Jindal Steel scrip slumps over 15% amid CBI raids

Hyderabad: Shares of Jindal Steel and Power Ltd on Tuesday crashed over 15 per cent in the wake of CBI registering FIR against the company and its Chairman Naveen Jindal in connection with the coal allocation scam. The investigating agency also conducted raids at several locations in the case. As the news of fresh FIR filed by CBI broke out, the shares of JSPL went into tailspin in the morning trade and plunged 24.3 per cent to Rs 202 - its 52-week low on the BSE. At the NSE, the stock tumbled 24.13 per cent to a touch one-year low of Rs 202.75. The scrip was the top loser among the blue-chips on both the key indices. The company's market capitalisation dipped by Rs. 4,287 crore to Rs. 20,659 crore. However, the scrip recovered later in the day and closed at Rs 226.35 on BSE, down Rs 40.5 or 15.18 per cent. On NSE, the share witnessed 15.36 fall to close at Rs 226.15. Naveen Jindal, who is also Congress MP, and former Minister of State for Coal Dasari Narayan Rao have been named as accused in the fresh FIR filed by CBI. CBI has also booked Jindal Steel and Power and four other companies in the scam. Reacting to the development, Head of External Affairs, Jindal Steel and Power Ltd, Manu Kapoor said: "JSPL, as a law abiding company, is governed by a strong ethical code of conduct. This is an ongoing CBI investigation into coal block allocation. At this stage of investigation, JSPL is committed to fully cooperate with CBI."