L-G: Remove 4 AAP nominees from board of power companies

Karam Prakash

New Delhi, January 13

Terming the appointments illegal, Delhi Lieutenant Governor (L-G) VK Saxena on Friday asked for the removal of four Aam Aadmi Party (AAP) nominees from the board of electricity distribution companies (discoms) owned by Anil Ambani.

Undue benefits

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• Sources said an inquiry report about their “wrongdoings”, submitted by the Delhi Power Department and the Chief Secretary, had prompted the L-G to act
• The nominees were allegedly providing undue financial benefits worth thousands of crores to Anil Ambani’s company at the cost of govt-run undertakings

The nominees are Jasmine Shah (AAP spokesperson); Naveen ND Gupta, son of AAP MP ND Gupta; Umesh Tyagi and JS Deswal. These nominees will now be replaced with senior government officials, read an order issued by the L-G.

Sources said an inquiry report about their “wrongdoings”, submitted by the Delhi Power Department and the Chief Secretary, had prompted the L-G to act.

The inquiry is said to have been conducted after a complaint that the nominees were providing undue financial benefits to Ambani’s company at the cost the Delhi Government-run undertakings – the DTL, the IPGCL and the PPCL.

The L-G, in his order, stated that these individuals were illegally appointed by the AAP government as “government nominees” on the board of the BRPL (BSES Rajdhani Power Ltd) and the BYPL (BSES Yamuna Power Ltd) in 2019 despite written objections by the then L-Gs, Najeeb Jung in 2016, and Anil Baijal in 2017.

The order stated that the nominees facilitated a decision of unilaterally lowering interest rates charged on the LPSC (that these discoms owed to the DTL/PPCL/IGPCL) from 15-18 per cent to 12 per cent, thereby causing a loss of Rs 8,683.67 crore.

The L-G has also directed the Power Department to undertake any other legal action as deemed fit under applicable laws to ensure the recovery of the outstanding dues from the discoms.

However, AAP has not responded to it so far. Reacting to the L-G’s order, the Delhi Government said, “The allegations are baseless. The Constitution Bench of the Supreme Court has said in its orders that the L-G does not have any power to take decisions independently. Therefore, his decisions are illegal and unconstitutional. He is acting like a dictator.”