Bhel CMD may not get extension
SHALINI SINGH
TIMES NEWS NETWORK [ WEDNESDAY, OCTOBER 22, 2003 01:51:56 AM ]

NEW DELHI: India’s largest engineering enterprise, Bharat Heavy Electricals (Bhel), faces uncertainty with no successor in sight for Mr K G Ramachandran at the close of his five-year term as the company’s CMD on October 19.

Sources said Mr Ramachandran, 57, is unlikely to get a renewal of tenure although the company has performed well during his tenure. ET has learnt that minister of heavy industries and public enterprises Subodh Mohite signed a letter relieving Mr Ramachandran on Thursday last, with express instructions that the seniormost director in Bhel assume charge as acting CMD with immediate effect.The name doing the rounds is that of Bhel director for personnel Ishan Shankar. Mr Shankar, who will soon complete 60 years, retires in February 2004. However, with no official announcement of a successor, the CMD’s chair remained vacant. Mr Shankar said he had not received any intimation about his new role.

Neither Mr Ramachandran, who was in office as late as Friday evening, nor Union minister Subodh Mohite could be contacted for their comments. Mr Ramachandran took over as CMD on October 20, 1999 at a time when fresh capacity addition in the power sector was plummeting. In 1998, Bhel recorded a PAT of Rs 719.53 crore on a turnover of Rs 6849.82 crore. Mr Ramachandran found new revenue streams in exports, engineering, supply of equipment to captive power plants and ensured Bhel was offered suppliers credit at par with MNCs. Bhel recorded highest ever turnover of Rs 7,482 crore in 2002-03.