Title - KMRCL to prepare new MoU for project

After cabinet approval to transfer of city's new metro project to Railways, Kolkata Metro Railway Corporation Limited (KMRCL) is being asked to prepare a draft for a fresh memorandum of understanding (MOU) to be signed between railways, urban development, state government.Following request from West Bengal chief minister Mamata Banerjee, the cabinet recently approved the transfer of the project to Union ministry of railways, which runs the existing metro services in Kolkata. However, the transfer of the project will also require the sanction of Parliament.In the meantime, KMRCL has been asked to frame the fresh Article of Associations and memorandum of understanding, which would replace the earlier one signed in 2008, an official said. The state-appointed Managing Director B P Gopalika is also being stripped of all statutory powers.The Public Enterprise Selection Board (PESB) would select a new set of directors for the KMRCL.KMRCL, a joint venture between the Union urban development ministry and the West Bengal government, is developing the East West metro project that will connect Salt Lake to Howrah.Both the West Bengal government and the Union urban development ministry originally had 30 per cent and 25 per cent stake in KMRC, respectively, while the balance 45 per cent of the project cost was taken as loan from the Japanese Bank of International Cooperation (JBIC).