CBALCO, a part of Vedanta Resources — a London-listed metals and mining
major with operations in UK, India and Australia — is a leading global
player in metals particularly making aluminium.  Vedanta Resources has
principal operations in India, Zambia and Australia. It is registered at
London Stock Exchange (LSE) and also India’s largest non-ferrous metals and
mining company. It has its Head Office located at 6 Berkeley Street, London,
W1J 8DZ, United Kingdom.



Indian born Anil Agarwal is the non Executive Chairman of Bharat Aluminum
Company Limited (Balco) is set to become the largest aluminium producer in
the world from a single location as it signed a pact with the Chhattisgarh
government to set up a new smelter plant with an investment of Rs 80 billion
($ 2 billion).  The proposed plant with a capacity of 6,50,000 tonnes per
annum (tpa) is under construction at its existing complex in Korba district,
that will take the company's total aluminum output from 1,35,000 tpa to 1
million tpa - making it the largest aluminium producer in the world from a
single location.



A Memorandum of Understanding was signed by Additional Chief Secretary
(Industries) P. Joy Oommen on behalf of the Chhattisgarh government and
Balco's chief executive officer Pramod Suri, in presence of Chief Minister
Raman Singh and Vedanta chairman Anil Agrawal and few others at a function
at Raipur on October 7, 2006 for a coal based 1,200 MW power plant —having
four units of 300 MW each, at an investment of Rs 5,000 Crores.



It was stated by the company official that they estimate the complete
construction of power plant within 40 months, once all the regulatory and
statutory approvals are received. It was also stated that the aim is to
commission the power plant by the time its smelter plants are ready for
production, in order to support the expansion process of setting up a 3.5
lakh MT per annum aluminum smelter plant at its site in Korba to take the
total production capacity to 9 lakh MT per annum by 2011.



BALCO awarded the contract for the construction of the 3 x 400 = 1,200 MW
power plant to a Chinese firm which is known as Shandong Electric Power
Construction Corporation (SEPCO),— which, in turn, sub-contracted the work
of construction of 275 meter high two chimneys to New Delhi based Indian
company known as Gannon Dunkerley & Company Limited (GDCL).



Contrary to the company statement after signing the MoU with the state
government of Chhattisgarh, even without possessing the land or obtaining
the required permission from the local municipal corporation, the company
started construction of the power plant on the encroached land, which is
owned by the state forest department. While Chinese engineers and other
staff were engaged in construction of power plant’s boiler and other
constructions, they also supervised the construction of the Chimney that was
being done by GDCL.



In May-June 2005, the Minister of Revenue, Nanki Ram Kanwar a resident of
Korba and a local MLA ordered an enquiry based on reports of encroachment of
around 1,000 acres of land by BALCO. On February 17, 2005, an eleven-member
committee headed by the Naib Tehsildar and supervised by the Superintendent
of Land Records, submits its report. The report gives clear finds on BALCO
having encroached 1,000 acres of land in complete violation of the Forest
(Conservation) Act, 1980. The report also highlighted that about 50,000
trees have been cut by the BALCO management. This is where the expansion of
the present plant of BALCO has taken place. Matter went to the High Court
but much to the relief of Balco, files pertaining to the alleged encroached
land is reportedly missing.



In the second week of February, 2009 Minister for Revenue, Government of
Chhattisgarh, Amar Agrawal in his written reply to a question by Leader of
Opposition Ravindra Choubey, stated in the Chhattisgarh State Assembly, that
Bharat Aluminum Company Ltd had encroached 1,036.52 acres of government land
in Korba. He also told the house “The state government had registered 10
cases against the company in Korba between June 17, 2005 and June 28, 2005
under various sections of the land revenue code,” He also stated that BALCO
had even started building chimneys and other structures for its proposed
1,200 MW thermal power plant at Korba on the encroached land.



"The company did not take permission from the Korba Municipal Corporation
(KMC) for the second chimney and we had served notices for violating the
norms," stated Lakhanlal Devangan, Mayor, Korba municipal Corporation (KMC).
However, B.K.Srivastava, Chief of Corporate Communications do not agree to
the same and stated to the press that "The construction was going on as per
the Memorandum of Understanding (MoU) signed with the state government and
the company had all the necessary clearances,"



It is also important to note that just one week before the chimney
collapsed, a notice was reportedly served by KMC to stop the work which
BALCO ignored. Even a team of the KMC officials had reached the site and
stopped the construction work before about a week of the collapse but BALCO
allegedly started the work once again.



This exposes the fact that though BALCO is not even the owner of the land,
has not even obtained the required mandatory permissions to construct the
second 275 meter high chimney from the local municipal corporation, have
ignored the notices. Even the stopped  work of the construction of Chimney
by KMC authorities, BALCO went ahead with its construction plan immediately
and the staff of the KMC went back.



This illustrates beyond doubt that the motive of the BALCO is mischievous.
Even when it was pointed out to them that the construction of Chimney is of
substandard and without any permission, it also ignored the safety standards
by going ahead with constructing a  giant Chimney of 275 meter high with
diameter of 60 meter i.e. a vertical hollow structure of masonry, steel, or
reinforced concrete, built to convey gaseous products of combustion from a
building or process facility which caved in and collapsed after reaching a
height of 253 meters, trapping many innocent workers within its cement
concrete rubble on the afternoon of Wednesday, the September 23, 2009. The
worst disaster of its type in the history of India had taken place at the
encroached site.



*What happened on the afternoon of September 23, 2009:*



Wednesday, 23rd of September of 2009 was like any other day for the day
shift workers engaged in the construction of the chimney. Most of those poor
workers who worked hard day and night in shifts of 12 hours each for over 2
½ (Two and half) months right from constructing from the Thirty five meters
below the ground to a height of about 253 meters above the ground. They had
no idea what so ever that what they are constructing their own grave in
which they will be ultimately buried alive. Those poor workers that included
many tribals, were hired from the Indian states of Bihar, Jharkhand and
Madhya Pradesh by one P.N. Singh, who is the sub-contractor to GDCL.  Those
poor labourers had come to Korba with dreams that they will earn enough
money that could help them to support their families back home.



It was raining heavily since afternoon; As such few others who were engaged
in other works around the chimney had also taken shelter at the canteen and
at three stores located closely to the base where the diameter of the
chimney is 60 Meters. One hydra, a miller and three wrenches were also in
operations. There were about 52 workers who were working at the top of 253
meters, few of whom had left just before five minutes. At that time about
180 persons were there in and near the base of the Chimney. All of a sudden,
at about 3.40 PM, base of the chimney gave away. As per the eye witnesses,
Chimney sunk in to the ground,soon within in few seconds chimney collapsed
with huge sound split from one side burying many innocent workers within its
rubble. Later, Korba police have registered a case on the charges of
culpable homicide not amounting to murder and common intention — under
Section 304, 34 of the Indian Penal Code (IPC), against BALCO



Irresponsible Corporate Behaviors of BALCO and its contractor companies



In such a massive tragedy,  BALCO, its contractor Chinese company SEPCO and
Indian company GDCL are expected to behave as responsible corporate citizens
but instead, demonstrated how inhuman and irresponsible they can be. No one
was available to tell or produce from official records to how many workers
are trapped and their names etc.  Tempers of the workers present at the
accident site were already high. Fuel to the fire was added when they saw
the record room of GDCL near the collapsed chimney was destroyed.


Pravin Patel

  http://chhattisgarh.ozg.in

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