RINL Suspends 15 Officials in Ferroalloys Procurement Probe

The management of the Rashtriya Ispat Nigam Limited (RINL), the corporate entity of the Visakhapatnam Steel Plant (VSP), has suspended 15 officials and ordered the internal transfer of 19 others following an inquiry into alleged irregularities in the procurement of ferroalloys, a key raw material used in steel production.

Sources said the action followed an internal investigation that reportedly uncovered quality-related issues in ferroalloys supplied to the steel plant over a period of time. Ferroalloys play a crucial role in enhancing the strength, hardness and durability of steel.

The inquiry examined procurement procedures and the quality of materials received by the plant. Preliminary findings reportedly pointed to the use of substandard ferroalloys that did not conform to prescribed specifications. Officials are also investigating whether the alleged quality lapses contributed to a series of accidents reported in various departments of the plant in recent months.

Based on the preliminary findings, the management suspended 15 officials who were found to have direct or indirect links to the alleged irregularities. Sources indicated that several of them were associated with key operational and procurement divisions.

In a parallel move, 19 other officials were transferred to different departments as part of administrative measures aimed at facilitating the ongoing inquiry and ensuring an impartial investigation.

The disciplinary action has sparked considerable discussion within the organisation, with employees closely monitoring the progress of the probe. Sources said the investigation is continuing and that further action against additional officials cannot be ruled out if more evidence emerges.

The developments assume significance in the backdrop of recent industrial accidents at the steel plant, which have brought issues relating to operational safety, procurement practices and quality control under increased scrutiny.