Telenor insists on Chandra's resignation

Telenor insists on Chandra's resignation

Telenor holds the majority stake of 67.25 per cent stake in Uninor, a joint venture between Telenor and Unitech Wireless, a subsidiary of Unitech. Telenor Group had last week asked Unitech to appoint a substitute for Sanjay Chandra till the court case in the 2G spectrum scam is completed.

Amid media reports that Unitech has refused to give in to Telenor's demand, the Norwegian company when contacted has again demanded Chandra's resignation.

"Sanjay Chandra is facing serious accusations, and Telenor expects him to focus on defending his case in court while Unitech Wireless focuses on running its business," said Glenn Mandelid, Director of Communications, Telenor Group, Asia.

"We therefore still believe that a temporary resignation for as long as the 2G court case is ongoing is the appropriate action, and we will continue to persuade Unitech Ltd that Sanjay Chandra steps down, and that they appoint a replacement, as this would be in Unitech Wireless' best interest," Mandelid added.

When contacted, Unitech refused to comment on the issue. The chargesheet by the Central Bureau of Investigation has named the managing Director of Unitech, Sanjay Chandra, and also names Unitech Wireless for actions when it was a fully owned Unitech company, prior to Telenor Group entering India.

Recently, some differences have also emerged between Telenor and Unitech over rights issue which is now in the court. While board of Unitech Wireless had approved for rights, Unitech has opposed the move and approached court against decision of Unitech Wireless board.

Court has stayed the rights issue approval by Uninor board. Telenor further approached court to vacate the stay. The matter is sub-judice and is due for hearing on May 15.