Wednesday, December 23, 2015

Effective Safety Planning Part 4: Hazard Prevention and Control

Hierarchy of Hazard Controls
After you have successfully identified all of the hazards your employees face in the workplace, the next step is to prevent or control the risks. Many employers believe that this simply involves buying personal protective equipment (PPE) for workers, but according to OSHA’s established hierarchy of hazard controls, PPE is a last resort that should only be applied when three other methods of control of failed.
The hierarchy of hazard controls is often represented by a five-tiered pyramid. Controlling and preventing hazards starts at the top of the pyramid because as you work your way down, the methods decrease in effectiveness. Starting from the top, the five methods are Elimination, Substitution, Engineering Controls, Administrative and Work-Practice Controls and PPE.
hazard control Use
 

Elimination and Substitution

The most effective method available for controlling hazards is to simply remove or eliminate them so that employees are no longer exposed to a safety or health risk. Of course, this is not always possible because the equipment or process is intrinsic to your business. For instance, a fabrication shop cannot operate without cutting equipment, and all cutting equipment carries some form of risk.
Many hazards can be successfully eliminated by redesigning your facility or processes. Following are a few examples of eliminating hazards through design:
  • Redesigning equipment so that it does not create excessive noise, temperature or pressure
  • Redesigning a process so that toxic chemicals are no longer necessary
  • Redesigning a workstation to make it ergonomic and reduce physical stress
If the equipment, process or workstation cannot be eliminated, the next-best method is to substitute it for something that does not pose a hazard or that is less dangerous. For example, if you are using a chemical, say for polishing or sealing a slab, you can research whether a different product is available that does not include the ingredients that make it toxic.

Engineering Controls

If a particular hazard cannot be eliminated or prevented through substitution, the next methods that should be tried are in a category called engineering controls. Engineering controls are basically redesigns that prevent or reduce human exposure to specific hazards and include three specific types: enclosure, barriers and local ventilation.
The most effective engineering control you can implement is enclosure because it controls how employees are exposed to health-and-safety risks. Some equipment, such as robotic or programmable saws, can be completely enclosed even during production. Other types of equipment require human operators or a human presence during production, but keeping this equipment enclosed when not in use may prevent or reduce hazards during maintenance or for people simply passing through the area.
Examples of enclosure controls are as follows:
  • Moving parts of machinery are enclosed and inaccessible while it is operating.
  • Toxic substances, such as liquids and gasses, are contained until they can be detoxified or safely disposed.
  • Toxic chemicals and substances are enclosed in glove boxes so workers can conduct their jobs while remaining separated from the hazard.
If a hazard cannot be enclosed, then a barrier should be constructed to prevent exposure. Fences, ropes and chains are all examples of effective barriers, but local ventilation is also considered a type of barrier for hazardous gasses or airborne substances. In addition, baffles can be used as barriers to reduce or eliminate noise hazards.

Administrative Controls

Administrative controls are essentially work practices aimed at reducing employees’ exposure to hazards. Examples of administrative controls include adding relief workers or rotating workers through different jobs to keep exposure under hazardous levels. For instance, silica dust becomes increasingly hazardous the longer a person is exposed to it. If a job can be split up between two or three people, it is often safer than if one person is performing it for a longer period. Another administrative control that can be implemented is to establish a system of targeted breaks or activities.

Personal Protective Equipment

As mentioned above, PPE is the best-known type of hazard prevention and control. However, it is also the least effective. PPE includes protective clothing and gear such as respirators. To ensure that PPE is being used effectively and is not creating additional hazards, training is often required. In addition, workers may need to undergo thorough medical examinations to determine whether the PPE is not adversely affecting their health. This is particularly the case with respirators, which puts increased strain on the lungs and pulmonary system. According to federal and state law, all workers required to wear most types of respirators must first be cleared by a licensed physician. The physician is required to retain all medical records while the employer is required to keep clearance certificates or another form of proof that they have passed the physical exam. For specific information on PPE use and implementation, you can read OSHA Standard 1910 Subpart I. However, you must be aware that many states have implemented standards that are more rigorous than those at the federal level.
For further information about the standards in your state or about compliance in general, please contact your regional OSHA office, which can be found at the end of OSHA’s Q&As for Small Business Employers. All you have to do is ask for the consultation department. Despite popular belief, asking OSHA for information about compliance will not trigger an actual compliance inspection. Such practices by the administration are banned by federal law. The consultation department is required to keep all information confidential are banned from sharing it with the health-compliance or safety-compliance departments.

