Café Coffee Day’s promoter, VG Siddhartha was also involved with coal mining in Odisha

The mysterious disappearance of VG Siddhartha, the founder of India’s largest coffee chain Cafe Coffee Day, followed by his suicide is indeed tragic. Indian Express reported that late Cafe Coffee Day founder VG Siddhartha had deep business interests in Odisha that went beyond the popular cafe chain.

Along with the CCD outlets at several places in the state, Sical Logistics Ltd, another of Siddhartha-promoted company, is engaged in coal extraction and transportation to various sites of Mahanadi Coalfields Ltd. The multi-modal logistics company commanded a contract value of Rs.700 crore in Odisha state.

The company has been doing surface mining of coal along with transportation and removal of overburden besides mining development and operation at MCL’s Bharatpur and Hingula open cast mines in Talcher belt.

It was awarded with a Letter of Acceptance by Mahanandi Coal Fields in 2017 for extraction of coal/coal measure strata by deploying surface miners on hiring basis, mechanical transfer of coal by pay loaders into tipping trucks and transportation to different destinations at Bharatpur. The contract is for an extraction quantity of 41.01 million tonnes over a period of three years at a cost of Rs.288 crore. Similarly, the company had also received another LoA for coal extraction and transportation at Hingula mines in December last year. The contract is for extraction quantity of 26.72 million tonne over a period of 36 months at a contracted value of Rs.363 crore.

Shekhar Ghosh is consulting editor, Indoasiancommodities.com. He has edited and written for publications like Business India, Business Standard, Business Today, Outlook and many other international publications. He can be reached at shekhar.ghosh@indoasiancommodities.in.

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