Mizoram Industries Secretary puts govt tag on own company, signs deal with another firm

Aug 02 2013, 12:25 IST
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Company used Mizoram govt domain name, carried photos of governor, chief minister Company used Mizoram govt domain name, carried photos of governor, chief minister
SummaryThe company was registered in March but the issue came to the government's notice last month.

Mizoram principal secretary, Industries, P C Lallawmsanga allegedly floated a company, Mizoram Direct Marketing Ltd (MDML), misrepresented it as “wholly-owned” by the state government, and went on to sign a business deal with another company. He was suspended on Thursday and barred from leaving Aizawl without permission.

While MDML was reportedly registered in March, the issue only came to the government’s notice last month. On Thursday, the Mizoram government disowned the company and put up a disclaimer on the official website of the Chief Minister’s Office.

According to the government note, Lallawmsanga signed an MoU with Chennai-based RMP Infotec Pvt Ltd on December 10, 2012, purportedly on behalf of the Mizoram government, without any authorisation. A top official involved in the investigation told The Indian Express that a clause in the MoU authorised RMC Infotec to nominate any company it chooses to work with MDML after it was registered.

On March 11, 2013, MDML was reportedly registered under the Companies Act with Lallawmsanga as its director. Its registered Mizoram Industries Secy puts govt tag on own company, signs deal with another firm offices are in Aizawl’s Tuikhuahtlang neighbourhood and Janakpuri in Delhi, according to a purported MDML business plan presentation.

Lallawmsanga allegedly misrepresented this company as “wholly-owned” by the state government. The company’s website reportedly used the “mizoram.gov.in” domain name and carried photographs of Governor Vakkom B Purushothaman and Chief Minister Lal Thanhawla.

Two days later, on March 13, MDML reportedly signed a licencee agreement with a registered company called Mizo Lifestyle Marketing Pvt Ltd (MLMP), which, officials said, appeared to have been nominated by RMP Infotec as per the MoU. The official associated with the probe said as per the agreement, MLMP would use the “government-owned” MDML to market its products. Sources said MDML seeks to sell consumer goods through direct marketing.

According to the disclaimer issued by Chief Secretary L Tochhong, Lallawmsanga was not authorised to sign either the MoU or the licencee agreement. The note said the bureaucrat had acted in his “personal capacity” and the agreements “have neither been vetted by the law department nor concurred by the finance department... before approaching the Registrar of Companies.”

When contacted, Lallawmsanga declined to comment. Lallawmsanga, a 1984-batch IPS officer who was Tamil Nadu’s Additional DGP before being transferred here last year, also heads the trade and commerce and disaster management departments.

Two other bureaucrats are also reported to be directors of

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