This company is perfect case study of bad corp governance , investors in other group company beware.
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In 1998, when Harshad Mehta, a fallen idol and the main accused in the securities scam of 1992, was looking to make a comeback, Anil Agarwal’s Sterlite was among the three stocks that he brazenly tried to manipulate and take to new highs. The investigation unearthed links with the promoter group. The other two were Videocon and BPL.
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In 2012, when P Chidambaram was the finance minister, Vednata courted huge controversy over the formation of Sesa Sterlite on terms that would help manage the debt of Vedanta Resources plc. The criticism by proxy advisors made no difference. The company splurged big sums of money on a PR blitz to promote its social work and silence critics, activists and civil society.
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In 2018, its copper smelter at Thoothukudi in Tamil Nadu was shut after 13 people died in police firing during protests. This was not the first time there was problem here. There was another well-reported incident in the 1990s. The plant remains shut today.