Friday, December 18, 2015

Caesarstone Saga Continues, May Be Resolved

Last August, we reported one of the biggest financial-news stories  of the year related to the countertop industry, concerning the sudden plummet of Caesarstone stock from a high of $72.01 at the end of July to $49.59 on August 6. Unfortunately, the Caesarstone saga has continued over these past few months, and it still seems to be far from an ultimate resolution.
During the intervening time, Caesarstone stock prices fell even further to a 52-week low of $28.92 on September 29. Since then, a partial recovery has been made, but the stock continues to struggle to break the $40 mark, and no one is quite sure if it will ever regain its previous value in the $60 to $70 range.

Caesarstone Q3 Financials Released

Caesarstone officially released its financial statement for the third quarter of 2015 on November 4. According to the statement, revenue experienced a year-to-year increase of 11 percent to a record-setting $136.8 million. This growth was mostly driven by sales in the U.S. and Canada, which grew by 22.2 percent to $61.7 million and 16.9 percent to $19.8 million, respectively.
“We are pleased with our results in the third quarter, which demonstrate the continuing strength of our brand and business around the world,” said Yosef Shiran, CEO of Caesarstone. “We are executing well, driving growth despite significant foreign-currency headwinds. We are also continuing to innovate, launch new products, expand our infrastructure and enhance our competitive edge.”
Other items of interest in the third-quarter financial statement are as follows:
  • Gross margin fell year-to-year from 43.7 percent to 39.5 percent.
  • Operating expenses increased from $22.7 million last year to $29.4 million, partially because of a $4.7 million expense for silicosis claims not covered by the company’s insurance.
  • Last year’s $1 million finance income dropped to become a $100,000 expense.
  • Net income per share fell to $0.56 from $0.75 in the previous year.
  • Expected revenue for 2015 is $497 million to $502 million.

Kibbutz Issues Proxy Contest

Shortly after the third-quarter financials were released, Kibbutz Sdot-Yam, the founder and largest shareholder of Caesarstone stock, initiated a proxy contest to replace two of the board of directors’ nominees for upcoming board elections with their own handpicked candidates: Yitzhak Sharir and Ammon Dick.
Caesarstone responded, saying the company was “surprised and disappointed” by the news. Caesarstone also stated that it believes Kibbutz is seeking to control the board even though the group sold nearly $300 million in shares, reducing its controlling stake in the company to 32.4 percent. The company said that it is exploring all options to enhance shareholder value and strengthen its leadership position in the quartz-surfaces market and advised shareholders against returning or signing any proxy cards or voting instructions they may have received from Kibbutz.

Caesarstone Management Vs. Kibbutz

On November 18, Caesarstone management hosted an investor presentation to discuss the proxy contest, and Kibbutz issued a letter in response to the presentation five days later, refuting the claims of Caesarstone management and urging all shareholders to elect its nominees to the board of directors.
According to the letter, Caesarstone management claims Kibbutz is trying to claim control over the board of directors and that Kibbutz’s motives are in conflict with the interests of public shareholders. Kibbutz states that the group voluntarily abdicated the chair, which it had held since the initial IPO to ensure the board remained independent, and even if the two members it sponsors are elected, the group would still only hold three of the nine seats on the board. In addition, Kibbutz points out that the majority of the group’s assets are invested in Caesarstone, and its interests are simply to grow the company and maximize shareholder value. Currently, Caesarstone stock accounts for 90 percent of the group’s equity.
Another point of contention is that Caesarstone management claims to have suggested and introduced Ronald Kaplan, a well-respected U.S. business executive, to the nominating committee. Kibbutz, however, states that it independently found Kaplan through JP Morgan. Kibbutz believes that Kaplan, Sharir and Dick will bring “meaningful and much-needed improvement” to the board of directors. In a new response letter, Caesarstone capitulated, saying Kibbutz is correct in that the group found Kaplan, and management is appreciative of Kibbutz’s support on this matter.
Caesarstone also claims that the company holds strong practices for corporate governance, but Kibbutz refutes this, stating that the board is forbidden to meet without the CEO present and several members are unduly influenced by the CEO, compromising their independence. In addition, Kibbutz claims that management’s nominees to the board are less than independent.

