SEBI Vedanta listing: Goa Congress seeks pause on VISL over Rs 16,500 crore Goa mining liability

The Congress Goa unit on Sunday asked market regulator Sebi to stop the listing of Vedanta Iron and Steel Limited (VISL). The party alleged Vedanta Ltd did not reveal a Rs 16,500-crore liability tied to mining in Goa. The group said this amount related to disputed iron ore exports. Vedanta’s response to the allegations could not be immediately obtained.

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Vedanta group’s four demerged businesses were expected to list on the BSE and NSE on Monday. Vedanta Ltd is already listed on Indian stock exchanges. The new firms are Vedanta Aluminium Metal (VAML) and Vedanta Oil & Gas (VOGL). Vedanta Power and Vedanta Iron & Steel (VISL) were also set to begin trading.

Sebi listing of Vedanta Iron & Steel VISL challenged

In a letter to the Sebi Chairperson, GPCC president Girish Chodankar urged Sebi to block permission for VISL. Chodankar said Vedanta failed to disclose a contingent liability of Rs 16,500 crore. The letter linked the amount to iron ore mining activity in Goa. Chodankar also wrote that Sebi must act before June 15.

According to the letter, the liability relates to revenue from alleged illegal commercial exports of iron ore. The letter said the ore came from Goa mines leased for captive use. It alleged the ore was exported for commercial gain despite lease limits. The Congress leader described the amount as tied to mining operations in Goa.

Vedanta Iron & Steel VISL demerger and Goa mining liability

Chodankar said Vedanta Limited moved its iron ore undertaking into VISL from May 1. The transfer included Goa iron ore mines and the Amona pig iron plant. Chodankar alleged about 31 per cent of total production from Vedanta’s Goa mines was exported. The leases, Chodankar said, allowed mining only for captive consumption.

Chodankar estimated the revenue from the alleged exports at Rs 16,500 crore. Chodankar claimed this money belongs to the people of Goa. Chodankar also alleged the sum is a quantified and unresolved liability of Vedanta Limited. The letter said this liability was not shown in the demerger scheme documents.

Vedanta Iron & Steel VISL disclosures and Sebi LODR rules

Chodankar further alleged the liability was missing from stock exchange filings by Vedanta Limited. Chodankar claimed this breached Sebi’s Listing Obligations and Disclosure Requirements (LODR) Regulations. The letter referred to non-disclosure of material information and contingent liabilities. Chodankar said such gaps affected the demerger scheme’s disclosures.

Chodankar warned that trading in VISL could weaken recovery efforts linked to the alleged dues. Chodankar said the demerger structure could limit legal and practical options to hold Vedanta accountable. The letter asked Sebi to pause VISL’s listing on the NSE and BSE. The request remained tied to the alleged Goa-related liability.

Chodankar also sought further regulatory steps against Vedanta Limited. The letter requested a show-cause notice over the alleged non-disclosure. It also asked for a bank guarantee of Rs 16,500 crore for the Goa government. Chodankar also called for an independent inquiry into misrepresentation or suppression in the scheme.

The GPCC president said listing VISL without the claimed disclosures would harm public interest. Chodankar said it would be unfair to the people of Goa and weaken market trust. The Congress Goa unit kept its focus on the Rs 16,500-crore claim tied to mining. Vedanta’s response to these claims was not immediately available.

With inputs from PTI