Coal news and updates

As part of its probe in the coal scam, the Central Bureau of Investigation has questioned former Jharkhand chief minister Madhu Koda in connection with the allocation of a coal block in the state to Naveen Jindal's company JSPL, said sources in the agency. 

 

CBI had questioned Jindal and former coal secretary H C Gupta regarding the allocation last year. Sources said during the questioning recently, Koda was asked about his government's decision to recommend JSPL's name for the block. The Koda government had earlier recommended that Amarkonda Murgadangal block be given to three companies - JSPL, Gagan Sponge and another private company. However, there was a sudden change in the opinion of the Jharkhand government and it recommended allocation of the block only to JSPL and Gagan Sponge, thus withdrawing its recommendation to the third company, said sources. 

 

According to the FIR, in which Jindal has been named, Jindal Steel and Power Limited and Gagan Sponge Iron Ltd (also a firm belonging to Jindal) had bagged Amarkonda Murgadangal coal block in Jharkhand in 2008 by alleged misrepresentation of facts when Dasari Narayan Rao was the minister of state for coal. It was alleged that Rao had pressured the screening committee after a 'deal' with Jindal's company. 

 

After registration of the case, head of external affairs at JSPL, Manu Kapoor, had said, "JSPL, as a law abiding company, is governed by a strong ethical code of conduct. This is an ongoing CBI investigation into coal block allocation. At this stage of investigation, JSPL is committed to fully cooperate with CBI." 

 

 

Source: ToI