MTNL CMD Sinha quits; controversy rages on | business | Hindustan Times
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MTNL CMD Sinha quits; controversy rages on

business Updated: Jan 12, 2010 19:06 IST

MTNL Chairman and Managing Director R S P Sinha has resigned from his post, but the surprise move came in the midst of a controversy over his alleged involvement in a decade-old case of favouritism in an equipment order to Motorola.

According to sources, Sinha, who was on a three-month extension, failed to secure a fresh term from the Prime Minister's Office.

"Yes, I have put in my papers," Sinha said but did not speak about the reasons for stepping down.

At the time of the signing of the equipment contract, Sinha was Director (Finance) with MTNL, which has operations in Delhi and Mumbai.

When contacted, Telecom Minister A Raja said: "... His tenure came to an end and he (Sinha) did not get further extension."

Asked about the ongoing CBI enquiry against him, the minister declined to comment.

According to sources, Sinha who went to attend MTNL's Board meeting yesterday received a call from Telecom Secretary P J Thomas asking him to step down, and then he left the venue even before the meeting started.