Caesarstone Refutes Kibbutz

In yet another response from Caesarstone management, Kibbutz’s claims are refuted as utterly false. Highlights of this letter are as follows:
  • If Kibbutz’s new nominees are elected, the board will include five directors with ties to the group.
  • The new nominees are not completely independent of the group.
  • Caesarstone management has been completely honest about the independence of its nominees.
  • The CEO of Caesarstone does not wield undue influence over board meetings and agendas.

Board Elections Held on December 3

When board elections were held on December 3, Kibbutz found that neither of its two candidates received seats. In a statement to the press, the group thanked shareholders for their “time, attention and interest. Kibbutz also said the group is ready to work with Caesarstone management and fully cooperate with the new board.
Eleven days after elections, Caesarstone stock was reevaluated by seven of the eight ratings firms currently covering the company. Of the eight, one has rated the stock as sell, two have issued hold ratings and four have rated the stock as buy, including JP Morgan.
It appears that this brings the Caesarstone saga to a close, although the company’s focus on celebrity endorsements and leveraging its agreement with Ikea, instead of including the fabricator as one of its top priority outlets still seems to be an issue, at least with some of the fabricators we have spoken with, but we will stay abreast of the situation should tensions rise again.

Wednesday, November 25, 2015

Effective Safety Planning Part 3: Workplace Hazard Assessment

Over the past few months, we have been exploring how to create an effective safety plan for you and your employees. According to the federal Occupational Safety and Health Administration (OSHA), developing and executing a comprehensive safety plan requires four key steps. Our last Health & Safety Watch focused on the first of these steps, management commitment and employee involvement, and this month, we delve into the second step of OSHA’s four-point workplace program: workplace hazard assessment.
For further information on job safety analysis, this article from Professional Safety, published by the American Society of Safety Engineers, may help you get on track. In addition, OSHA Publication 3071 Job Hazard Analysis is one of the most useful resources on the subject.

Defining Job Hazards

OSHA defines a hazard as anything that has the potential to cause harm. Hazards are most often associated with job activities and conditions that, if left unchecked, may cause an injury, illness or even death. Before hazards can be abated, however, they must first be identified, acknowledged and defined.
The recommended method for discovering and categorizing workplace hazards is to conduct a series of job hazard analyses (JHAs). This standard practice uses job tasks to pinpoint safety hazards and where they could occur. This takes into account all of the factors that are involved in workplace injuries: employees, tasks, tools and conditions. Once hazards have been clearly identified, steps can be taken to eliminate or reduce the risk of injury or illness.

Common Hazards at Fabrication Shops

  • Toxic, flammable and corrosive chemicals
  • Electrical shocks and fires
  • Ergonomic strains and sprains
  • Falls
  • Heat, smoke and fire
  • Machinery and equipment with moving parts
  • Noise
  • Being struck or struck against objects

Steps to a Successful JHA

A successful job hazard analysis includes five general steps:
  1. Get everyone involved. Employee involvement is crucial to a successful JHA because each person has a unique perspective, understanding and way of performing his or her assigned tasks. This will help prevent oversights and give employees a chance to think about their own safety.
  1. Review the company’s accident history. You can discover a great many hazards simply by taking a look at accidents that have occurred in the past. If detailed reports have been kept, you will also learn what the employees were doing at the time and how the accidents happened. If hazard controls had been present, accidents are indicators that
  1. Perform a preliminary job review. Call in each JHA OSHA Advisor 7employee for a safety interview, asking them about the hazards they already know exist. Talk about ways each hazard can be eliminated, and if it can’t be eliminated, how it can be controlled. If any of these hazards pose an immediate threat, employees should not perform any associated tasks until steps have been taken to improve their safety. This is a great way to show how committed you are to workplace safety.
  1. Outline the steps and hazards for every task. Just about every job in a fabrication shop can be broken down into tasks, and each task can be broken down into steps. Rather than relying on each employee to write down the tasks and steps, they should be observed by a third party. There is no need to get overly detailed with long lists of steps, but be meticulous enough to ensure that all of the JHA OSHA AdvisorX 7basic steps are included. The next time the task has to be done, have someone else complete it to see if anything is done differently. You will also want to review the steps with employees so that nothing is accidentally omitted.
  1. List and prioritize all hazards. Make a list of all the hazards you have found in descending order of consequences and likelihood. The hazards that are most likely to occur and have the most severe consequences should be made a priority and eliminated or abated before unlikely hazards with mild consequences.

