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IMC set up to probe allegations of illegal sale of coal by JSPL

11 Feb 2014

February 11: The government has constituted an Inter-Ministerial Committee (IMC) to inquire into the allegation of illegal sale of coal from Gare Palma IV/1 and IV/2 coal blocks which were allotted to Jindal Steel & Power Ltd (JSPL), Minister of State for Coal Pratik Prakashbapu Patil said.

The IMC was constituted on December 12, 2013, he said.

“The CCO had carried out inspection at Gare Palma IV/1 and IV/2 coal blocks of JSPL and no information regarding illegal sale of coal has been found. However, the government has constituted an IMC to inquire into the matter,” Patil said.

The minister said that complaints or representations were received from Members of Parliament (MPs) regarding theft or sale of coal in the open market in respect of Marki Mangli-I, Marki Mangli-II & II, Gare Palma IV/1 and IV/2; and Ardhagram coal blocks.

Marki Mangli-I coal block had been allocated to B S Ispat Pvt Ltd and Marki Mangli-II & III coal blocks to Shree Virangana Steels Pvt Ltd. These coal blocks are located in the state of Maharashtra.

Gare Palma IV/1 and IV/2 coal blocks, located in the state of Chhattisgarh, was allocated to Jindal Steel & Power Ltd (JSPL) whereas Ardhagram, located in the state of West Bengal, was allocated to Sova Ispat Ltd and Jai Balaji Industries Ltd.

Subsequent to the receipt of complaints, the CCO had conducted inspections, but did not find any evidence of illegal sale of coal in the open market from any of the four captive coal blocks against which complaints were received, Patil said.

“In respect of Marki Mangli-I coal block, the Coal Controller’s Organisation (CCO), Kolkata conducted inspection through its regional offices at Nagpur and no information regarding theft of coal was found,” Patil said.

He, however, said the inquiry in respect of blocks allocated to Shree Virangana Steels Pvt Ltd is underway.

In respect of Ardhagram coal block, inquiry conducted by the CCO found no discrepancy in despatch of coal from the mine and receipt at end-use plants of allocatees, he said.