A hearing of the main petition filed before the CLB by The Chatterjee Group (TCG) in August 2005 seeking to restrain on share transfer of Haldia Petrochemicals Ltd (HPL) to Indian Oil Corporation, was held. TCG, one of the major stakeholders in HPL has repeated, before the Company Law Board (CLB), its allegations of oppression and mismanagement by the West Bengal Government and the West Bengal Industrial Development Corporation (WBIDC) in the affairs of Haldia Petrochemicals Ltd (HPL). The main contention of TCG is that there was an agreement between TCG, the WBIDC, and the West Bengal Government, that in case the shares held by WBIDC were to be transferred it would be to TCG first. However, in a complete breach of trust and confidence, the two refused to do so.
HPL is a joint venture between Dr Purnendu Chatterjee of Chatterjee Petrochem (Mauritius) Company (a TCG group company), WBIDC and the Tatas. The West Bengal Government has 36% stake in HPL, TCG holds about 53% and Tatas hold 3%. Being the majority stake holder, TCG has the right of first refusal. If the other stakeholder, the Tatas or the West Bengal Government want to exit HPL, the option was to be given to TCG first.
The matter would be heard again on Wednesday, when HPL, WBIDC and the West Bengal Government will make their submissions. In its earlier ruling, the CLB had said that status quo of shareholding pattern of all stakeholders as on August 5 be maintained. It had also restrained the company from allotting shares worth Rs 135 crore to the lenders, IDBI, till the disposal of the case.
28-Sep-05 
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