Today, on May 2, Anti-Jindal & Anti-POSCO Movement (JPPSS), filed a human rights complaint against the Australian bank ANZ and Japanese banks Sumitomo Mitsui Banking Corporation (SMBC), Mizhuo and Mitsubishi UFJ Financial Group (MUFG).
The complaint alleges that by financing Indian steel major JSW Steel, the banks are linked to numerous human rights violations stemming from the company’s JSW Utkal steel and coal project.
“When the banks give money to JSW Steel, that money is used to tear down our homes and crops, and punish those who oppose it. JSW could not steal our land without support from banks, and so they must be held accountable.” Debendra Swain, President of the Anti-Jindal & Anti-POSCO Movement, was quoted in a press statement.
Community members from the Anti-POSCO Anti-Jindal Movement are demanding that the banks publicly refuse to finance the project. They have also called on the banks to not provide further finance to JSW Steel until an independent investigation and remedy process has been concluded for all affected villagers.
In the period between 2019-2024, the banks have participated in several loans to JSW Steel. During that same period, the company has taken land without consent from Indigenous residents, destroyed local livelihoods, and cooperated with the state to criminalise local opposition to the project, say the complainants.
It is mentioned that peaceful demonstrators have faced excessive force by police, arbitrary arrest, ill-treatment in custody, and restriction on freedom of movement in their villages. Communities are also concerned that if built, the project would further strain the environment of a region that is already deemed as one of the most polluted areas in India.
All four banks have policies in place committing them to act in line with international human rights standards, including a direct commitment to the principle of ‘free, prior and informed consent’ (FPIC).
Meanwhile, Prasant Paikray, Spokesperson for the Anti-Jindal & Anti-POSCO Movement, was quoted: “We want the banks to stay far away from Dhinkia. JSW cannot receive the funds to develop the Utkal project, or our future is at stake.”
Additionally, Bhoomika Choudhury, independent human rights researcher and lawyer stated that the banks' financing of JSW Steel makes them complicit in the widespread harm faced by Indigenous communities in Odisha.
"No bank should fund projects that steal land, destroy livelihoods, and criminalise peaceful dissent. Financial institutions must be held accountable for enabling these abuses—and they must listen when communities say no," she was quoted.