Lok Sabha Question No. 1841 (UNSTARRED), answered on 2016-05-05
Subject: Involvement of Nagpur based Companies in Coal Scam
Ministry: COAL
Asked by: KIRIT SOMAIYA

## LOK SABHA UNSTARRED QUESTION NO.1841 TO BE ANSWERED ON 05.05.2016

## Involvement of Nagpur based Companies in Coal Scam

## 1841: DR. KIRIT SOMAIYA:

Will the Minister of COAL be pleased to state:

- (a) whether the Government is aware about the involvement and illegal action of Nagpur based companies in the coal scam;
- (b) if so, the details thereof;
- (c) whether  the  Central  Bureau  of  Investigation  (CBI)  had  initiated  investigation  and  action against the companies involved in the coal scam; and
- (d) if so, the details thereof along with the present status of investigation?

## ANSWER

## MINISTER OF STATE (I/C) IN THE MINISTRY OF COAL, POWER AND NEW & RENEWABLE ENERGY

## (SHRI PIYUSH GOYAL)

- (a to d):On the directions of the Central Vigilance Commission and based on certain complaints received in  the  Ministry  of  Coal  from  the  Hon'ble  Members  of  Parliament  alleging  irregularities  in allocation of coal blocks during the period 1993 to 2004 to private companies, Central Bureau of  Investigation  (CBI)  has  registered  the  following  3  Preliminary  Enquiry  cases  regarding alleged irregularities in allocation of coal blocks:
- (i) Relating to allocation of coal blocks to private companies during the period 2006-09.
- (ii) Relating to allocation of coal blocks to private companies during the period 1993-2004 and
- (iii) Relating  to  allocation  of  coal  blocks  to  Government  companies,  including  Nagpur based companies who were allocated coal blocks.

It  is  reported  by  the  CBI  that  it  has  registered  several  First  Information  Reports  (FIRs) against various companies in the matter. The investigation of CBI is being monitored by the Hon'ble Supreme Court of India. Attention is invited to the observations of Hon'ble Supreme Court of India in W.P. (Criminal) No.120 of 2012 wherein CBI has been directed not to share any details of the investigation with the Government.

Further,  a  Joint  Surprise  Check  (JSC)  by  CBI  ACB,  Jabalpur  and  vigilance  officers  of Western  Coalfields  Limited(WCL)  at  Shivpuri  Open  Cast(OC)  Mine,  Pench  Area  was conducted  on  1.2.2016,  on  a  complaint  received  by  CBI  Jabalpur  regarding  a  criminal conspiracy by Shivpuri Mine officials with the contractor at Parasia to cheat WCL.  During the joint surprise check it was revealed that Over Burden(OB) had been dumped by the contractor at unauthorised area. During the floor survey, it was revealed that some amount of coal was left in the mine and huge OB was dumped on it to conceal coal.  Coal India Limited(CIL) and its subsidiary companies have been directed to check  such illegal action in their areas.

Another  complaint  alleging  that  some  industrial  units  situated  in  Nagpur  District  were lifting coal at subsidised rate from WCL and without consuming the said coal in their industrial units,  were selling the said coal in open market illegally at a premium and at the same time were using imported coal/hard coke/Electricity,  was  taken  up  with  the  State  Government  of Maharashtra.    On  the  basis  of  inspection  reports  of  the  units  it  was  found  that  out  of  114 industrial units only 10 industrial units were not in working condition.  Therefore, coal supply to  those  units  was  immediately  stopped  by  Maharashtra  State  Cooperative  Consumers' Federation Limited(MSCCFL),Mumbai.  Name of these10 units are 1) M/s. Amey Paper Mill Pvt. Ltd., Nagpur, 2) M/s. Aparjeet Health Care Product, Nagpur, 3) M/s. Detco Textile Pvt. Ltd., Thane, 4) M/s. Ganga Agency, Nagpur, 5) M/s. Jalaram Feeds, Nagpur, 6) M/s. Jatin Coal Briquetting  Industries,  Wardha,  7)  M/s.  Mineral  &  Metal  Resources,  Nagpur,  8)  M/s.  Shri Shivkripa Synthetics Pvt. Ltd., Nagpur, 9) M/s. Shri Rani Satjit Agro Industries, Nagpur & 10) M/s. Solanki Ceramics Industries, Nagpur.

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