Satyam not to abandon SEZ plans
Satyam Computer Services has no intention to abandon its Rs 370-crore SEZ projects but the troubled IT firm facing a severe cash crunch will go ahead with the plans only 'if required.'business Updated: Jan 18, 2009 13:57 IST
Satyam Computer Services has no intention to abandon its Rs 370-crore Special Economic Zone projects but the troubled IT firm facing a severe cash crunch will go ahead with the plans only "if required".
Work is in progress in four SEZs in Tamil Nadu, Karnataka and Maharashtra. Besides, the company has acquired 26 acres in Gandhinagar and was about to submit its proposal for clearance to the Gujarat government before its founder Chairman B Ramalinga Raju made the startling revelation of a Rs 7,800- crore fraud.
When asked whether the company would go ahead with the SEZ plans, the company spokesperson said, "Yes, based on requirement".
Both Chennai and Nagpur SEZ projects would need investment of Rs 100 crore each. At the Chennai's Kancheepuram project, work on the first phase has begun while the pre- construction work is in progress at the Nagpur site, the spokesperson said.
On Saturday, the government-owned MMTC decided to withdraw from equity participation in a firm to be promoted by Satyam- linked Maytas group for setting up a multi-services SEZ.
Several top IT firms are promoting the SEZs because the tax concessions available to them under the STPI would lapse in the fiscal 2010, while the SEZ sops would last longer.