Bengaluru: Former IAS officer and one of the directors of Coffee Day Enterprises Board, SV Ranganath, was on Wednesday appointed the interim chairman of the board. The next meeting of the Board of Directors is scheduled to be held on August 8. (Also read: IT Raids on CCD CMD Siddhartha)
The development comes in the wake of the death of the Cafe Coffee Day (CCD) founder, VG Siddhartha. The board also said that it was “unclear” if the letter, written purportedly by Siddhartha and released on Tuesday while the search operations for the businessman were on, pertained to the Cafe Coffee Day company or his “personal holdings”.
A leading portal quoted CFO and Chairman, SICAL, a subsidiary of CCD, R Ram Mohan, as saying, “The Board meeting concluded, all are statutory formalities getting completed. We are working to continue with the company and will come out with an action plan.
Meanwhile, all CCD outlets will remain shut on Wednesday as a tribute to Siddhartha. All of CCD offices would also remain shut. A daily reported that nearly 76 per cent of the Siddhartha-led promoter group’s 53.93 per cent equity holding in Coffee Day Enterprises had been pledged.
This means that the promoters, who are the majority shareholder group, had offered as collateral 76 per cent of their holdings to banks and lenders in exchange for loans.
Siddhartha’s mobile phone has not been recovered by the authorities, even as the joint search operation spanning 36 hours resulted in the discovery of the CCD founder’s body in the Netravati river in Mangaluru. His wallet, which contained his credit and debit cards, and his ID card has been found, said some reports.
In the letter reportedly written by him, the entrepreneur had taken sole responsibility for the “failures” and mistakes.
Meanwhile, fugitive liquor baron Vijay Mallya, who is facing extradition proceedings in the UK, on Wednesday took to Twitter to say how government agencies and bank can draw people up the wall. Siddhartha, in his suicide letter, had alleged “harassment” by the Income Tax Department officials.