MMTC decides to withdraw SEZ JV with Maytas

New Delhi, Jan 16: MMTC, a Government-run trading firm on Friday, Jan 16 announced the decision to withdraw its joint venture SEZ plan with two Maytas firms, promoted by B Ramalinga Raju's family after the Rs 7000 crore Satyam fraud.

"In view of the recent developments related to Satyam Computer Services... the board of directors of MMTC at its meeting today reconsidered the investment proposal and decided to withdraw MMTC's participation in the equity of the proposed Special Purpose Vehicle being created by Maytas Group for setting up a multi-services SEZ," MMTC said.

MMTC was in the process of receiving shareholders' approval for investing Rs 85.85 crore and taking up of 5 per cent stake in the Maytas Group's SPV for the SEZ.

The 8,603-crore SEZ was to have an equity component of Rs 1,717 crore and debt of Rs 3,495 crore. The balance was to be financed through lease rentals and pre-sales.

OneIndia News (With inputs from Agencies)