SKS Trusts on Sunday demanded that Vikram Akula to be induced on the Board of SKS Microfinance Ltd,as the Trust became single largest shareholder of India’s only listed micro lender.
SKS Trusts has five mutual benefit trusts whose beneficiaries are self-help groups of borrowers of SKS Microfinance Ltd.
In a letter to the micro finance lender,Biksham Gujja,Chairperson of the trustee of SKS Trusts,said that it have recently become the largest shareholder with 12.6 per cent shareholding,and reiterated its long-standing request for suitable representation on the Board.
“The SKS Trusts are the founding promoter and largest shareholder,and we would like to help the company achieve its goal of promoting financial inclusion while also enhancing long-term shareholder value,” Gujja said.
He added: “In line with this,and as an initial step,the Trusts have urged the Board to induct…Vikram Akula,its nominee,immediately. The appointment could be regularised at the ensuing Annual General Meeting.”
Akula,the founder and ex-chairman of SKS Microfinance,was given an unceremonious exit from the company in November 2011 following the Andhra Pradesh micro finance crisis.
Regarded as the poster boy of microfinance industry,he sold nine lakh shares of SKS Microfinance last week.
Akula said: “I am truly honoured that the Trusts have asked me to serve on the Board of SKS Microfinance. I will do my best to help SKS Microfinance achieve its mission and to contribute to enhancing long-term shareholder value.
Gujja said further: “The Trusts have nominated Akula because he has extensive experience in micro finance and is uniquely qualified to help the company.
“The SKS Trusts look forward to working closely with the Board in steering the company to its original mission and values while seeking to restore its past leadership and glory.
“The Trusts hope the company will reply favourably to this long-standing request.” SKS Microfinance officials were not available for comment.