Amul Dairy MD K Rathnam resigns amid allegations of Rs 4.5 bn fraud
The board of the Amul Dairy accepted Rathnam resignation during a special board meeting
 "Amul Dairy managing director K Rathnam resigns amid alleged Rs 4.5 bn fraud")
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Dr K Rathnam, managing director of Kaira District Co-operative Milk Producers Union Ltd (KDCMPUL) popularly known as Amul Dairy, resigned on Saturday citing personal reasons. The board of the Amul Dairy accepted Rathnam resignation during a special board meeting.
According to reports, Rathnam's resignation comes amidst bitter internal politics and an alleged fraud worth Rs 4.5 billion (Rs 450 crore), that is being played in the iconic milk union for past few months. However, board members dismissed suggestions that the development comes in the backdrop of an allegation of alleged fraud, reports the Indian Express.
The 55-year-old Rathnam, who had taken charge in June 2014, had expressed his desire to quit citing personal reasons. He said he wanted to spend more time with his family living in the US and Tamil Nadu and to pursue other professional interests.
In a statement, Amul Dairy refuted reports that Rathnam had been found guilty of fraud. Ramsinh Parmar, chairman, KDCMPUL, said the allegations were “far from the truth” and “perpetuated by rumour mongers”.
According to reports, Rathnam's resignation comes amidst bitter internal politics and an alleged fraud worth Rs 4.5 billion (Rs 450 crore), that is being played in the iconic milk union for past few months. However, board members dismissed suggestions that the development comes in the backdrop of an allegation of alleged fraud, reports the Indian Express.
The 55-year-old Rathnam, who had taken charge in June 2014, had expressed his desire to quit citing personal reasons. He said he wanted to spend more time with his family living in the US and Tamil Nadu and to pursue other professional interests.
In a statement, Amul Dairy refuted reports that Rathnam had been found guilty of fraud. Ramsinh Parmar, chairman, KDCMPUL, said the allegations were “far from the truth” and “perpetuated by rumour mongers”.
Senior general manager, planning and marketing, Jayen Mehta has been put in charge as managing director of Kaira Milk union. Rathnam, 55, had joined the dairy as deputy manager (product development) in 1995 and was elevated to the post of MD in 2014.