DGCA grounds Global Vectra Helicorp

R.Y. Narayanan Updated - May 08, 2012 at 04:43 PM.

The Director-General of Civil Aviation has suspended Global Vectra Helicorp Ltd's licence.

The action follows the decision of the Home Ministry last week to withdraw the security clearance for the company. The company had denied any such move at that time.

The Group’s Chairman, Mr Ravinder Kumar Rishi, has been under the CBI scanner over alleged irregularities in the purchase of Tatra trucks by the Defence Ministry, in which the BEML Chairman, Mr V.R.S. Natarajan, was also being questioned. Tatra trucks are owned by the Vectra group.

Global Vectra Helicorp Ltd informed the stock exchanges today that its Operating Licence has been suspended by the Director-General of Civil Aviation, forcing it "to suspend operations temporarily".

The company did not attribute any reasons for the DGCA’s action.

In an attempt to distance Global Vectra Helicorp Ltd from any effect of the controversy surrounding Tatra deal, Mr Ravinder Kumar Rishi, a director on the company board, resigned with effect from December 5, 2011.

On the NSE, Global Vectra shares closed at Rs 10.15 with about 40,000 shares being traded. Its 52 week high on the NSE was Rs 28.65.

Published on May 8, 2012 11:13