Govt initiates enquiry against Naveen Jindal-led Jindal Steel & Power

NEW DELHI: The government has initiated an enquiry against Naveen Jindal-led Jindal Steel & Power Ltd after allegations that the company is selling coal from its captive blocks in Chhattisgarh.

The coal ministry has formed an inter-ministerial committee headed by Advisor coal and comprising members from power and steel ministries to probe misuse of coal by JSPL from its blocks in Chhattisgarh.

A top coal ministry official said the probe has been initiated after complaints from several sections of the society alleging illegal sale of coal in Chhattisgarh by the group.

Jindal Power & Steel Ltd has refuted the charges. ""The coal from all our captive mines are used in respective end use plants. There is no diversion of any coal from any mine whatsoever. The allegations are completely baseless."" company's director external affairs Manu Kapoor said.

Shares of the company were trading at Rs 245.65, up 0.9%, on the Bombay Stock Exchange at 1047 hrs.