G.O.Ms.No.30, Revision of Composition of Board of Directors of Chennai Metro Rail Limited, 2009
The Planning, Development & Special Initiatives (S.I) Department issued G.O.Ms.No.30 on 13 April 2009 to revise the State Government representation on the Board of Directors of Chennai Metro Rail Limited. It provides for five State Government nominees, including the Managing Director, following Government of India participation through a joint ownership arrangement.
What the government order does
The Planning, Development & Special Initiatives (S.I) Department issued G.O.Ms.No.30 on 13 April 2009 to revise the composition of the Directors representing the State Government on the Board of Chennai Metro Rail Limited. The revision follows the Government of India sanctioning participation in the project through a joint ownership arrangement, with contributions in the form of equity and subordinate debt.
Chennai Metro Rail Limited was incorporated as a limited company and came into existence on 3 December 2007. Its entire share capital was initially held by the State Government, and the earlier Board included representatives from departments connected with the project.
Revised Board structure
G.O.Ms.No.30 records that the reconstituted Board of Chennai Metro Rail Limited will have ten Directors. Each promoter may nominate five Directors.
Key elements of the structure are:
- The Secretary, Ministry of Urban Development, will be the Chairman.
- The Managing Director will be a State Government nominee.
- The Government of India will appoint four Directors.
- The State Government will appoint four Directors in addition to the Managing Director.
State Government representatives
The Planning, Development & Special Initiatives (S.I) Department specifies the following five State Government representatives:
- Secretary to Government, Finance Department, serving ex officio.
- Secretary to Government dealing with the subject of Metro Rail, serving ex officio.
- Two suitable officers nominated by name by the State Government from time to time.
- Managing Director of Chennai Metro Rail Limited.
The government chose this arrangement because the State could no longer provide Board seats to every connected department. The document also identifies continuity of Board membership, project complexity and effective representation of State Government interests as relevant considerations.
Effect on connected departments and the public
G.O.Ms.No.30 states that Secretaries of connected departments will continue as members of the Metro Rail Project Committee chaired by the Chief Secretary. Separate orders will be issued for the appointment of the Managing Director and other Directors.
The document concerns corporate governance of Chennai Metro Rail Limited. It does not set out provisions concerning land ownership, acquisition, patta, registration, compensation, land use or property charges.
This summary is generated from the source document to help you find what is relevant. The PDF above is authoritative. For advice on your own property, use LandLens One or speak to a qualified professional.
Common questions
Does G.O.Ms.No.30 change land ownership or patta rights?
No land ownership or patta provisions are contained in the document. It revises State Government representation on the Board of Chennai Metro Rail Limited.
How many Directors can the State Government nominate?
The State Government has five nominees, consisting of four Directors and the Managing Director.
Will departments without a Board seat still participate in the Metro Rail project?
Yes. Secretaries of connected departments will continue as members of the Metro Rail Project Committee chaired by the Chief Secretary.
Does G.O.Ms.No.30 itself appoint the named officers as Directors?
It sets out the categories of State Government representatives. The document states that separate orders will be issued to appoint the Managing Director and other Directors.
