BIZ-USHAMARTIN-MCA (CORR)

The Assistant Registrar of

Companies under the ministry of corporate affairs (MCA) has

issued summons to the directors and officers of Usha Martin

Limited which had sold its steel business to Tata Steel.

The summons, issued under section 207(3) of the

Companies Act, 2013 on Monday, asked the directors and

officers of the company to appear personally before the

Assistant Registrar of Companies (West Bengal) on Friday.

According to the summons, notices were issued u/s 206

of Companies Act in respect of Usha Martin, and an inquiry was

instructed to be conducted corresponding to the complaints of

Basant Kumar Jhawar against the company.

Usha Martin later filed its reply in later part of

October last year.

The present management under Rajeev Jhawar could not

be contacted for his comments.

The summons were issued to Rajeev Jhawar, Pravin Jain,

Rohit Nanda and Shampa Ghosh Roy.

Other directors and officers - Prashant Jhawar, Brij

Kishore Jhawar, Basant Kumar Jhawar, G N Bajpai and Partha

Sarathi Bhattacharya - were also asked to come to keep them

informed of the development.

The ministry had asked for all the minute books of

board meeting and annual general meetings relating to the

issues mentioned in the complaints for the last five years.

Facing huge losses, the management of Usha Martin

under Rajeev Jhawar decided to sell the steel business to Tata

Steel and said the proceeds would be used to retire debt.

Usha Martin would stick to its wire rope business

after exiting from steel.