How to Identify and Analyze Hazards

When identifying and analyzing workplace hazards, you must be able to answer all of the following questions:
  • What is the hazard?
  • Where can it occur?
  • Who could be affected?
  • What are the consequences of the hazard?
  • How could the hazard occur?
  • What could trigger the hazard?
  • What are the factors that contribute to the hazard?
  • What are the chances the hazard will occur?
The answers to these questions should be documented precisely and consistently.

Tips for a Worksite Analysis

  • Perform routine safety inspections.
  • Have a comprehensive survey done by a third-party safety or compliance organization.
  • Create a system for conducting a change analysis when tasks change or new tasks are added.
  • Seek professional safety advice for new equipment and procedures.
  • Let employees know that you want them to report unsafe or dangerous conditions immediately.
  • Conduct a thorough investigation when an accident occurs.

Bonus Tip

If you are unsure whether you are in compliance with all federal and state health and safety laws, contact the OSHA office in your state or the federal OSHA office to schedule a free consultation.
If an OSHA compliance officer visits while you are scheduled for or in the midst of a consultation, he or she is legally bound to wait until you have had a chance to learn about and remedy any potential infractions. However, this does not work in reverse. If you are first visited by an OSHA officer, you cannot schedule a consultation until after the case has been closed.

Thursday, November 12, 2015

Analysts Give Mixed Signals on Remodeling Outlook

Chart courtesy of the Remodeling Futures Program at the Joint Center for Housing Studies of Harvard University

Chart courtesy of the Remodeling Futures Program at the Joint Center for Housing Studies of Harvard University
CLICK TO ENLARGE

Since our last report, we’ve been hearing firsthand accounts here at CountertopResource.com about the state of the remodeling industry. And the news is incredibly positive. Contractors and related subcontractors, including countertop fabricators and installers, are enjoying a steady increase in business and in profits. However, a few reports show that the boom may be slowing, and business owners may encounter new difficulties in 2016.
In early October, the National Association of the Remodeling Industry (NARI) released its industry analysis, Remodeling Business Pulse (RBP) for the third quarter of 2015. The RBP tracks current remodeling conditions and outlook, and it is professionally organized with data and research by the marketing firm Consumer Specialists.
The report focuses on a final rating that is supposed to be a conglomerate measure of the current conditions for remodelers. The rating is on a scale of one to nine, and a rating of five or higher indicates growth. The RBP rating for the third quarter 2015 was 6.03, which is a sure sign of fair growth. However, this is a decline from the second quarter rating of 6.48.
Breaking the report down into its individual components, declines were measured nearly across the board:
  • Inquiries declined 4.6 percent.
  • Requests for bids declined 4.0 percent.
  • Value of jobs declined by 4.6 percent.
  • Bid conversion remained unchanged.
The analysis provided by NARI states that the leading factor driving growth was postponed projects followed by an improvement in home prices.
“Our businesses are becoming stronger, and that is good, but not as fast as it once was. We are adjusting to slow sustainable growth and are less optimistic, more realistic about what the future will bring,” said David Merrick of the NARI Strategic Planning & Research Committee. “Our customers are being careful about budgeting and taking on bigger projects so leads may be down a little, but the leads we are getting are more focused and on target and budget oriented.”
The future outlook in the RBP showed a picture similar to the analysis of current conditions. The rating for the outlook dropped from 6.07 to 5.79. Fifty-three percent of respondents in the survey stated they see growth in the future while 15 percent they are predicting a decline in business.

