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Viom denies reports of wrongdoing in company

Press Trust of India  |  New Delhi 

Amid reports of financial irregularities, Viom Networks-- a shared passive telecom infrastructure provider-- today denied any wrongdoing in the company even as it hired auditor to look on the issues.

"Reports have appeared in certain sections of media regarding investigations, which have been ordered by the company's board through on issues of which had been raised," the company said.

According to a media report, Arun Bansal, Viom's former company secretary, has alleged that the Kanorias of SREI Group had diverted Rs 300 crore ($63.6 million) to some private institutions.

is a joint venture between Tata Teleservices (54%) and Quippo, a SREI Group enterprise hold the rest of the stake.

"The former employees have taken personal grudge involving the media into this matter. There is no misappropriation [of funds] at all in any manner whatsoever. The company has followed all procedures in giving out contracts," Hemant Kanoria, a director of Viom Networks, said.

Further, company said these media reports were based on inputs received from former Chief Financial Officer Arun M Bansal and false allegations made by him regarding affairs of the company.

"In the circumstances, it has become necessary for the company to clarify the issue and dispel any wrong impression that may be created owing to false and defamatory statements fed by Arun M Bansal to sections of  media," the spokesperson said.

Viom is an independent entity with over 38,500 towers and around 95,000 tenancies. The company plans to roll-out nearly 20,000-25,000 additional towers in the next two years

Bansal was the Company Secretary of the company and his services were terminated on July 26, 2011. On investigations, it was found that Bansal had engaged in serious irregularities and misconduct, the spokesperson said.

First Published: Wed, September 14 2011. 19:10 IST