 Sterlite Industries India Ltd.

(SiIL) is Indian subsidiary

of London-based Vedanta Resources, led by Anil
Agarwal
 Vision 2010
◦ To be the world’s ‘best-in-class’ copper producer and build
a progressive organisation that all stakeholders are proud to
be associated with’.
 Mission
◦ To harness technology to its full potential in a safe and
clean environment in the entire business cycle and integrate
quality with continuous improvements
◦ To harness the profitable and growing CCR market from
125kmt to 300 kmt p.a.
◦ To achieve and sustain cost leadership in the global market.
◦ To become a vibrant, learning organisation by building skills
and competencies of employees for growth.
◦ To be the best and most respected corporate citizen.
 Founded in 1986
 India’s first private and largest copper smelting and
refining plant
 State-of-the-art technology and world-class products
 Commissioned copper smelter at Tuticorin in 1995
 Listed on BSE in 1988
 Vedanta listed on LSE in 2003
 54% stake in SiIL controlled by Volcan Investments Ltd.
 Acquisition of Cu mines in Tasmania, Zambia, Thalanga,
Al mines in Mettur
 51% stake in BALCO and 65% in Hindustan Zinc Ltd.
 SiIL controls 42% of Cu, 21% of Al, and 62% of Zn
produced in Indian market
 TQM, international safety awards and certifications,
zero-effluent discharge systems, excellence in energy
management
 OHSAS: 18001 certification
 Composition of the board
◦ Exec. Chairman, 3 Exec. Directors, 4 Independent Non-Exec
Directors
 Ethical code
◦ Uphold the rule of law, respect human rights, act in public
interest
◦ Highest standards of probity and integrity
◦ Rights to employees
 Public accountability, fair dealings with public and
customers, equitable treatment of vulnerable sections
 Responsible corporate citizen, and operate with a
‘social conscience’
 Environmental management
◦ ISO 14001:1996 certification
◦ More than ` 2000 m investment in envt. mgmt systems
 Focus on women, children, youth
 Education, health, sports, community welfare
 Bottom-up approach to development based

on community-participation
 Imported outdated, second-hand equipment
◦ Rejected by Go Maharashtra because of public agitation,
and relocated to Tuticorin
 Flouting TNPCB stipulations
◦ Plant located just 14 km away from the coral reefs of the
Gulf of Mannar instead of 25 km
◦ Annual production of 170000 mt instead of the
permissible limit of 40000 mt.
◦ Occupational injuries and fatalities not reported
 13 workers died and 139 injured, but criminal proceedings
initiated only in 3 cases
 Won safety awards from TN government
 Did not take timely action to prevent major accident
 Did not fully implement the Environmental Management Plan
(EMP) stipulated by TNPCB
 EIA report did not include assessment of
suspended particulates and heavy metals in
smelter discharges
◦ Plant emits large quantities of arsenic, SO 2, lead,
cadmium, antimony, bismuth
 Dumping of waste in local water bodies
◦ Public agitation, and the plant was closed thrice
◦ Not paying heed to order by Supreme Court
Monitoring Committee on Hazardous Wastes
(SCMC)
◦ SC ordered closure of the plant in 2005 for blatant
violation of the law
 Bauxite mines in Nyamgiri
◦ Two villages destroyed and tribals displaced, their lands taken
over by Vedanta security forces
◦ Support by local police and district admin.
 Mainpat in Chattisgarh
◦ Not provided safety gear to Tribals
◦ Earning of Rs.60 per day
◦ No medical coverage
◦ Poor living conditions on the site
 Jobs in plant are highly specialised and few local people
can get employed
 Mansil-Wakal dam in Udaipur funded by HZL
◦ Acquisition of land without consent of village administration
◦ More than 13500 people in 23 villages affected, mostly tribals
 Cut 20000 trees in Korba, and acquired 1000 acres of
govt land
 Gross undervaluation of BALCO. Sterlite
bought it for Rs.5.51 b instead of its worth of
Rs.30 b.
 Colluding with incumbent govt.
 Insider trading to push up its share prices
 Partnered with Harshad Mehta
 “I understand the Indian psychology. That’s
my biggest advantage. In India, you must
have patience. Everything will come through.”
(Business India, 2005)
 “The formula for violating laws is simple: If

you want to construct an illegal factory, just

do it quick, make it big, and ensure that the
investment is substantial”. (Infochange News)