CG Power’s board will respond to the notice after consulting with its legal team
Gautam Thapar, who was ousted as the Chairman of CG Power & Industrial Solutions, will legally contest his removal from the company.
Thapar, who was fired due to suspected misappropriation of funds, has sent a legal notice to CG Power, reports The Economic Times.
CG Power’s board will respond to the notice after consulting with its legal team, the report added.
The Ministry of Corporate Affairs (MCA) is inspecting CG Power’s books for alleged irregularities and unauthorised transactions.
Moneycontrol could not independently verify this report.
Officials close to Thapar told the publication that his removal was unjust and wrong. “Such decisions cannot be taken just on the basis of a report, which is being seen as both preliminary and inconclusive. Note that it has a disproportionate number of disclaimers and reservations,” one official told the paper.
VG Venkatesh, the company’s Chief Financial Officer who was also sacked, was on September 7 prevented from leaving the country from the Mumbai airport after a lookout circular was issued. Venkatesh and Thapar have been questioned by the MCA officials last week.
The Serious Fraud Investigation Office (SFIO) might investigate the matter if required, a government official told the paper. "Transactions worth Rs 2,000 crore are unexplained. These are being probed and the inspection report is expected to be submitted by the end of this month," the official added.
Deloitte might conduct a forensic review of CG Power’s accounts after the initial investigation by law firm Vaish Associates, the report added.
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