+
OCCRP report alleges massive coal supply scam involving Adani
COAL & MINING

OCCRP report alleges massive coal supply scam involving Adani

Revelations by the Organised Crime and Corruption Reporting Project (OCCRP) about the low quality of coal supplied by the Adani group have caused a stir in political and bureaucratic circles. The issue of low-quality coal and the resulting environmental degradation has been repeatedly highlighted in recent times in Tamil Nadu. This expos? alleges that at least 24 shipments, which arrived on the Tamil Nadu coast between January and October 2014, were initially priced as low-quality coal but were ultimately sold by the Adani group to the State's power utility at triple the cost.

On January 9, 2014, the bulk carrier MV Kalliopi L docked at Ennore port after a two-week voyage from Indonesia. It was carrying 69,925 tonnes of coal destined for the State's power company, according to OCCRP. However, the paperwork for the cargo took a more circuitous route, passing through the British Virgin Islands and Singapore. During this journey, the price of the coal more than tripled, reaching $91.91 per tonne. The quality also inexplicably changed from low-grade steam coal to the clean, high-quality version sought by power companies, OCCRP claimed.

Before reaching Tangedco, the paperwork for the shipment passed through a middleman: Supreme Union Investors, a company registered in the tax haven of the British Virgin Islands. Supreme Union Investors issued an invoice for the same shipment to Adani Global PTE Singapore " the group's regional headquarters" that listed the unit price as $33.75 per tonne and the quality as "below 3,500" kilocalories per kilogram (kcal/kg), considered low-grade, OCCRP reported. But when Adani Global issued its invoice to Tangedco for the shipment a month later, the unit price had dramatically increased to $91.91 per tonne and the coal was listed as having a calorific value of 6,000 kcal/kg, a high-quality form, relatively free of impurities, it added.

The evidence comes from multiple sources, including invoices and banking documents from several jurisdictions, details of investigations by India's Directorate of Revenue Intelligence (DRI), leaked documents from a key Indonesian coal supplier for Adani, and a trove of documents obtained from Tangedco, OCCRP stated.

Revelations by the Organised Crime and Corruption Reporting Project (OCCRP) about the low quality of coal supplied by the Adani group have caused a stir in political and bureaucratic circles. The issue of low-quality coal and the resulting environmental degradation has been repeatedly highlighted in recent times in Tamil Nadu. This expos? alleges that at least 24 shipments, which arrived on the Tamil Nadu coast between January and October 2014, were initially priced as low-quality coal but were ultimately sold by the Adani group to the State's power utility at triple the cost. On January 9, 2014, the bulk carrier MV Kalliopi L docked at Ennore port after a two-week voyage from Indonesia. It was carrying 69,925 tonnes of coal destined for the State's power company, according to OCCRP. However, the paperwork for the cargo took a more circuitous route, passing through the British Virgin Islands and Singapore. During this journey, the price of the coal more than tripled, reaching $91.91 per tonne. The quality also inexplicably changed from low-grade steam coal to the clean, high-quality version sought by power companies, OCCRP claimed. Before reaching Tangedco, the paperwork for the shipment passed through a middleman: Supreme Union Investors, a company registered in the tax haven of the British Virgin Islands. Supreme Union Investors issued an invoice for the same shipment to Adani Global PTE Singapore the group's regional headquarters that listed the unit price as $33.75 per tonne and the quality as below 3,500 kilocalories per kilogram (kcal/kg), considered low-grade, OCCRP reported. But when Adani Global issued its invoice to Tangedco for the shipment a month later, the unit price had dramatically increased to $91.91 per tonne and the coal was listed as having a calorific value of 6,000 kcal/kg, a high-quality form, relatively free of impurities, it added. The evidence comes from multiple sources, including invoices and banking documents from several jurisdictions, details of investigations by India's Directorate of Revenue Intelligence (DRI), leaked documents from a key Indonesian coal supplier for Adani, and a trove of documents obtained from Tangedco, OCCRP stated.

Related Stories

Gold Stories

Next Story
Infrastructure Urban

Syrma SGS Elemaster Opens High-Reliability Electronics Facility

Syrma SGS Technology and Elemaster Group have inaugurated a new high-reliability electronics manufacturing facility in Bengaluru through their joint venture, Syrma SGS Elemaster Private Limited.The facility aims to strengthen India’s advanced electronics manufacturing capabilities and support customers across domestic and global markets, particularly in sectors requiring high quality, reliability and stringent manufacturing standards.Located in the Bommasandra Industrial Area, the 20,000 sq. ft. facility is equipped with advanced Surface Mount Technology (SMT), Through-Hole Technology (THT) ..

Next Story
Real Estate

UrbanVault Expands Chennai Workspace Portfolio with 100,000 Sq. Ft.

UrbanVault has expanded into Chennai with approximately 100,000 sq. ft. of managed workspace across three properties, strengthening its presence in India’s flexible workspace market.The company’s Chennai portfolio includes Olympia Teknos and UV IPL in Guindy, and Ceebros Chambers on Velachery Main Road. The expansion marks UrbanVault’s entry into its seventh city, taking its national footprint to more than 3 million sq. ft. across 80+ centres.UrbanVault expects its annual revenue to cross Rs 350 crore in FY27, supported by expansion across major business hubs and rising demand for manage..

Next Story
Real Estate

LML Realty Launches Digital Platform for Custom Factories

LML Realty has launched ‘Your Factory’, a digital platform that enables businesses to configure, customise and order built-to-suit factories online. The platform combines plot selection, factory specifications, pricing and development into a single digital interface.Businesses can select plot sizes ranging from 500 sq. yd. to 10 acres and customise requirements such as factory size, height, structure, crane provisions and power needs. The platform provides instant quotations, allowing users to view configurations and pricing while designing their facilities.Pricing for the built-to-suit fa..

Advertisement

Subscribe to Our Newsletter

Get daily newsletters around different themes from Construction world.

STAY CONNECTED

Advertisement

SPECIAL OFFER
QR Code