New Delhi: The government on Friday recalled two nominee directors, K. Ramalingam and O. P. Vaish, from the board of Maytas Infra which was handed over to infrastructure major IL&FS on Monday.
Two other government nominees, Ved Jain and Anil Agarwal, will, however, continue on the board of the company.
“We have to keep two directors on board (of Maytas Infra) to inspire confidence in the shareholders and the market,” corporate affairs minister Salman Khurshid told reporters.
The government decided to withdraw its two nominees from the Maytas Infra board following the Company Law Board (CLB) order handing over the reins of Maytas Infra, promoted by kins of disgraced founder of Saytam, R. Ramalinga Raju, to IL&FS.
The CLB also allowed the IL&FS, as a new promoter, to appoint four directors, including chairman, on the board of the company.
The government, pursuant to an earlier CLB order in March, had appointed Ramalingam, Jain, Vaish and Agarwal on the Maytas Infra board to revive the company. Ramalingam had since functioned as chairman of the company.