MML suffered Rs 700 cr loss due to mismanagement: Probe Committee

Bangalore, June 20 (UNI) The Legislature House Committee probing into the performance of state-owned Mysore Minerals today disclosed that it had made a loss of Rs 700 crore to the state's exchequar due to mismanagement by its officials.

Committee Chairman Araga Jnanendra, MLA, told reporters here today that probed into the affairs of MML revealed that the company was making a loss of Rs five crore every day.

The report was submitted to the Legislative Assembly Speaker Krishna today.

Atleast 17 Mangaging Directors of MML served since 1999 had been involved in illegal dealings with three private mining groups in leasing out lands for mining, sale of iron ore at a low rate causing a loss of a total of Rs 700 crore to the government treasury during these years.

He stated that the companies involved were Kalyani, Jindal and Shivashankar Groups.

Mr Jnanendra said the Committee had made recommendations to the government to take strict action against the officials involved in looting of the natural resouces.

"The company was making a loss since 2002 and had announced a VRS scheme to its workers. At the same time it given donations of crores of rupees to private institutions despite suffering losses.

For many years MML has not exported any iron ore," he pointed out.

UNI