The Neelachal Banchao Milita Mancha has strongly opposed disinvestment of partners in the Neelachal Ispat Nigam Limited (NINL) and urged the State Government to stop the companty from getting privatization or merged with any other steel company.
The NINL, a 1.1 million ton integrated steel plant, is a joint venture of the MMTC Ltd and the Odisha Government through the IPICOL and the OMC Ltd. While the MMTC has a stake of 49.9%, the OMC and the IPICOL together own 26% stake and other Central PSUs like NMDC has 13.2% share and the BHEL Ltd and MECON have 10.9% stake.
Recently, the MMTC has decided to divest its share in NINL and indicated to SEBI to this effect. Further, the MMTC has stopped infusion of working capital in NINL, resulting in blow down of the blast furnace since June 2019.
Since June, employees have been highlighting the issue at various platforms, but in vain. Though the Union Government, NMDC and the State Government decided in September 2019 for infusion of RS 800 crores for running of NINL, nothing tangible has been seen yet. The NINL financial crisis has resulted in non-payment of salary and wages to employees and lay-off of contractual workmen. Earlier, the SAIL and the MMTC had proposed to get merger of NINL at different points of times. But the MMTC stalled the proposals by giving one or other pleas.
Mancha leaders Ranjan Nayak, Mahiram Purty and Bijay Mohaprana demanded immediate infusion of working capital in the NINL for commencing production and payment of wages and salary to employees and workmen.