Houzz Renovation Barometer Falls

Even though the Houzz Renovation Barometer for quarter three has declined from the previous quarter, the company states that confidence remains high among home renovators. The analysis is broken into six categories: architects, designers, general contractors (GCs) and remodelers, designers-builders, specialty builders-renovators and specialty landscapers.
According to the report, industry optimism by GCs & remodelers fell six points from 78 to 72 even though Houzz predicted only a one-point decline in the last Renovation Barometer. Specialty builders-renovators saw a drop of four points from 77 to 73, but Houzz predicted the category would rise two points to 79.
Even though these drops are quite significant, Houzz focused on the positive aspects of the report. The following stats reflect the year-to-year numbers:
  • New business inquiries increased from 63 to 74
  • Number of new projects increased from 66 to 74
  • Size of new projects increased from 60 to 69
All of these indicators of new business growth fell on a quarter-to-quarter basis, but this may be attributed to the annual winter slowdown.

LIRA Predicts Rise in Remodeling Spending

In October, the Leading Indicator of Remodeling Activity (LIRA) was published by the Remodeling Futures Program at the Joint Center for Housing Studies of Harvard University. LIRA was developed to estimate national spending on home improvements for the current and three subsequent quarters.
According to the third-quarter report, home-improvement spending will fall from $149.4 billion in the third quarter to $148.3 billion in the fourth and $146.9 billion in the first quarter of 2016. However, by the second quarter of 2016, spending is expected to rise to $154.5 billion, which is an increase of 6.8 percent.

Wednesday, October 28, 2015

Effective Safety Planning Part 2: The Four-Point Plan

Every day in the United States, 17 workers are killed in occupational accidents, 137 succumb to fatal, job-related medical conditions and more than 17,000 suffer from injuries sustained while working. Aggregating the losses for the year, the cost to the U.S. economy is more than $170 billion. Chances are that your business has experienced a bit of these losses, but they can be reduced to a bare minimum by establishing a four-point safety plan as recommended by the Occupational Safety and Health Administration (OSHA).
 It is generally regarded that maintaining a strong safety culture is the most effective way of reducing worker injuries and fatalities. However, developing a culture of safety is more easily accomplished by following the OSHA-recommended Four-Point Safety Program:
  1. Commitment from management and employee involvement
  2. Full worksite analysis
  3. Hazard abatement, prevention and control
  4. Safety training for managers, supervisors and employees

Commitment from Management

The first step in the establishment of an effective safety plan is to obtain a commitment from everyone in the company, starting at the top. As an owner or manager of the business, when you take a genuine interest in the safety and health of your employees, you employees will be more likely to reflect your sentiment. You must create a clear and uncompromising safety plan that covers everyone equally with no exceptions, and you must actively enforce it at all times.
Business owners and managers must demonstrate leadership in keeping a safe workplace by providing training, resources and motivation and by holding everyone accountable for safety, including themselves. A written plan starts with training management to be effective safety leaders.
The best way to create safety leaders is to elevate safety above everything else. Safety should not merely be another duty that must be accomplished. Rather, it should be among the company’s chief values or part of the mission statement. Safety and health should be an overriding concern that plays into every situation every day of the week.

Benefits of Management Safety Leadership

Effective safety leaders can make a huge difference in a business. Management leadership can increase productivity, cut costs and improve morale in the workplace. OSHA has found that companies enrolling in one of its Voluntary Protection Program’s (VPPs) report a decrease in lost workday cases by up to 80 percent. In addition, studies show that for every dollar saved on direct medical expenses or insurance compensation, up to $50 are saved on indirect expenses, which may include hiring and training new workers, delays in production, equipment repair and much more. A prime example of the benefits of a proactive safety program comes from a major Ford factory that experienced a 13 percent increase in productivity and a 16 percent decrease in wasted materials.

