WB govt may offer HPL chairmanship for Purnendu Chatterjee

PTI Updated - March 06, 2014 at 06:50 PM.

The West Bengal government might offer the chairmanship of Haldia Petrochemicals Ltd (HPL) to Purnendu Chatterjee of TCG, a lead promoter of ailing HPL, at the March 10 board meeting.

In a meeting with lenders on last Wednesday in Mumbai, the state government proposed giving the post of chairman to Chatterjee, sources close to the development said.

The post of chairman was vacant since December 26 after former industry minister Partha Chatterjee stepped down.

This could be a precursor to allow the private promoter to take control of the largest petrochemical company of eastern India in due course.

The sources claimed that the state government had hinted at burying differences that was impacting the company’s financials and it was close to becoming a BIFR case.

“I have no comments to make on this,” TCG Managing Director, Aniruddha Lahiri, however, said.

Attempts to contact Finance and Industry Minister, Amit Mitra did not materialise.

Bankers supported the move. Banks were not ready to offer additional funds to the ailing company since the main promoters were in legal battle over ownership.

TCG group had also sought to take the ownership battle to the International Court of Arbitration.

Indian Oil Corporation might back out from buying 40 per cent stake from the state government put on the block in 2013.

IOC which was sole bidder was keen to take management control of HPL.

Published on March 6, 2014 13:20