BERLIN(PTI): Treahandanstall, the agency in charge of privatizing industry in eastern Germany, alleged that representatives of the India’s Dalmia group of inductees have misused nine million DM granted by it for environmental cleanup and other investments,
Dalmia took over the fibres manufacturer Thueringische Faser Ag (TRS) in Rudolstadt, eastern Germany, in 1991 and promised to save at Jeast 1,200 jobs until July 1992 and 1,000 jobs until 1993.
It is alleged that Messrs Sanjay and Anurag Dalmia, two directors of “21st century,” a Malaysian based subsidiary of Dalmia, took nine million DM from east German company’s liquid funds and parked the money on a time de posit account of the bank of commerce in Kuala Lumpur,
The Dalmia brothers were detained in Berlin on June 23 but released Friday, as the transaction they were blamed for, took place in Kaula Lumpur.
According to the Treuhand, Dalmia has invested only a small fraction of the 100 million DM originally committed in its privatization contract with the Tre hand,
Although the two companies are not bankrupt yet, their future is not clear.
Article extracted from this publication >>July 2, 1993