Actions of Effective Safety Leaders

When managers are committed to workplace safety, they will take many of the following actions:
  • Post the company’s official safety policy near the required OSHA Workplace Poster so that it is easy to find and read.
  • Hold employee meetings concerning safety and health issue, goals and procedures.
  • Visibly and explicitly show support and personal involvement in the company safety plan, such as reviewing reports and conducting follow-ups when accidents occur.
  • Personally follow all laws and safety rules that pertain to employees.
  • Immediately halt hazardous activities or activities held in unsafe conditions.
  • Encourage all employees to become involved in workplace safety, especially those who have specialized knowledge.
  • Assign specific safety responsibilities to employees as outlined in the safety plan. Try to disburse duties in the same way that you would assign production duties.
  • Provide the people, time and training necessary to ensure all responsibilities can be carried out.
  • Make everyone accountable for the responsibilities that have been assigned to them.
  • Ensure that all responsibilities are covered and completed adequately.
  • Review safety accomplishments and accidents at regular meetings held at intervals of no greater than one year.

Employee Involvement Is Crucial

One of the top reasons for making your managers effective safety leaders is to encourage employee involvement in your workplace safety and health program. The best way to reduce health and safety issues is to share responsibility for them with everyone. In this way, you can tap the unique knowledge and resources that your employees provide. In addition, employees will have greater interest in and appreciation of the company safety plan the more involved they are in establishing and maintaining it, and they will be less likely to engage in unsafe activities that can affect your bottom line.
Following are just a few of the advantages of getting employees involved in workplace safety:
  • Employees will hold a vested interest in their own safety and their duties in keeping a safe workplace.
  • Group decisions are more likely to be followed.
  • Employees are more apt to support programs that they have helped create or maintain, and without employee buy-in, safety will be compromised.
  • Employees who are encouraged to share ideas and expertise are generally more satisfied and productive than those who are told to keep quiet.
  • The more involved employees are with the safety plan, the more they will learn about how to avoid injuries and dangerous situations.
Employees can be encouraged to participate in workplace safety in several ways:
  • Become members of safety committees
  • Conduct onsite safety inspections
  • Analyze workplace hazards
  • Develop safety rules
  • Participate in accident investigations
  • Become safety observers, safety coaches or safety trainers
  • Report hazards
  • Provide ideas for reducing or eliminating hazards

