TCG tones down stand in HPL

In a reversal from its earlier stand, The Chatterjee Group (TCG) today said it was not averse to the West Bengal government holding on to its equity share in Haldia Petrochemicals Ltd (HPL).

"The West Bengal government may continue as a partner in HPL. We will remain a categorical partner in HPL," TCG said during the proceedings before the Company Law Board.

The group had earlier stated that West Bengal Industrial Development Corporation (WBIDC) should sell its entire stake in HPL paving the way for TCG to be the single largest share holder in the petrochemicals company.

However, TCG said if the state government at any point of time wanted to exit the joint venture, the group would pay it according to the prevailing market value. TCG also sought to amend the Article of Association of HPL to maintain its status of a private limited company.

"As per our contract with the West Bengal government, the company should remain a private concern," TCG contended.

CLB Chairman M Balasubramanian, however, said the enforcement of the contract or agreement between the two parties is not under its jurisdiction.