Singareni Collieries Company Ltd (SCCL), which is into coal mining as its primary business and has diversified into thermal and solar power generation, has decried the misinformation campaign being carried out against its financial position by certain sections and expressed serious objection to baseless allegations being made against it.
The management of the company said in a statement issued on Wednesday that SCCL has ₹32,000 crore turnover and ₹2,000 crore profits. The company has deposits to the tune of ₹11,665 crore with yearly interest accrual of ₹750 crore. The company has ridiculed the allegation that it has ₹12,000 crore debt although the fact is that it has financial strength of ₹27,000 crore.
Singareni is not only a top performing company in terms of coal business but in employee welfare too. The company is into coal mining not only in Telangana but its coal mining in Odisha (Naini Block) is expected to commence in two months’ time.
The company has deposits of ₹11,665 crore in the form of term deposits in banks and Life Insurance Corporation (LIC) and bonds and is earning interest of ₹750 crore a year. Further, the company has receipts of over ₹15,500 crore due from its consumers of coal and energy, taking its total financial strength to ₹27,000 crore. The management wondered how the company was being portrayed as an entity in losses of about ₹12,000 crore and that it is not in a position pay salaries to employees on time.
On the company’s borrowings, the management said, of the ₹5,300 crore loan taken for its 2×600 megawatt thermal power plant, ₹2,500 crore was already repaid. Similarly, of the ₹472 crore taken for its 300 MW solar power generation capacity, the company has repaid the entire loan. The total debt of the company remains only at ₹2,800 crore, the management has explained.
“Nil” comments given to the company’s financial reports by the Comptroller and Auditor General (CAG) for the last several years is an ample indication of the company’s financial discipline.