The mainland's largest bankruptcy case for a state-owned firm is expected to be concluded in the next few days. Creditor banks have agreed to write off 700 million yuan (about HK$651.2 million) owed by Heilongjiang Province Acheng Sugar Plant, the largest amount in a single bankruptcy case, Xinhua reported. Beijing has said it would set aside up to 50 billion yuan each year for banks to write off bad debts owed by bankrupt firms. The firm's 4,500 employees had been assigned new jobs, saving the government 100 million yuan in salaries and subsidies this year, Xinhua said. The 93-year-old firm was the mainland's first sugar beet processing plant with a daily processing capacity of more than 3,000 tonnes, ranking it among the largest in the country. The company has been in a tailspin since 1993 due to a heavy debt burden and bad management, forcing it to curtail production and eventually close. In June, it was given central government approval to declare bankruptcy after running up losses of 570 million yuan and debts of 700 million yuan. Officials hailed the bankruptcy case as a significant move forward in restructuring the country's sugar industry and helping to protect state assets. Beijing has tightened bankruptcy procedures to prevent firms from filing bankruptcies in order to avoid debt repayments to creditor banks.