Online BusinessMaytas Infra in position to execute projects: Khurshid
Asserting that Hyderabad-based Maytas Infra is in a position to execute projects, Corporate Affairs Minister Salman Khurshid today said the government"s intention is to see that the company is back on its feet.
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The minister in an interview to a private news channel said that Maytas Infra is "in a position to execute such projects" and added the government wants "the company to get back on its feet".
"We will... See that their (Maytas Infra) projects don"t need to be cancelled," he said.
On the company looking for a strategic partner, Khurshid said the matter would have to be decided by its directors.
"They might want to find a strategic partner but that"s a decision that directors have to take... They also now have to learn from Satyam to see if there are further steps they need to take... The directors have to decide," he said.
According to him, the government did not help Satyam in finding a strategic investor.
"The government did not help Satyam to get a strategic partner... We can"t help in their (Maytas Infra) getting a strategic partner," Khurshid said.
Maytas Infra is promoted by the kin of Satyam founder B Ramalinga Raju.
Khurshid also pointed out that the government would take steps to see that the projects awarded to Maytas are not cancelled.
The Andhra Pradesh government recently cancelled the more than Rs 12,000-crore Hyderabad Metro Project awarded to Maytas Infra after the company failed to tie up funds despite a three-month extension.
Last week, Maytas Infra had denied about any move to induct strategic partner and said that it had not made any requests to the Ministry of Corporate Affairs for offloading its stake.
"No recommendation was made to the ministry or CLB for offloading Maytas" stake. It is not on our agenda at this point of time," K Ramalingam, the government-appointed Chairman of Maytas Infra, said adding that the financial health of the company was in good conditions and it has receivables of about Rs 780 crore.
The government took over the board of Satyam after its founder-Chairman B Ramalinga Raju admitted to financial fraud in the IT firm. In February, 2009, the government moved the CLB to take over the board of Maytas Infra, then headed by Teja Raju, the son of IT firm"s top official, alleging mismanagement in the affairs of the company.
Acting on it, the CLB had appointed four nominees on its board.