Tuesday, October 13, 2015

Charges of Corruption and Human Sacrifice Destroy Indian Granite Empire

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In this strange, but apparently true story, new allegations against the largest granite exporter in India, PRP Granites, brings to light why it is important to consider the source of your slabs. Even though the price may be the lowest and the quality  top notch, the success of the exporter may be resting on fraudulent activity, local scams and, believe it or not, even human sacrifice rituals.
In the 1990s, in the Indian state of Tamil Nadu a  general contractor, PR Palanichamy, quickly rose to become the largest granite mogul in the country. Early in the decade, Palanichamy bought several acres of land rich in pink-hued granite, and he started his company in the town of Melur.
Western nations began to impose strict regulations on granite quarrying only a few years later. This caused domestic production to fall as fabricators sought cheap, quality imports. Palanichamy was able to make a few large deals very early on, and only two decades later, his company was mining 35,000 acres across the state, and his net worth had risen to more than $3 billion.
For the last five years, Palanichamy has been investigated by the highest legal authorities in India after rumors of corruption and shady business practices were disclosed by former associates and employees. At the peak of the investigation, in August 2012, Palanichamy and his two sons were allegedly among 23 people operating four granite firms arrested for illegal quarrying.
The investigation continued and authorities uncovered what would be called one of the largest scams of modern India. Police had identified 18 mining barons, arrested 40 people, issued warrants for 12 others and seized thousands in cash and 72 vehicles. In addition, all granite exports in India were halted, 12 revenue officials were suspended and 40 other government officials were investigated.
From 1978 to 1992, the state held a monopoly in the granite industry under the blanket of Tamil Nadu Minerals Limited (TAMIN). When TAMIN was dissolved, its land was leased and licenses for mining were issued to about 175 private companies. According to the public record, 94 of these companies have been accused of violating licensing terms and 51 others were accused of major violations, such as land encroachment.
“We have deployed 200 government officials and 100 police personnel for the job,” District Collector Anshul Mishra was quoted as saying. “All the quarry owners have illegally mined granite blocks over and above the permitted quantity. They mined public roads and private lands without the consent of the owners and have grabbed land at will.”
“Our investigations in Madurai district reveal that 70 percent of violations were committed by PRP Granites Exports Ltd”, Mishra added.
As Palanichimay’s business grew throughout the past 20 years, he and his accomplices are said to have lived life to the fullest. They reportedly wielded social and political power in a mafia-like fashion and held vast sums of money. But, on the surface everything seemed legitimate. Palanichimay was awarded as the country’s top granite exporter by the Chemical and Allied Export Promotion Council of India (CAPEXIL) eight times and by the Chamber of Commerce and Industry twice.
Anonymous police sources said that PRP Granites had been distributing “gifts” to several government officials in amount of up to $7,700 per month. Officials at all levels allegedly enjoyed these benefits in exchange for turning a blind eye to violations of exporting laws.
A few people had uncovered the scam in recent years but were quickly silenced. S. Manimaran, editor of the local newspaper Dina Bhoomi, published several articles about unclaimed granite exports. Shortly afterward, Manimaran and his son were arrested on several charges, including wrongful restraint, causing fear of death, extortion, robbery and committing obscene acts in public. The arrest was made after a complaint was issued by the president of the Madurai Granite Quarry Owner’s Association. The journalists were released on bail the following day after a public outcry by other media outlets, and charges were later discovered to be unfounded.
After the elections of 2011 instilled a new General Assembly, District Collector U. Sagayam began an official investigation into illegal mining, and he submitted a 13-page report detailing all of the violations he discovered. Five days later, he was turned away while boarding a flight back to Madurai, being told that he had been transferred to a different region. However, Sagayam’s report had already leaked to the media, and his successor reopened the investigation.
2C99620B00000578-3240277-image-a-1_1442837489285It would seem that this story would work its way through the courts without much more to be said, and it was summed up nicely in India’s national magazine Frontline. Some charges would stick, others would not – fines would be paid, jail-time imposed and stricter oversight of granite exports would begin. However, the story took a strange, new twist just last month. News agencies around the world, including NDTV, The News Minute, The Indian Express and even the Daily Mail have reported that Palanichamy is now being investigated for murder after claims that ritual human sacrifices were being performed in the PRP Granites boardroom. Yes, you read that correctly – human sacrifices in the boardroom.
Sevarkodiyan had been a truck driver for PRP Granites from 1998 to 2003, and he revealed his reason for leaving in 2004 when he told local police that he had witnessed multiple murders at the company’s headquarters. The allegations seemed unsubstantiated at the time, but as Sagayam continued his investigation, the bodies of four to seven people (reports vary) and miscellaneous bone fragments were uncovered from one of Palanichamy’s quarries.
Sevarkodiyan tells a shocking story that seems barely believable in the modern world, and even more unbelievable among those in the granite industry. As a driver, he says that he was asked to go out to the city streets looking for mentally impaired or other vulnerable people. He was allegedly told that they would be rehabilitated as a public service, and he believed them until he reportedly witnessed the unthinkable.
He said that one night he saw the bodies of two men being dragged out to a riverbank where they were buried. “Their throats were slit, and they were buried,” said Sevarkodiyan. “I soon realized that it was a human sacrifice and that they had done it before an idol.”
Sevarkodiyan states that he was asked to find and pick up mentally ill people whenever he would go out to inspect a location for a new quarry. According to his statement, he never forced anyone into the vehicle, and they simply held their hand and let them inside. He said that they immediately fed them good food and let them eat as much as they wanted. When they got back to the company headquarters, the people were locked in a room for several days, according to him.
He went on to state that one night as he was crossing a dry riverbed to reach the headquarters, he met a supervisor driving a Jeep. In the back were two of the men he had picked up about a month earlier, and their throats had been cut. He said he continued to watch from a distance as the bodies were buried with the help of a bulldozer.
Police confirmed that several bodies had been found at the site named by Sevarkodiyan. They said the bodies were tied with coconuts in a ritualistic fashion. They are also investigating the role of a Hindu Godman, an Indian term for a charismatic religious leader, who allegedly presided over the human sacrifices.
Verrpan Manoharan, the lawyer for PRP Granites, replied to the charges saying that they are completely false and that Sevarkodiyan is just a bitter ex-employee.