BUSINESS

Suzuki wants Khattar to continue as MUL chief

NEW DELHI MAY 29. The Japanese auto giant Suzuki, which is in the process of acquiring management control of Maruti Udyog, has decided to nominate the current Managing Director, Jagdish Khattar, as head of the company's operations.

The company in a letter to the Department of Heavy Industries said it had decided to nominate Mr. Khattar as the Managing Director of MUL from the closing date of the rights issue.

Justifying the continuation of Mr. Khattar, a Government nominee on the board of MUL, Suzuki said, "Mr. Khattar as a professional has steered the company through very trying times. His expertise and abilities contiuue to be required by MUL.''

The term of Mr. Khattar, who tendered his resignation to the Government today, as MD, was to expire in August this year. However, as per the revised joint venture agreement, signed on May 15, the current Managing Director, a Government nominee, has to resign as Managing Director of MUL with effect from the closing date which is May 30.

Mr. Khattar took over as MD of Maruti in Setember 1999, succeeding R S S L N Bhaskarudu.

Meanwhile, the Suzuki Chairman, O. Suzuki, is expected to hand over Rs. 10,000 crore control premium cheque to the Government and also subscribe to the rights issue at Rs. 3,280 per share tomorrow.

Also four government directors are likely to step down and two part-time government directors will be appointed. — PTI

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