Uflex's Chaturvedi has knack for courting controversy
Chaturvedi and Neera Yadav, the former chief secretary of Uttar Pradesh were on Tuesday sentenced to four year in prison by a CBI court in a 1994-95 Noida land scam case.
By TNN |
NEW DELHI: For someone who moved around in a Lambretta scooter as an employee of a packaging firm around 25 years ago, Ashok Chaturvedi, chairman and managing director of the Rs 1,700 crore Uflex Group, has come a long way. Uflex, earlier known as Flex Industries, is among the biggest players in the country’s specialized packaging business. Though the rise has been meteoric, there have always been murmurs about Chaturvedi’s proximity to politicians and bureaucrats from Uttar Pradesh being partly responsible for his success.
His companies are credited with introducing new concepts and technologies that are now widely used across Indian households. These range from the sachets for pan masala to the modern packaging used for potato wafers and cereals as well as pouches for storing leftover food.
But it was Chaturvedi's packaging solution for pan masala makers that helped him hit the jackpot. Apart from supplying packaging material, the 53-year-old is also alleged to have helped tobacco and pan masala companies in tax-related cases.
Chaturvedi and Neera Yadav, the former chief secretary of Uttar Pradesh were on Tuesday sentenced to four year in prison by a CBI court in a 1994-95 Noida land scam case. Following the judgment, the company’s shares crashed 20% on the Bombay Stock Exchange. In a communication to BSE, Uflex stressed that the judgment had no financial implication for the company. Chaturvedi, it said, had been found guilty in his ‘‘individual capacity’’ in a case relating to allotment of land for the company’s employees. Uflex added that the land was not used by the company and that Chaturvedi was taking ‘‘appropriate legal steps’’ in the matter.
Known to be a charmer in Delhi’s power circles, Chaturvedi is no stranger to controversy. In 2001, he was arrested by the CBI under the Prevention of Corruption Act for allegedly bribing a top excise department official. Former cabinet secretary Prabhat Kumar was forced to resign as Jharkhand Governor after reports that Chaturvedi had paid for his private parties appeared in the media.
His companies are credited with introducing new concepts and technologies that are now widely used across Indian households. These range from the sachets for pan masala to the modern packaging used for potato wafers and cereals as well as pouches for storing leftover food.
But it was Chaturvedi's packaging solution for pan masala makers that helped him hit the jackpot. Apart from supplying packaging material, the 53-year-old is also alleged to have helped tobacco and pan masala companies in tax-related cases.
Chaturvedi and Neera Yadav, the former chief secretary of Uttar Pradesh were on Tuesday sentenced to four year in prison by a CBI court in a 1994-95 Noida land scam case. Following the judgment, the company’s shares crashed 20% on the Bombay Stock Exchange. In a communication to BSE, Uflex stressed that the judgment had no financial implication for the company. Chaturvedi, it said, had been found guilty in his ‘‘individual capacity’’ in a case relating to allotment of land for the company’s employees. Uflex added that the land was not used by the company and that Chaturvedi was taking ‘‘appropriate legal steps’’ in the matter.
Known to be a charmer in Delhi’s power circles, Chaturvedi is no stranger to controversy. In 2001, he was arrested by the CBI under the Prevention of Corruption Act for allegedly bribing a top excise department official. Former cabinet secretary Prabhat Kumar was forced to resign as Jharkhand Governor after reports that Chaturvedi had paid for his private parties appeared in the media.
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