To say that London-listed, India-focused, Vedanta Resources is subject to “occasional setbacks” would be a distinct under-statement.
Last month, its iron ore operations in Goa were shut down, pending investigation of alleged irregularities. (All such mines are also currently closed).
Now, Vedanta’s subsidiary, Sterlite Iron and Steel, has been told it can’t build a steel plant in Orissa’s Keonjhar district, since this would adversely impact on irrigated lands.
As if this weren’t rebuff enough, the company is also accused by the Orissa state electricity commission of illegally obtaining power to run its Jharsaguda aluminium smelter. The commission claims that, instead of paying dues directly to the firm licensed to provide the electricity, it did so from one of its own subsidaries – thus cheating the supplier of some US$3 million.