JSPL down 5% as court summons Naveen Jindal in coal scam case

Shares of Jindal Steel & Power Ltd fell by nearly 5 per cent today after its Chairman Naveen Jindal and 14 others were summoned by a special court in the coal blocks allocation scam case.
The stock lost 4.27 per cent to Rs 128.90 on the BSE. On the NSE, it was down 4.59 per cent to Rs 128.65.
Later, recovering some of the lost ground, the company stock was trading 1.23 per cent lower at Rs 133.20 on the NSE.
Industrialist Naveen Jindal and 14 others were yesterday summoned as accused in the coal blocks allocation scam case by a special court which observed that Jindal, who is also a Congress leader, had prima facie "manipulated entire government machinery" to procure undue allotment in Jharkhand.

Besides Jindal, the court also summoned former Minister of State for Coal Dasari Narayan Rao, ex-Jharkhand Chief Minister Madhu Koda, ex-Coal Secretary Harish Chandra Gupta and others, including five companies, asking them to appear before it on May 22 after taking cognisance of CBI's charge sheet filed against them.
Meanwhile, Jindal Steel and Power Limited (JSPL) has denied all charges against its Chairman.
In a statement the company said: "We deny all allegations made against our company and its management. We will be availing of appropriate remedy in accordance with law. We have full faith in our judiciary and are confident to come out clean during the process."

It said the allocation was made to the company on merits and all along the course of the investigation the company and its officials have fully cooperated with the authorities.