Amid financial stress, McLeod Russel makes Board changes

Tea major McLeod Russel has made major changes to its Board of Directors including appointing Pradip Bhar as its new Chief Financial Officer (CFO).

In a regulatory filing submitted on Saturday evening, McLeod Russel said that its board decided to appoint Bhar as the CFO with immediate effect. Bhar's appointment comes on the backdrop of K.K. Baheti's resignation from the post as the latter would take up another assignment in the group.

Consequent upon his resignation from the board, Baheti has also ceased to be the Wholetime Director and CFO of the company, it said.

"Pradip Bhar has rich experience and acumen in handling matters of finance, costing and projects for more than 39 years. Bhar is associated with the Williamson Magor group for about 31 years," the filing said. McLeod Russel is a group company of Williamson Magor Group.

The board also appointed Raj Vardhan and Suman Bhowmik as independent directors of the company for a period of five years subject to approval of the shareholders.

"Taken on record the notice given by Rajeev Takru, Wholetime Director who is due to retire by rotation at the next Annual General Meeting of the company, expressing his desire not to seek re-election at the said AGM. Takru, however will continue with the company in advisory role post retirement," it said.

The changes come at a time when the company is going through severe financial crisis and has been selling its tea estates to repay its financial obligations.

Its statutory auditor Deloitte Haskins & Sells LLP resigned as the company's auditor with effect from July 18 after giving an adverse opinion on McLeod's financial position. Lodha & Co has been appointed as the new auditor with effect from July 19.
IANS