CLB asks govt to appoint four nominees on Maytas Infra board
The Company Law Board on Thursday the government to appoint four nominee directors on the board of Maytas Infra, including the chairman.business Updated: Mar 05, 2009 15:16 IST
The Company Law Board on Thursday the government to appoint four nominee directors on the board of Maytas Infra, including the chairman.
Rejecting the government’s petition to supercede the entire board of Maytas Infra, the CLB said that it authorises the central government to appoint four persons of eminence on the board of the company as its nominees.
One of the four nominees would be chairman of the board, the order further said.
CLB also ruled that the enlarged board should submit a monthly report on the company, beginning the first week of April.
Besides, no government agency should initiate any criminal or punitive action against these nominee directors without the prior approval of CLB, the order noted.
The government is probing Maytas Infra and more than 300 other companies which are linked to disgraced Satyam founder B Ramalinga Raju’s family in connection with the accounting fraud at the IT company.