Strife at Usha Martin intensifies

Kolkata: The family feud within the Jhawar family over the control of Usha Martin Ltd seems far from over. Within hours of being removed from his post, Basant Kumar Jhawar, Co-Founder and Chairman Emeritus of Usha Martin, on Monday hit back, labeling fresh charges of irregularities against Rajeev Jhawar.

In a statement on Monday, the senior Jhawar said, “I would like to bring this on record that I have created this company with sweat and blood of mine and people close to me. I would do everything I can, to prevent diversion of funds in future while fighting for my right of being heard by the management.”

According to media reports, the Brij-Rajeev Jhawar faction and its entire group of shareholders voted against Basant Jhawar at the resolution. However, the Basant-Prashant faction and its shareholder group chose not to oppose Brij Kishore's re-induction into the board of directors.

On Monday, Basant Jhawar alleged that Rajeev Jhawar had created benami asset in India by siphoning off funds as well as through illegal mining operation. “Siphoning of funds has taken place through payment of inflated of invoice in Natcom, a shell company created in Singapore. This shell company was created in 2014, immediately after Rajeev Jhawar shifted his wife and daughter to Singapore in 2013. This company was also awarded freight contract worth over $17 million,” he said.