Bhubaneswar: The mining major, Vedanta Resources received a huge jolt, as the Church of England withdrew its investments in the company, accusing it of human rights violation in Niyamgiri Hills in Orissa, where is going to build a huge aluminium project.

The Church of England cited ethical reasons, while withdrawing its stake from Vedanta. Vedanta's proposed aluminium project in Orissa has already courted controversy, as it faced a backlash from Environmentalists and Human Rights activists, who are fighting on behalf of the local Dongria Kondh community in the Niyamgiri Hills.

The Church Commissioners and the Church of England Pensions Board have sold their shares in Vedanta Resources on the advice of the Church’s Ethical Investment Advisory Group (EIAG). The Church of England is considered one of the most prestigious organisation in Europe and its thumbs down to Vedanta has come as a serious blow to the company’s trust-building measures.