New Members Named To Tata Finance Board

Tata Finance Ltd has inducted Ravi Parthasarathy, Dinesh Vyas, NA Soonawala and U Mahesh Rao on its board, the company informed the Bombay Stock Exchange today. With this, the number of board members of the company increased to seven.

The other members of the board are Ishaat Hussain, Tata Sons' finance director, Kishore Chaukar, managing director of Tata Industries, Francis J Da Cunha, executive director.

The new inclusions to the board of directors is a part of the board restructuring following the resignation of the earlier board led by chairman Freddie Mehta on October 31. The resignations include those of JE Talaulicar, who was accused of insider trading by Sebi, as well as that of Subodh Shah, managing director of the company. Ishaat Hussain had taken over as the new chairman. The managing director post of the company, however, is still vacant.

 

TFL which has suffered a Rs 395 crore of loss in the financial year 2000-01 on the back of loss made by the company in the stock market. The company has made an extraordinary provision of Rs 315 crore on that account while an additional Rs 72 crore provision has been made for non-performing assets and the diminution in the value of its investments.

The company is presently taking a relook at all its businesses, including the several subsidiaries and joint ventures that have a presence in broking, home finance, credit cards, among others. The company will focus primarily on vehicle and truck financing, lending support to group company Telco, while it may reduce its stake in its subsidiaries.