Independent director at Bhushan Steel quits

Written by PTI | New Delhi | Updated: Aug 26 2014, 06:47am hrs
An independent non-executive director on the board of Bhushan Steel, VK Mehrotra, has resigned from the company citing "falling health".

This is the first resignation from the 11-member board of the steelmaker after its vice- chairman and managing director was arrested by CBI in an alleged loan-for-bribe scam.

"VK Mehrotra, non-executive director of the company, has resigned from the Board of the company due to falling health," Bhushan Steel said informed the BSE.

With around 40 years of experience in the banking industry, Mehrotra worked with various banks, including State Bank of India, as deputy managing director.

A consortium of bankers that has around Rs 40,000- crore exposure to the company decided last week to appoint three nominee directors on Bhushan Steel's Board representing the lenders.

They also ordered a forensic audit into the books of account of the company,

among others, cracking a whip on the cash-starved steel maker.