RINL puts up Vizag land parcels, houses for sale

VISAKHAPATNAM: Rashtriya Ispat Nigam Limited (RINL), the corporate entity of Visakhapatnam Steel Plant (VSP), has put up land parcels and houses for sale at three locations in Vizag.

However, the information on sale had been sent to just Powergrid Corporation of India, a public sector undertaking, on June 9 last. Powergrid has been asked to respond within the next 10 days. The public sector undertaking has been invited in the backdrop of ongoing agitation against the privatisation of VSP.

As per the RINL letter, 588 plots spread over 45 land parcels over an
extent of 22 acres are available in HB Colony and the Maddilapalem area.

Similarly, 76 houses spread over four land parcels over two acres of land in Gajuwaka and Autonagar. The third location is Peda Gantyada, where eight houses have been put up for sale in one land parcel.

Objecting to the proposed sale, senior trade union leader Varsala Srinivasa Rao said: “This is sheer injustice. When we are agitating to prevent privatisation and protect valuable lands, RINL has put up lands for sale without even inviting tenders.”

Srinivasa Rao told this correspondent on Sunday that they would oppose the sale tooth and nail.

Requesting anonymity, an official aware of the development said the deal is between two public sector undertakings. A public sector entity has been chosen to conclude the sale quickly, as VSP is badly in need of funds, he underlined.

Department of Investment and Public Asset Management (DIPAM), which manages the government's equity in public sector companies, had on March 11 last year floated the request for proposal (RFP) for appointing an asset valuer registered with the Insolvency and Bankruptcy Board of India (IBBI) for the valuation of the steel plant’s assets and assist the centre in the process of strategic disinvestment in RINL.

The valuer was to evaluate all assets of RINL, its subsidiaries and joint
ventures, including plant and machinery, land and buildings, furniture,
civil infrastructure and associated intangibles on an ''as is where is basis''.

“But we did not allow any agency to value RINL’s assets as we are opposing privatisation,” Srinivasa Rao underlined.