Sanjay Chandra asks for interim replacement on Uninor board

Unitech Wireless Chairman Sanjay Chandra, arrested by the Central Bureau of Investigation (CBI) in the wake of 2G spectrum scam, has asked the telecom company’s board to appoint an alternative director to deal with its day-to-day affairs as an interim arrangement, real estate company Unitech said today.

Unitech Wireless is a joint venture between Unitech and Norway’s Telenor. Telenor holds majority stake in the telecom venture. The company had acquired licences to offer mobile services in 2008, which have now come under the scanner.

Telenor had demanded Chandra resign from the chairmanship of Unitech Wireless till the investigations into the 2G spectrum issue are over.

“We would like to clarify that Mr Sanjay Chandra has not resigned. However, in light of the recent developments in the investigations, he had already requested the Uninor (Unitech Wireless) board to appoint an alternative director in his place for dealing with the company affairs in the near term,” Unitech said in response to a query.

“One of Unitech’s nominee directors will take over as the chairman of the board. This request was sent a few days back,” the company said.

Chandra and Unitech Wireless have been named in the chargesheet filed by CBI as accused in the scam. Chandra was arrested last week, after the Special Court denied bail to him along with other accused.

“We have responded to our partner through appropriate means, because in the past, the responses of Uninor and of its chairman, related to the investigations have been jointly and mutually decided with Telenor,” Unitech said.

Earlier during the day, Telenor had said “Sanjay Chandra is facing serious accusations, and Telenor expects him to focus on defending his case in court while Unitech Wireless focuses on running its business”.

Glenn Mandelid, director of communications, Telenor Group, Asia, said in a statement, “We therefore still believe that a temporary resignation for as long as the 2G court case is ongoing is the appropriate action, and we will continue to persuade Unitech Ltd that Sanjay Chandra steps down, and they appoint a replacement, as this would be in Unitech Wireless’ best interest.”