Himachal cancels deal with Jaiprakash Industries

Shimla, Feb 19: Himachal Pradesh Wednesday cancelled a deal with Jaiprakash Industries Associates Ltd for setting up a Rs.8 billion cement plant in the state, an official said here.

The decision to cancel the project, signed five years back, was taken by the cabinet, presided over by Chief Minister Virbhadra Singh.

The government in 2007 signed a deal with the company for the cement plant to be set up in Broh Shind in Chamba district. The plant with a capacity of two million tonnes per annum was come into operation within five years.

The government was not satisfied with the reply of the company to the show-cause notice served on it by the industries department, said an official.