BEML gives Dwarakanath additional charge as CMD

PTI Updated - June 12, 2012 at 06:34 PM.

A day after, Mr V R S Natarajan was suspended, BEML on Tuesday said its senior most Director, Mr P Dwarakanath, has been given the additional charge as its Chairman and Managing Director (CMD).

Informing the Bombay Stock Exchange of the decision, it said Mr Dwarakanath, BEML Director of Metro and Rail Business, was given additional charge as the Chairman and MD after the government suspended Mr Natarajan following CBI recommendations against him in Tatra truck purchase deal case.

The move to suspend Mr Natarajan came a few days after the Defence Ministry issued a show cause notice to him for slapping a defamation notice against former Army Chief Gen, Mr V K Singh, without its permission.

Mr Natarajan headed the DPSU for 12 years and his tenure was supposed to end in September this year. He has been questioned by the CBI in a case regarding alleged irregularities in procurement and supplies of Tatra all terrain vehicles to the Army.

Gen Singh, who retired on May 31 after holding the post of the Army chief for over two years, had alleged in March that he was offered a Rs 14 crore bribe by Lt Gen (retd) Tejinder Singh to clear supply of a tranche of 600 “sub standard” Tatra trucks from BEML. Mr Tejinder Singh has denied the allegation against him.

On June 6, the Defence Ministry had sought an explanation from Mr Natarajan for serving a legal notice on Gen V K Singh demanding an apology for his alleged defamatory statements against the defence PSU on the Tatra truck issue.

The CBI has also booked the BEML chairman for alleged cheating, criminal conspiracy and corruption in connection with tendering process for hiring a private consultancy firm and carried out searches at several locations including his residence in Hyderabad.

Published on June 12, 2012 12:40