Coalgate: CBI names KM Birla, NALCO, Hindalco in fresh FIR
FIRs have been filed against Kumar Manglam Birla, NALCO, HINDALCO and former secretary coal PC Parakh. CBI searches are also on in Delhi, Kolkata, Bhubaneswar and Mumbai in connection with the coal scam.
October 17, 2013 / 09:46 IST
In another high profile chargesheet in the coal scam, the Central Bureau of Investigation has named Aditya Birla Group Chairman Kumar Mangalam Birla in its 14th FIR in the case.
FIRs have been filed against Kumar Manglam Birla, NALCO, Hindalco and former secretary coal PC Parakh. Cases of cheating, forgery and financial misrepresentation have been filed. CBI searches are also on in Delhi, Kolkata, Bhubaneswar and Mumbai in connection with the coal scam.Sources say that in the FIR against Birla, the name of the concerned coal block in question is Talabira II in the Jasakuda district of Odisha. This coal block was allocated in 2005. The Aditya Birla Group has issued a statement saying, "Did not receive any FIR copy and there is no reason for it." The FIR says Hindalco did not fulfill requirements of coal block but was unduly favoured by the government. Earlier Congress MP and industrialist Naveen Jindal was summoned by the CBI in September and was subjected to some intense scrutiny. Naveen has been named as an accused in the twelfth FIR of the CBI in coal scan. The CBI in its FIR has said that Naveen's company, Jindal Group, was not recommended by the Jharkhand government. The FIR also accused him of misrepresentation of facts.Meanwhile, Hindalco’s managing director, D Bhattacharya, responded to the news of an FIR by the CBI. He called reports of Birla trying to overturn the decision of the Screening Committee preposterous and that the allegations were paradoxical."The application for the Talabira II mine was made in 1996 by Indal, the Indian subsidiary of Alcan, the Canadian aluminium major. Indal was acquired by Hindalco in the year 2000, after which Hindalco pursued the matter further. The actual allocation of the mine was done in November 2005, which is nine years after the first application was made.""In the interim, Hindalco made several representations to the Government as any corporation would normally make in such circumstances, and only through formal channels. To imply that our Chairman, Kumar Mangalam Birla, managed to overturn the decision of the Screening Committee, is preposterous. The Talabira II and III mines together have been finally allotted jointly to Mahanadi Coal Fields and Neyveli Lignite, both public sector undertakings, with Hindalco having only a 15 percent stake in the joint venture. The project for which this mine was allocated - is ready to commission later this month, whereas the clearances to permit mining have not been received so far. Consequently, no mining has been carried out. This will mean delayed returns from Aditya Aluminium, which has been set up on a capex of over Rs. 11,000 crore.""We hope this puts in perspective the struggle Hindalco has had to undergo for securing the coal and the irrecoverable economic loss that Hindalco has had to suffer. In the light of these facts, the allegations made are paradoxical", Bhattacharya said in a statement to the media.Read more Discover the latest Business News, Sensex, and Nifty updates. Obtain Personal Finance insights, tax queries, and expert opinions on Moneycontrol or download the Moneycontrol App to stay updated!
