Industry chamber FICCI on Thursday said business leaders cannot be made scapegoats of mere suspicion and misconstrued actions.
The Central Bureau of Investigation registered a case against Group Chairman Kumar Mangalam Birla on Tuesday for alleged irregularities in allocation of coal mining rights in 2005 and the chamber reacted to the same on Thursday.
“In the recent past, we have been witness to some very unfortunate developments. We find that cases are being registered against top bureaucrats and industry icons. It goes without saying that such developments dent the national psyche and also dampen investor confidence; both domestic and foreign,” said FICCI President Naina lal Kidwai.
“There is also a feeling that with repeated episodes of a trust deficit between Industry and Government, the business sentiment and the investment environment would be vitiated and India could slip further from the growth trajectory that is so necessary for us to maintain,” she added.
CBI has registered a case against ex-Coal Secretary P C Parakh and industrialist Kumar Mangalam Birla on charges of criminal conspiracy and corruption in connection with alleged irregularities in the allocation of two coal blocks in Odisha in 2005.
“We also need to bring back a regime of courageous decision making. Decisions made in the interest of progress, when made in a transparent manner with no personal gains and without malafide interest are critical for growth. Capable and highly regarded officers and business leaders cannot be made scapegoats of mere suspicion and misconstrued actions,” she said.
The CBI is probing allegations of irregularities in coal block allocations to power and steel companies since 1993 in a Supreme Court-monitored investigation.
“There is a need for a conducive environment for businesses to grow and recent events in India highlight the ever pressing need for a constructive dialogue and engagement between Industry and Government failing which there will be a negative environment which will affect decision making and investment sentiment,” she further added.