On a day when Hutchison Essar Ltd's Indian partner Essar Teleholdings Ltd delivered representations to senior government officials including the finance secretary, the Foreign Investment Promotion Board is learnt to have deferred taking a decision on the company's application notifying the government about its direct and indirect FDI holdings on March 7, 2006.
Essar Teleholdings Ltd's letter requested a deferment of the proposal on the ground that its Hong Kong-based partner Hutchison Telecom International Ltd had not informed the government about some changes in the indirect foreign shareholding in Hutchison Essar Ltd on account of changes in the Essar holding companies since March this year.
Essar Teleholdings has also offered to submit a separate application to the FIPB, reflecting the current direct and indirect foreign shareholding, as well as a proposal for increasing the indirect foreign holding in the company. It has also asked the government to consider both the applications together.
