BJP donor firm named in Rs 400 crore SAIL Steel scam; CBI acts on Lokpal’s order
New Delhi: A company that donated Rs 30 crore to the Bharatiya Janata Party (BJP) via electoral bonds is at the center of a major scam involving the Steel Authority of India Limited (SAIL). According to a detailed investigation by The Wire, APCO Infratech Pvt Ltd has been named in a Central Bureau of Investigation (CBI) FIR filed in October 2024, based on findings by the Lokpal and the Central Vigilance Commission (CVC). The scam involves the illegal procurement and resale of subsidized steel worth over Rs 400 crore.
The CBI FIR alleges that APCO Infratech issued a fraudulent work experience certificate to Venkatesh Infra Projects Pvt Ltd (VIPPL), a shell company incorporated just a week before it signed a Memorandum of Understanding with SAIL in October 2020. This certificate falsely claimed that VIPPL had participated in 11 large infrastructure projects as a subcontractor under APCO – a claim later found to be fabricated.
The Wire’s Hindi report by journalist Ankit Raj, translated by Naushin Rehman, provides documentary evidence from the FIR, Lokpal's directions, and CVC findings, showing that VIPPL used this false credential to procure steel from SAIL at highly subsidized rates under the “Project MoU Scheme,” and then sold it in the open market for profit.
The National Highways Authority of India (NHAI) later confirmed to the CVC that VIPPL had no role in the projects listed. Despite this, SAIL officials approved the MoU without verifying the authenticity of the documents, enabling VIPPL to purchase over 1.1 million tonnes of steel meant for legitimate infrastructure projects.
Interestingly, between 2020 and 2023, APCO purchased electoral bonds worth Rs 30 crore – all of which were encashed by the BJP. During this same period, APCO was also awarded several infrastructure contracts by government agencies.
The whistleblower in the case, Rajiv Bhatia, a former SAIL marketing officer, raised internal alarms and eventually approached the Prime Minister’s Office. He was suspended in 2022 and later prematurely retired, even as other officials suspended in connection with the scam were reinstated after the 2024 General Elections.
The Lokpal in its January 2024 order observed: “There is prima facie material on record to indicate lack of due diligence on the part of the concerned officers of SAIL. Possible connivance of some officials with M/s VIPPL cannot be ruled out.”
SAIL has denied that any financial loss occurred and maintained that VIPPL was a legitimate dealer. However, the CVC and Lokpal reports sharply contradict this claim, pointing to coordinated fraud involving forged documentation and insider cooperation.
The CBI has begun further investigations into other companies and officials allegedly involved in similar fraudulent MoUs with SAIL.
This story is based on an original investigative report published in Hindi by The Wire, reported by Ankit Raj and translated by Naushin Rehman.
Let the Truth be known. If you read VB and like VB, please be a VB Supporter and Help us deliver the Truth to one and all.
Rupee falls 9 paise to all-time low of 90.58 against US dollar in early trade
Mumbai (PTI): Rupee depreciated 9 paise to an all-time low of 90.58 against US dollar in early trade on Monday, weighed down by uncertainty over an India-US trade deal and persistent foreign fund outflows.
Forex traders said rupee is trading with a negative bias as investors are in wait and watch mode and awaiting cues from the India-US trade deal front.
At the interbank foreign exchange market, the rupee opened at 90.53 against the US dollar, then fell further to an all-time intraday low of 90.58 against the greenback, registering a fall of 9 paise over its previous close.
On Friday, the rupee had slipped 17 paise to close at an all-time low of 90.49 against the American currency.
Meanwhile, the dollar index, which gauges the greenback's strength against a basket of six currencies, was trading 0.05 per cent lower at 98.35.
Brent crude, the global oil benchmark, was trading higher by 0.52 per cent at USD 61.44 per barrel in futures trade.
On the domestic equity market front, the 30-share benchmark index Sensex was trading 298.86 points lower at 84,968.80, while the Nifty was down 121.40 points at 25,925.55.
Foreign Institutional Investors sold equities worth Rs 1,114.22 crore on Friday, according to exchange data.
"FPIs continue to be in selling mode in equity and debt while RBI has been selling dollars to fund their long positions," said Anil Kumar Bhansali, Head of Treasury and Executive Director Finrex Treasury Advisors LLP.
