The Central Bureau of Investigation (CBI) has registered a case under sections 120-B r/w 420 of IPC against a Director and his Mumbai-based private company (which was earlier based at Nagpur under a different name); another Director another unknown persons for alleged irregularities in coal block allocations.
According to press note issued by CBI, Delhi the said case is the outcome of a Preliminary Enquiry (PE) looking into allocations of coal blocks during the period 1993-2005. It has been alleged that the Marki Mangli II, III and IV coal blocks were allocated to a private Company based at Nagpur. However, the original owners of the company disposed their equity in the Company between 2006-08 to the persons/entities belonging to a Group of Companies based at Mumbai and subsequently the name of the Nagpur based Company was changed to Mumbai based Company. It was further alleged that the Private Company irregularly and purposefully entered into mining lease deeds in the name of Nagpur based Company which no longer existed, despite the fact that the request of the Company for change of name was not approved by Ministry of Coal. Although fully aware that the shareholding pattern of the company had changed between 2006-08, the fact of change in the shareholding was allegedly concealed in the affidavit sworn by the Director of the company.
The Company also allegedly resorted to excessive mining, without augmenting the capacity of its existing Sponge Iron Plant consumed the coal in their existing sponge iron unit and also substantial part in its 30 MW Captive Power Plant.
Searches have been conducted at six locations – at Nagpur, Yavatmal and Mumbai.