BHEL CMD extension was not under any pressure: Govt

 

New Delhi: The decision to extend the tenure of BHEL CMD B P Rao by the previous government was not taken under pressure from "influential persons in the then PMO", Parliament was informed today."CMD of BHEL was granted an extension for a period of 2 years beyond December 31, 2013, as a special case, with the approval of the Competent Authority," Radhakrishnan said.

 

The decision to extend the tenure of BHEL CMD B P Rao by the previous government was not taken under pressure from "influential persons in the then PMO", Parliament was informed today. "Extension of tenure was granted in view of the difficult situation confronting the power sector as a whole and BHEL in particular in the face of adverse economic situation, resulting in inadequate order booking; urgent need to undertake accelerated diversification strategy in both core and non-core business, which entailed the need for continuity in top leadership at such a crucial juncture," he said.

 

To a query on whether the extension to BHEL CMD was granted under pressure from some influential persons in the then PMO, Minister of State for Heavy Industries & Public Enterprises P Radhakrishnan in a written reply in Rajya Sabha said: "No, Sir".

 

 State-run power equipment maker BHEL's current Chairman and Managing Director B P Rao became the first PSU head to receive a two-year extension of his tenure. Rao, who was due to superannuate on December 31, 2013, was granted extension for a period of two years with effect from January 1, 2014.   Source : PTI