The CBI has registered two fresh cases in connection with alleged irregularities in allocation of coal blocks during 1993-2005.
The agency has registered one case against Mumbai-based BlA Industries and the other one against Kolkata-based Castron Technologies, Castron Mining. The Managing Director of BlA Industries Anup Aggarwal and unknown public servants have been named in the FIR. In the case against Castron, the company, some unknown public servants and private persons have been named.
BlA was allocated two coal blocks — Gotitoria East and Gotitoria West in Narsinghpur in Madhya Pradesh on June 21, 1996. In its application, the company had claimed that it needed the block for captive use for its power plant. However, the company never operated a power plant. It sought permission for selling coal from the block in the open market and was allowed by the Coal Ministry in 2003-04 for sale of the black diamond. CBI sources said the company estimated to have sold 100 crore worth of coal per annum since the permission for sale was granted by the Coal Ministry. The firm had got coal blocksduring the tenure of former Prime Minister H D Deve Gowda.
The CBI alleged that the company entered into an alleged criminal conspiracy with unknown public officials of Coal Ministry and changed its end-use the sources claimed. Brahmadiah coal block in Jharkhand was allocated to Castron Technologies on September 21, 1999 and it later on transferred the block to Castron Mining. The CBI has alleged that the coal block was allocated in violation of existing guidelines.
Castron Mining ltd (formerly Castron Technologies ltd) was allocated the block for use in manufacturing of iron and steel. “The coal block in the State of Jharkhand, was allegedly allocated though this did not fit into prescribed norms and extant guidelines for allocation of coal blocks for captive end use. “It has been alleged that the private company, in conspiracy with public servants, managed to get the coal block with no clear cut end use project,” a CBI press release said. With this, CBI has so far registered 16 FIRs into the coal block allocations arising out of three Preliminary Enquiries.
These two cases are the first set of cases registered under the PE for 1993-2005 period. After registration of the cases, the CBI also conducted searches at nine locations in Delhi, Kolkata, Mumbai, Dhanbad, Bhopal and Narsinghpur (Madhya Pradesh). The CBI officials have also found documents relating to transportation of coal for sale in open market, the sources said adding that further probe in the case was continuing.