The Company Law Board (CLB) today wanted an assurance from Saudi Bin Ladin Group (SBG) that Maytas Infra management would remain with IL&FS even after induction of the Saudia Arabia-based group's four nominees on board of the scam-hit company.
CLB Chairman Justice Dilip Raosaheb Deshmukh made it clear that as per the board's earlier direction, control of the scam hit firm Maytas Infra should remain with IL&FS.
CLB's direction come after IL&FS sought permission to induct four nominees of the SBG as directors of Maytas Infra.
During the proceedings, IL&FS counsel Virender Gonda submitted before the board that even after the appointment of SBG's four nominees, the management control of Maytas Infra would remain with the promoter company.
CLB Chairman inquired, "why is there a request for four directors. Can it not be done with two?"
To this, Gonda replied that there was an agreement with SBG for the appointment of four directors.
IL&FS-owned Maytas Infra on October 13 approached the CLB for the second time in three months, seeking approval to appoint four nominees of the SBG as its directors.
IL&FS in August last year took over the cash-strapped Maytas Infra, once promoted by the kin of disgraced Satyam founder B Ramalinga Raju, following a CLB order. As per the takeover rules, the company has to seek CLB's approval before making any changes in management control before September-October 2011.
