NEW DELHI, July 5: Industry minister Murasoli Maran has delivered an ultimatum to president and CEO, Osamu Suzuki that the Japanese auto major is free quit Maruti Udyog Ltd, if it remains intransigent on the selection of the new managing director, sources revealed. Suzuki had an hour long pre-lunch meeting with the minister on Saturday.

Significantly, managing director, Maruti, R C Bhargava was not allowed to participate in the closed door meeting. Suzuki was assisted by one of his directors in the discussion. The minister is believed to have insisted on Bhargava's exclusion from the meeting, sources revealed. Regarding the selection of the new managing director, the minister is believed to have told Suzuki that it is the government's turn to appoint a managing director and there is no question of acceding to Suzuki's inclinations on this matter, sources said.

Bhargava's five-year term as managing director, Maruti, comnes to an end on August 28. The next MD according to the agreement between the two parties will have to be a government nominee. The minister is believed to have expressed his ire to the minister that Bhargava has been trying to manipulate the appointment of the next managing director in Suzuki's favour. Maran went to the extent of telling Suzuki that Bhargava's hold on the Uttar Pradesh cadre of IAS officers cannot win the day for Suzuki.

Bhargava has been keen to anoint executive director, sales and marketing, Jagdish Khattar as his successor. Khattar a 1965 batch IAS officer had resigned from the IAS to join Maruti on Bhargava's insistence. Khattar joined the Maruti board but had to exit as a director when the government expressed its unhappiness.