Infrastructure major IRB Infrastructure Developers Ltd has informed the stock markets that it has no business relationship with BJP President Nitin Gadkari. This clarification was filed on Thursday after its shares fell to Rs 142.75 on Wednesday from 153.25 on Monday.
“IRB Infrastructure Developers Ltd and its subsidiaries do not have any business relationship, past or present, with Nitin Gadkari,” the statement filed at the National Stock Exchange and Bombay Stock Exchange said.
According to media reports India Against Corruption’s (IAC) activist Anjali Damania claimed that BJP chief Nitin Gadkari had favoured the infrastructure company while he was the PWD minister in the Shiv Sena-BJP led government in Maharashtra.
The clarification maintained that the company in question - Ideal Road Builders Pvt. Ltd - was not a subsidiary of IRB Infrastructure when it made investments in Nitin Gadkari’s Purti Group in 2001. It also said, “It is pertinent to note that Nitin Gadkari was not the PWD Minister at the time of this investment.”
Ideal Road Builders Pvt. Ltd made an investment of Rs. 1.85 Crore in equity shares of PUlti Sakhar Karkhana Ltd in 2001 which was later renamed to Purti Power & Sugar Ltd in 2009. Ideal Road Builders Pvt. Ltd became a subsidiary of IRB Infrastructure in 2006-07.
The company’s shares were down almost 3% trading at 144.60 at the National Stock Exchange at around 1400 hours on Friday.
