The employee provisions include salary compensation capped at 48 months of basic salary plus dearness allowance, gratuity under the Payment of Gratuity Act, leave encashment of up to 300 days, settlement of outstanding dues and applicable pay revisions. These are scheme benefits and liability settlements; the notification does not describe the entire package as a debt write-off.
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Why Cherra Cement is being closed
Production stopped in 2020
MCCL’s plant had been non-operational since March 2020. The notification records that environmental, financial and operational problems made a restart impractical.
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The company began as Assam Cements Limited, incorporated on 20 May 1955. It was 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 reported cost of ₹142.97 crore. The government scheme says low capacity utilisation and continuing operating challenges made the unit financially unviable.
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What is known about the ₹24.43 crore write-off claim
The figure ₹24.43 crore appears in the supplied headline, but it is not stated in the 30 January 2025 closure notification, the Meghalaya government’s scheme listing, or the All India Radio bulletin. The Meghalaya government portal lists the scheme as Notice IND.47/2024/69 and records its release date as 30 January 2025; the page was last updated on 3 September 2026.
Accordingly, the ₹24.43 crore figure should be treated as an unverified claim rather than an established Cabinet decision. The available documents do not identify the creditors, the date of any waiver, the accounting entry, or whether “write-off” means cancellation of a recoverable amount, an inter-government adjustment or another form of settlement. It should not be equated with the ₹98.26 crore closure outlay: one is described as a closure package, while the other would be a distinct accounting action requiring its own official record.
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What happens next for employees and creditors
- Liabilities covered by the scheme are determined using the 31 December 2024 cut-off.
- Approved payments are released over three financial years in 40%, 30% and 30% instalments.
- Permanent employees and eligible Home Guard claims are handled under the employee package, including the specified compensation, gratuity and leave provisions.
- Suppliers, contractors and the 90 former employees receive the amounts recognised under their respective heads.
- The state intends to sell MCCL’s assets, according to the All India Radio bulletin, as part of the closure process.
The practical takeaway
Meghalaya’s documented decision is to wind up a plant that had been idle since 2020 and fund a ₹98.26 crore, three-year settlement scheme. That package covers specified employment and commercial liabilities. The headline’s ₹24.43 crore write-off cannot be independently confirmed from the official material currently available, so its amount and accounting treatment remain unresolved until a Cabinet minute, finance or industries department order, or formal press release documents them.
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