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Shree Bhawani Paper Mills has informed the BSE that JM Financial Asset Reconstruction Company has filed a case against it under Section 19(4) for recovery of debt. The company is in negotiations with secured debtors JM Financial Asset Reconstruction Company and Bank of Baroda for an amicable settlement of debts, Shree Bhawani Paper Mills added. The stock climbed 2 per cent to close at ₹2.55 on the BSE.