MUMBAI, November 11: The Indian Hotels board of directors will meet in Mumbai on Wednesday to discuss many issues including the Rs 1,000 crore Bandra-Kurla hotel complex and severance package for the former chairman and managing director, A B Kerkar. The board meeting will also declare the first-half results tommorrow.

Company insiders say that the board will not be going ahead with its Bandra-Kurla project as it will require a whopping investment of Rs 700 crore.

The company, under the previous management, was planning to invest Rs 700 crore in the fast developing Bandra-Kurla business area and has already spent Rs 5 crore as the initial deposit.

The meeting is being held at a time when the managing director R K Krishna Kumar was denied bail by the Guwahati High Court yesterday. Officials say in the event of his absence, the board would only discuss the half-yearly results and postpone all other issues.

Meanwhile, the company under the new management has already initiated many steps to restructure its operations both domestic and international. Deputy managing director, S Ramakrishanan said that the new management is reviewing the foreign operations and has already sought the assistance of the financial advisor for the restructuring. On the Tata Brand Equity Scheme, Ramakrishnan said that the board has accepted and endorsed the participation of the company in the scheme.

Copyright © 1997 Indian Express Newspapers (Bombay) Ltd.