Hindustan Copper failed to perform on all fronts: Parliamentary panel

NEW DELHI: Hindustan Copper Ltd (HCL) has failed to "perform on all fronts", a Parliamentary panel has said and asked the Mines Ministry to conduct a performance study of the metal maker.

"The only conclusion that the Committee can draw was that HCL has failed to perform on all fronts," the panel on Coal and Steel, headed by Kalyan Banerjee, said in its report tabled in the Lok Sabha today.

The Committee said it was dismayed to note that the firm could spend only Rs 32.82 crore, out of Rs 189 crore, allocated during 2011-12 for mine expansion programme.

"The reasons cited by HCL for such shortfall was on account of occurrence of some litigation cases which has resulted in delay in finalisation of mine expansion contracts," it said.

The Committee further noted that the production of ore and metal concentrate fell short of target mainly due to the inadequate availability of loading and handling equipment in 2010-11 and 2011-12.

This reflects HCL's inability to resolve these issues in a serious and effective manner, it said, adding that the frequent breakdown of equipment at Khetri Copper Complex indicates that the replacement and renewals programmes were not being implemented in right perspective.

"The Committee would like the (Mines) Ministry to conduct performance audit of the company and take necessary corrective measures to bring about improvement in the overall performance of the company including pursuing court cases on fast track basis," it said.