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Odisha govt cancels license of Deepak Steel

Odisha govt cancels license of Deepak Steel
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Odisha government cancelled the trading licence of
Deepak Steel and Power and also refused to renew the Memorandum of Understanding (MoU) signed with the firm earlier owing to irregularities committed by the firm. The MoU signed with the firm has already lapsed and the state government refused to renew it.

The company has allegedly produced more iron ore than what was statutorily allowed from the from an adjacent plot in Uliburu mines. The adjacent plot was categorised as reserve forest area.

Deepak Gupta, the owner of the company was operating Uliburu mines in Joda mining circle under the power of attorney received from original lease holder BK Mohanty.
Gupta is learnt to have made money worth Rs 1,800 crore by exporting the mineral.

Odisha state forest department has already filed a case in this regard. The state revenue minister has ordered a special inquiry into the case.

The state government will take necessary action against all those people who were involved in this crime, said Surjya Patro, the state revenue minister.

The company proposed to set up a 0.25 million tonne per annum (mn tpa) steel plant at Topodih (Barbil) for an investment of Rs 195.31 crore in 2005.

In 2010, the company was asked to expedite work on its project and furnish a report to the state government on the state of land acquisition and actual investments grounded as soon as possible. It was warned that if it failed to submit the details then its MoU may be cancelled.

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