Chandra Kant Birla, Chairman of Hindustan Motors Limited resigned from the board on 29 December 2013. He also stepped down from the post of director of Hindustan Motors (HM).
During the 18- month period, that is April 2012 – September 2013, company incurred a huge loss of 71 crore rupees as compared to a loss of 29 crore rupees in 2011-12.
The slowdown in the economy has affected HM. HM faced some additional challenges in term of cash flow problems for the company.
Hindustan Motors Limited
Hindustan Motors is an Indian automaker based in Kolkata, West Bengal, India. It is part of the Birla Technical Services industrial group. The company was the largest car manufacturer in India before the rise of Maruti Udyog.
It is the producer of the Ambassador car, widely used as a taxicab and as a government limousine. This car is based on the Morris Oxford, a British car that dates back to 1954.
One of the original three car manufacturers in India, the Hindustan Motors was founded in 1942 by Mr. B. M. Birla. It was a leader in car sales until the 1980s, when the industry was opened up from protection.