Due to the non-payment of overdue amount of Rs 8.05 crore, a lender bank has taken possession of assets of Jagran Prakashan Private Ltd, publisher of Indore edition of leading Hindi newspaper, Dainik Jagran.

During the last month alone, the company’s stock lost nearly 20 per cent.

The assets of the company were taken by the bank on January 14 under Section 13 of Securitisation and Reconstruction of Financial Assets and Enforcement of Security Interest Act, 2002.

In a communication to the Bombay Stock Exchange, media major Jagran Prakashan said that such a move from the lender bank will not have any impact on the operations of the company. The management of the company believes that the bank action would not result in any change in status, as disclosed in the Annual Report (page nos.44 and 91) for the year ended March 31, 2008.

Jagran Prakashan further added that in the year 2007-08, Jagran Prakashan (MPC) Pvt Ltd has been incurred cash losses. The shareholders of the company were under the litigation.

Jagran Prakashan operates over 30 editions of Dainik Jagran in the Northern states. In 2007, it launched a new publication, I-Next, a bi-lingual tabloid targeted at the youth; it launched City Plus, a free English Infotainment weekly in late 2006.