Naxal payment: Essar GM held

Police in Chhattisgarh arrested a top official of the Essar Group today for allegedly paying off Maoists.

Police in Chhattisgarh arrested a top official of the Essar Group today for allegedly paying off Maoists. There have been allegations of companies giving protection money to Naxals to operate in their strongholds,but this is the first time that a corporate official has been arrested in such a case.

Essar general manager DVCS Verma has been charged with sedition,and under sections of the Prevention of Unlawful Activities Act and Chhattisgarh Special Public Safety Act. He was sent to police custody for two days.

A company spokesperson said the Essar Group vehemently rejects all allegations regarding payments to Maoists.

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Verma and other Essar officials were questioned after a civil contractor working for the group,B K Lala,was arrested on September 9,allegedly while handing over Rs 15 lakh to suspected Naxalite Lingaram Kodapi in Dantewada. In his statement, Lala spoke of the involvement of Essar. After we got corroborative evidence,Verma was arrested, Dantewada SP Ankit Garg told The Indian Express. Garg said the company had failed to submit certain documents,and more arrests were likely.

Essar has acknowledged that Lala was a contractor for the company,but denied any contact with Naxals. Baseless allegations are being made to hurt the reputation of the group, it said today.

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