The Andhra Pradesh government would not hesitate from terminating the projects awarded to Maytas Infra if the need arises. However, it would also not act in haste and the effort would be to protect the interests of the state, said K Rosaiah, state finance minister.
Speaking to the media here on Wednesday, he said various departments had discussed the options available to them to take the projects forward in view of the Centre's move to supercede the boards of Maytas Infra and Maytas Properties, promoted by the family members of Satyam founder Ramalinga Raju.
"The government will not cancel the projects given to Maytas just because the management is changing. The government has signed the agreement with the company and it would be responsible for carrying forward the projects,'' he said, adding it was premature to tell how the superceding of the board would impact the projects.
The change in the management at the company might delay the implementation of various projects but would not jeopardise them, the minister said. The government would act in a way to ensure that there is no need for arbitration or other legal hurdles in implementing the projects.
"There would be costs that the government would have to pay if it was the first one to terminate the contracts, which have been awarded following due procedures," he pointed out.
The government has awarded over Rs 36,000 crore infrastructure projects to Maytas Infra either individually or through joint ventures and consortiums.
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The company is supposed to achieve financial closure for the Rs 12,000 crore Hyderabad Metro Rail project on March 17. The state finance minister, however, did not respond to a query on whether the government would extend the financial closure deadline in view of the latest developments.
Rosaiah also preferred not to comment on the statements made by Corporate Affairs Minister PC Gupta that there appears a possibility of some money from Satyam going into Maytas companies. He did not say if the state police (CID) was already investigating the affairs of Maytas.