The board had met with the intention of recalling S Ramanathan, CEO of SSL (SSL is a brokerage entity with the Bombay Stock Exchange), only to discover that there was little it could do. An office order of April 26 subsequently said that S Ramanathan would be “relieved from the additional charge of executive vice president and advisor of SHCIL with immediate effect”.

The SHCIL board had at least 10 days for fact finding before the meeting. However, in an astonishing office order, after the board meeting, the whole time director R K Bansal (deputed by IDBI Bank) has put the two executive vice presidents — L Viswanathan and R H Mewawala, in charge of most activities. These are among the many officials charge-sheeted in the 2000 scam and worked very closely with the previous management.

All departments, including the company secretary have been asked to report to this duo despite their past record (they were even directors on three subsidiaries floated by SHCIL in the past six months). This move has shocked and demoralised those who hoped that IDBI Bank’s intervention would led to a clean up of their organisation.

Several directors at the meeting came armed with detailed information on the antics of SHCIL, SSL and the many subsidiaries they have floated over the last six months. But instead of ordering an investigation, the board contented itself with forming a three-member committee to decide who will conduct an investigation into the issues confirmed by top government agencies who had already done their sleuthing.

... contd.