MMTC holds back investment in Maytas

MUMBAI: MMTC has decided against investing in a special purpose vehicle created by Maytas group for setting up a Special Economic Zone (SEZ).

At 3 pm, MMTC was up nearly 1% or Rs 136 at Rs 16,900.

Earlier on Sep 26, 2008, the MMTC board had approved investment of Rs 85.85 crore for subscribing/acquiring equity shares of SPV proposed by Maytas group for a multi services SEZ ensuring that MMTC's equity in the said SPV does not exceed 5%.

The decision is in view of the ���recent developments related to Satyam Services who is the promoter of Maytas Group���, the company said.

Maytas Infra Ltd and Maytas Properties are controlled by the family of fraud-hit Satyam Computer Services Ltd founder, B Ramalinga Raju.

On September 26 2008, the board of MMTC approved investing Rs 85.85 crore for buying up to 5 per cent shares in the proposed SPV, it said in a statement to the Bombay Stock Exchange.