After alleged by CBI in 2G Scam, Ravi Ruia, chairman of Essar Energy, now has maed an announcement to step down from his post.
The Essar Group Company release a report and said that The decision was taken voluntarily following allegations by India’s Central Bureau of Investigation (CBI) that Ruia, certain other executives of the Essar Group, and Essar Teleholdings Limited.
Now Ruia will continue as a director of the London-listed Essar Energy, part of the FTSE 100 benchmark index. The company was listed in 2009.
The company added in release, “There are no charges of bribery or corruption or collusion with public servants (as compared to the other prosecutions being pursued in the 2G spectrum scam).”
At the time when Company declared as a good corporate governance measure, Ravi Ruia step aside at this time.
“Essar Group has always been open, transparent and law abiding, and I am confident that these charges will be dismissed by the courts in India. I expect that I would resume the office of Chairman at an appropriate time,” he noted.
According to Essar Energy’s statement, Ravi Ruia and Essar Group deny all charges and intend to take legal recourse to defend their position.
The charges are not expected to have any impact on Essar Energy’s business operations. Essar Global, the principal holding company for Essar Group’s business activities both in India and overseas, holds 76.72 per cent stake in Essar Energy.
