NHPC develops cracks

NHPC is currently the top loser on the BSE, down 6% at Rs.19.70. Its 52-week lows stands at Rs.14.65.

The stock is down after 19 cases of corruption in various projects were registered against the company. As per the allegations, corruption and irregularities were seen in various claims awarded to contractors on breaching of coffer dams in NHPC projects. There have also been complaints against officers of the company regarding irregularities or malpractices at Dhauliganga Power Station of NHPC.

The Power Minister Jyotiraditya Scindia has said that the investigations are on and in some cases, reports have also been filed. It is not as though one did not know that corruption existed in road projects; market is just reacting to these reports, even though nothing conrete, which could destabilise this company is expected to come off these reports.