Papers not scrutinised as part of a criminal conspiracy: CBI

Aug 25, 2013 - PRAMOD KUMAR |

Age Correspondent

New Delhi

Following CBI remin-ders, the matter was discussed at a high-level me-eting chaired by the additional secretary (coal) on July 16 at the coal ministry’s office in Shastri Bhavan, sources said. Till date, the CBI hasn’t got the relevant information from the ministry on these two cases.
Despite repeated reminders by the CBI, the coal ministry has not provided copies of the presentation and feedback forms submitted by the companies for the allocation of coal blocks.
It was alleged by CBI sleuths that officials of the coal ministry, “in pursuance of criminal conspiracy, wilfully and purposefully, did not scrutinise the relevant documents, including the company’s net worth, and recommended the allocation of the Lohara East coal block to Grace Industries in June 2008 and thus facilitated the company in getting undue advantage”.
It was alleged that soon after the allocation of the coal blocks, the promoters of the company “sold off” their entire equity holding in November 2008 to a Nagpur-based firm and made a net profit running into several crores of rupees.
While the files of Kamal Sponge Steel and Power Ltd were reportedly sent to the MP government, the state did not recommend the allocation of the Thesgora-B/Rudrapuri block to the company. Sources said that in violation of guidelines, ministry officials allegedly took a “suo moto decision to favour this company”.

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