Tuesday, July 12 2005 10:53 Hrs (IST) - World Time -

Kolkata: The Birlas yesterday (July 11, 2005) claimed before the Calcutta High Court that the Birla Corporation and other M P Birla group companies had not done well under the stewardship of Rajendra S Lodha, contrary to the claims made by him, and sought the appointment of an administrator of the group.

Exactly a year after Lodha, then chartered accountant of many Birla group companies and co-chairman of Birla Corporation, read out the 1999 'will' of Priyamvada Birla vide which she purportedly bequeathed all assets of the M P Birla group to him, the Birlas questioned whether these should be left to him alone during pendancy of their legal battle with him over the assets.

Appearing for the Birlas in their application for appointment of administrator in the M P Birla group companies, counsel S B Mukherjee disputed the claim of Lodha that under his management, the M P Birla group was earning profit.

The counsel submitted that only the cement division of the group was making profit and that too because of a boom in the construction industry in the country.

He stated that other cement industries in the country were doing better. He claimed that many of the other M P Birla group companies were reporting losses for some years and quoted from their financial results.

He claimed that the affidavit of assets that Lodha had filed along with his application for probate of Priyamvada's 'will' did not reveal the whole picture of the M P Birla group assets. Hearing in the case will continue on Wednesday (July 13, 2005).