Jindal Steel and Power is already facing CBI probe for alleged cheating and misrepresentation of facts in bagging the Amarkonda Murgadangal block in Birbhum district of Jharkhand in 2008
Jindal Steel and Power Ltd shares fell by over 13% in early trade Monday on the BSE and National Stock Exchange (NSE), following news reports about the Central Bureau of Investigation (CBI) filing fresh case against the company.
The Investigating agency, which is probing into coal blocks allocated during 1993-2005 period, filed a fresh case of alleged cheating and corruption against the company.
Following this, the company’s scrip fell 13.57% to Rs128 — its 52-week low on the BSE. On the NSE, it slumped 13.51% to hit a one-year low of Rs127.70. The scrip was the top loser among 50-Nifty scrips.
Later, the stock pared some of the losses and at 3.29pm was trading at Rs136, down 8%, on the BSE.
According to a CBI spokesperson, it is the 36th first information report (FIR) filed by the agency in connection with its probe in the coal allocation scam.
The fresh case has been registered against Jindal Strips Ltd (now known as Jindal Steel and Power Ltd) and unknown public officials for alleged criminal conspiracy, cheating under the Indian Penal Code and Provisions of the Prevention of Corruption Act, CBI said.
Soon after registering the case, the agency on Sunday carried out searches at four locations in Raigarh in Chhattisgarh.
CBI sources said the case pertains to allocation of Gare Palma IV/1 coal block to Jindal Strips Ltd and JSPL.
The company spokesperson had said JSPL reiterates that all its actions are in keeping with the legal framework of the country and that it complies with the law in letter and in spirit.
“JSPL continues to cooperate with all the authorities in a responsive manner,” the spokesperson had said.
The company is already facing CBI probe for alleged cheating and misrepresentation of facts in bagging the Amarkonda Murgadangal block in Birbhum district of Jharkhand in 2008.
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