JSPL receives Indian Railways approval
For the investors of private sector integrated steel maker Jindal Steel & Power (JSPL) there is some good news that can help the company to achieve strong performance in the near future.
It has become India’s first private company to get approval from Indian Railways for regular rail supplier status for its upcoming and ongoing projects.
Research Designs & Standards Organisation (RDSO), which works under the ambit of the Railway Board, has approved field performance of UIC 60 kg, 880 Grade prime (Class- A) rails made by JSPL at its Raigarh Plant.
Railway Board has accepted the field performance test report of RDSO and considered UIC 60 kg, 880 Grade prime (Class- A) rails are suitable for use in Indian Railways.
Lately, JSPL shares suffered from negative news flows. Three different Suspicious Activity Reports (SARs) filed by Deutsche Bank Trust Company Americas (DBTCA) regarding funds received and sent by JSPL red-flag a transaction pattern where it sent money to companies based in Mauritius, Germany, and the UK, and received funds from companies based in Dubai and Switzerland within the same set of days.
The media reports were based on leaked SARs filed by banks and other financial firms with the US Department of Treasury’s Financial Crimes Enforcement Network (FinCen).
JSPL had maintained that these transactions were part of routine business activities and that all had proper underlying assets. It sent a total of USD 4.85 million in 2015 and a sum of USD 12.83 million in 2016.
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