MSME secretary gets additional charge of SAIL and steel ministry

Even as Pujari takes charge of SAIL, govt search for full-time chairman continues; firm has been without one since June 10

Anup K Pujari, secretary, ministry of micro, small and medium enterprise (MSME) took additional charge of state-run Steel Authority of India (SAIL) as well as of steel ministry on Thursday.

Rakesh Singh, steel secretary, who retired on September 30, was given the additional charge for the second-largest steelmaker on June 11 this year.

SAIL has been without a permanent chairman and managing director (CMD) since June 10. C S Verma, whose five year tenure as SAIL CMD ended on June 10, was denied the extension by the Modi government.

Verma, who was appointed by the UPA government in 2010, still had four years before turning 60, the age for superannuation, making him eligible for an extension. On June 10, the government order clarified that the steel secretary would officiate as chairman of the company till a full-time chairman is appointed. Even as Pujari takes charge from Thursday, the government is still searching for a full-time chairman. The development has come at a time when the steel sector is facing a stiff downturn. Recently, on the application of SAIL, JSW Steel and Essar Steel the government decided to impose a provisional 20 per cent safeguard duty on select steel imports. These companies have been complaining for long about the dumping happening from countries such as China, Korea, Russia etc.

Higher royalty rates and expensive power pushed Steel Authority of India (SAIL) into a net loss of Rs 321.6 crore in the April-June period, against a Rs 530-crore profit in the same period last year. The government-owned behemoth previously reported a quarterly loss in December 2012. In the last quarter (Jan-March) of the year 2014-15, it posted a net profit of Rs 334 crore.