Delhi: Subir Raha, chairman and manging director,
ONGC, has been denied a two-year extension till he turns
60 by the government. Raha was appointed for a five-year
term or till he reached the age of 60, whichever was
earlier. His five-year term ended on Wednesday.
heads of public sector firms are granted extension till
their superannuating date.
the eleventh hour there was speculation of Raha being
allowed to continue till reaching the age of 60. However,
prime minister Manmohan Singh upheld the decision not
to give any extension to Raha on grounds of adverse
remarks against him by former petroleum minister Mani
Shankar Aiyar and S C Tripathi, former petroleum secretary.
decision overturns current petroleum secretary M S Srinivasan''s
recommendation to grant the ONGC chief a three-month
S Sharma, director, finance, has been asked to take
charge as chairman and managing director until the public
sector enterprises selection board finalises the new
had highlighted Raha''s excessive concern for the oil
refining and petrochemicals business at the cost of
ONGC''s core business of exploration as a major weakness
in his performance. Aiyar, while praising Raha for his
managerial capacities, had criticised him for "insubordination
and indiscipline" and converting the oil major
in to a one-man show.
between the two had soured over the issue, triggering
several conflicts ranging from the appointment of additional
directors on the board of ONGC to fixing crude production
blame for the fire on the Bombay High North oil platform
in July last year along with ONGC''s inability to make
a major oil or gas strike during Raha''s tenure were
being attributed to him.
Raha''s tenure, ONGC expanded its overseas presence where
it has committed investments of $4.5 billion in properties
in 14 countries.