VG Siddhartha Death: CCD Names SV Ranganath As New Interim Chairman; To Probe Past Transactions

Mangaluru: Following the tragic death of Cafe Coffee Day (CCD) Group founder VG Siddhartha, the company has  now appointed SV Ranganath as the company’s interim Chairman, while it has also made Nitin Bagmane the interim Chief Operating Officer (COO) of the group. The development comes after Siddhartha was declared dead on Wednesday morning after his body was washed ashore the Netravati river Ullal in Mangaluru and was found by fishermen at around 6:30 in the morning. While announcing the appointments, the coffee making company also stated that its board has initiated a probe into past transactions made by the company and Siddhartha. The probe was proposed in the backdrop of several allegations made by Siddhartha in a purported letter to the company board before his sudden demise which is touted to be an attempt of suicide. In a Bombay Stock Exchange (BSE) filing, CCD stated that the board would prepare a detailed charter for authorities vested in the Executive Committee. The company statement further said that the committee would explore opportunities to deleverage the Coffee Day Group among other things. In its board meeting earlier in the day, the company also said the executive committee will look out for opportunities to deleverage the Coffee Day Group. Siddhartha, in his last letter, allegedly wrote to the board that he couldn't handle the high pressure from the lenders and some private equity players. He also mentioned that there were certain transactions of which no one in the company or his family were aware of. In the letter Siddhartha also mentioned about the harassment by certain income tax department officials. The IT department has attached his shares in Coffee Day Enterprises, which resulted in a serious liquidity crunch for the firm. Earlier in the day, Mangaluru Police Commissioner Sandeep Patil told reporters that two local fishermen found Siddhartha's body about 500 metres away from the road bridge from where he is alleged to have jumped into the river on Monday night. Mangaluru police is also investigating that whether Siddhartha took his own life. Several politicians across the country extended grief following Siddhartha's death. "They (Siddhartha's family) are making arrangements for the funeral. I will also attend it. I have no words to comfort the family," Karnataka Chief Minister BS Yediyurappa said on Twitter. Siddhartha is survived by his wife Malavika Hegde and two sons. According to reports, Siddhartha was last spotted on the bridge over the Netravati river in the coastal town on Monday evening.