CM V. D. Satheesan Says Prior State Approval Is Mandatory for Any Change in Shareholding
Thiruvananthapuram, July 2:
Kerala Chief Minister V. D. Satheesan has raised objections to the proposed transfer of shares involving the Adani Group and MSC in the Vizhinjam International Seaport project, stating that the state government was not informed before the decision was initiated.
The Chief Minister expressed concern over the move to alter the project’s investment structure without prior consultation with the Kerala Government. According to the Chief Minister’s Office (CMO), any change in the shareholding pattern, ownership structure, or induction of new investors in the Vizhinjam Port project requires the state’s prior approval under the terms of the concession agreement.
The CMO said the government would thoroughly examine the legal, financial, contractual, and strategic implications of the proposed transaction before arriving at any decision. It stressed that no approval would be granted until the proposal is subjected to a detailed review.
Describing Vizhinjam as a strategically significant infrastructure asset, the state government reiterated that any restructuring of ownership or investment must protect Kerala’s interests, comply with contractual obligations, and address national security considerations where applicable.
The issue has assumed significance as it could influence the future governance of one of India’s most important transshipment ports and may shape the framework for regulatory oversight of foreign investment in critical infrastructure projects.
