Tuesday, May 13, 2008

Corruption Alleged Over Kerala Titanium Sponge Plant

The Congress in Kerala has levelled corruption charges against the state government over a proposed titanium sponge plant, the contract for which has reportedly been given to the Russian-based company, Rosoboron Exporters. Addressing reporters on Saturday, senior Congress legislator V.D. Sateeshan said the project had been conceived by the government during 2001-06 and it had been proposed as a Rs.10 billion project.

“But it has come to light that the project cost has risen to Rs.15 billion. The Left government has to come clean on this steep increase. Industries Minister Elamaram Kareem had assured the assembly that the opposition would be taken into confidence before going ahead with the project, but this is yet to happen,” said Sateeshan.

He said that when the Congress-led government had held preliminary discussions with Rosoboron it had decided to invite an expression of interest from other parties as well.

“We received interest from five companies, but it being an election year, not much progress took place. We are surprised that the Left government has decided to ignore the interest shown by five companies and has instead decided to hand the project to this Russian firm, which is basically an arms dealer,” said Sateeshan.

The Congress decided to raise the issue after officials from Rosoborn Exporters visited Kerala. Discussions for technical clearance are taking place in New Delhi.


Source: Thaindian

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