Rameshwara Jute elects all Birla nominees

At the annual general meeting (AGM) of Rameshwara Jute Mills, managed by the M P Birla group, all seven nominees of the Birla family were elected as directors by the shareholders.

The nominees were Shyam Sunder Jajodia, Dipak Shantilal Mehta, J P Agarwal, Kashi Prasad Chaudhury, Hukam Chand Daga, S K Parikh and R P Pansari.

The resolution regarding reappointment of S N Prasad as a director, was defeated and, hence, ceased to be a director. The company earlier had four directors, apart from Prasad, who continue on the board.

Yesterday, at Jute Investment Co, which was also managed by the M P Birla group, five nominees of the Birla family were elected as directors by shareholders.

The resolution regarding reappointment of Sushil Kumar Daga, an associate of Rajendra Singh Lodha, was defeated. The company earlier had three directors""S N Prasad, Saikumar and Sushil Kumar Daga""owing allegiance to the Lodha camp. After the AGM, the company had seven director out of which five directors were nominees of the Birla family.

Earlier, the company has received nomination for seven directors from the various institutions of different Birla groups but at the AGM, two nominations were withdrawn.

The M P Birla group's holding in the company's is 22.29 per cent, whereas that of B K Birla group's is 46 per cent. The G P Birla and S K Birla groups hold balance 31.7 per cent.

The Lodha camp claimed that the B K Birla and other Birla family members were trying to take over Jute Investment Co.

A press release issue by Lodhas said, the Birlas and their associates, in their own submissions before the Calcutta High Court and the Company Law Board in Delhi, had acknowledged that the company was part of the M P Birla group.

The networth of Jute Investment Co was Rs 24 lakh. Lodhas said that the company had been traditionally managed by M P Birla and thereafter by late Priyamvada Birla, for past several years.