Chennai: The Madras High Court has ordered Sterlite Industries, the subsidiary of Vedanta Group, to close its copper smelter plant in Tuticorin in southern Tamil Nadu for violation of environmental laws.
The court held that the facility should be closed because of its proximity to an ecologically fragile area and has also faulted Sterlite for not developing a green belt around the plant in southern Tamil Nadu.
Sterlite's Tuticorin Unit operations include a smelter, refinery, phosphoric acid plant, sulphuric acid plant and copper rod plant. Sterlite's copper plant was to be set up in Gujarat and Goa later that was shifted to Maharashtra after local opposition.
Sterlite Industries tumbled over 8 per cent in the early trade on the BSE on Wednesday, on the back of the court's order. Reacting sharply to the move, shares of Sterlite, a subsidiary of UK-based Vedanta Group, went into a tailspin and plunged 8.21 per cent to hit an intra-day low of Rs 162 per piece on the Bombay Stock Exchange.
On the National Stock Exchange as well, the company suffered a loss of 6.50 per cent to trade at Rs 164.80 per scrip.
(With inputs from Agencies)
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