Indian Govt. may
appoint NRI, Victor Menezes, former CEO of Citigroup to head the
investment commission.
NEW DELHI, OCTOBER 18, 2004
NRI Press
The Indian government is considering Victor Menezes, former global
head of Citigroup, as a possible candidate to head the investment
commission. Mr Menezes, a non-resident Indian, was seen as the
most prominent American CEO of Indian origin during the late 1990s.
Mr. Menezes was managing a fund created by prominent NRIs in
the US to finance rural and social sector projects in the country.
The investment commission will be housed in the finance ministry
to encourage domestic and foreign businesses to invest in India.
After the budget, finance minister P Chidambaram had said a prominent
industrialist would be appointed as the proposed commission’s
head.
Finance minister Mr. Chidambaram had said the commission will
have the broad authority to engage, discuss with and invite domestic
and foreign businesses to invest in India. The idea is to make
it easier for companies to invest in states.
“The mandate of the chairman of the proposed commission
would be akin to that of an ambassador at large,” said a
finance ministry official. Cabinet approval for the finance ministry’s
proposal, covering the broad terms of reference and organisational
structure, is pending. The FIPB will become redundant once the
investment commission is set up.
Mr Chidambaram too in his budget speech had said that several
functions of the FIPB could be put on the automatic route and
it could function as a one stop service centre.
April 24, 2004
(Business Standard)
Citigroup's senior vice-chairman Victor J Menezes, 54, the Pune-born
global banker, was once seen as a possible successor to Sanford
Weill, Citigroup chairman.
No wonder his decision to hang up his boots by the end of the
year has taken the financial world by surprise. While some bankers
are trying to find out what went wrong, most claim that Menezes'
exit route is the most graceful.
By any yardstick, it has been an incredible run for Menezes.
Fresh out of the Beirut Training Centre, he started out in Citi's
Fort Branch Bombay operations on a monthly salary of Rs 2,000
in 1972.
Citi insiders see him as a protege of former Citigroup co-chairman
John S Reed, who handed him possibly his toughest assignment in
1998.
Menezes was made the co-head of the global-investment and corporate
bank, with Michael A Carpenter, at the newly formed Citigroup
Inc. The surprise organisational restructuring led to the departure
of Citigroup president -- and one-time heir apparent -- James
Dimon.
That was also the turning point of Menezes' Citi career while
his flamboyant colleagues were regularly shown the door. No wonder
Reed is one of the most influential people in Menezes' life.
Others are his father Manuel (who retired as chairman of the
Indian Railways) who inspired him to join the Indian Institute
of Technology, mother Nina, and wife Tara.
An electrical engineer from IIT, Mumbai in 1970, he acquired
his masters in finance and economics from the Massachusetts Institute
of Technology. After catching Reed's eye, Menezes was named Citibank's
senior corporate officer for Africa and Latin America in 1985.
In 1989, he took over the European consumer business and two
years later was given charge of consumer banking in US as well.
In 1995, he was named CFO following the forced resignation of
vice chairman Christopher Steffen and worked on the famous merger
that created Citigroup.
He joined the company in 1972 as a management associate in operations.
Six years down the line, he was made CEO of India operations and
in 1983, he was heading Hong Kong and China.
His colleagues in the bank say the secret of his success lies
in his zeal for work, uncanny knack for keeping a low profile
and wide experience across a very complicated organisational set
up.
They say he is balanced, smart and quiet. In fact, they claim
that his cool exterior hides his ambitions.
"He is ambitious but not ruthless. Frankly, he is a politician
who can please everybody without compromising his position. He
can appreciate others ' point of view," says a senior banker
who knows him.
In fact, this is one quality which separates Menezes from other
global Indian bankers like Rana Talwar, the former group chief
executive of British bank Standard Chartered Plc. Talwar was ousted
after a boardroom battle.
Menezes, on the other hand, is retiring when he is at the peak
of his career. In March 2000, when he succeeded Reed as the chairman
and chief executive of Citibank's North American unit, everybody
expected him to bag the top job one day.
To that extent, his retirement came as a surprise. But that does
not necessarily mean that he should be seen as a loser. Standard
& Poor's analyst Tanya Azarchs has reportedly said: "Menezes
was one of the last who came in with John Reed and one of the
lucky people who can retire early".
According to an internal memo from chief executive officer, Charles
Prince, Menezes will head a new Asian advisory board to help the
bank expand in that part of the world.
"Victor has played a central role in Citigroup's success
and to celebrate his career is to celebrate an important part
of this company's history," said Prince.
Menezes' favourite vacation spot is Tuscany and Umbria and his
favourite cartoon strip is Wizard of Id. And how different is
he from other bankers? He does not play golf. He plays tennis.
