No proposal to pay ₹10,000 crore to POSCO, says RINL

Refuting the allegations made by trade union leaders on the joint venture between RINL and POSCO, RINL has clarified that they were distorted and misleading.

The trade union leaders had told the media that ‘The government has allotted VSP land to the POSCO for this JV company, which requires an investment of ₹30,000 crore and of which at least ₹10,000 crore would have to be paid by VSP despite the fact the PSU is already running a loss of ₹3,000 crore.”

Issuing a clarification here on Wednesday, the RINL stated that “there is no such proposal or budget allotment to pay ₹10,000 crore to POSCO by VSP.”

RINL has also clarified that “a non- binding MoU has been signed by RINL with POSCO to set up a plant to produce high quality steel products, wherein it is proposed that the land would be provided by RINL and the discussions are at a very nascent stage.”