The Supreme Court on Monday asked the CBI to inform whether it has conducted investigation into alleged diversion of coal by firms for commercial usage instead of using them for electricity generation in ultra mega power projects (UMPPs).
“File a report on this also and update us as to whether any probe in this aspect has been carried out,” said a bench led by Justice Madan B Lokur. It also asked senior advocate Amrendra Sharan, appearing for CBI, to inform the bench about the probe, if any, conducted into alleged sub-leasing of coal blocks by public sector undertakings (PSUs) to private firms by entering into a joint ventures (JVs).
The court’s directions came after lawyer Prashant Bhushan, appearing for NGO ‘Common Cause’, raised the issue of alleged diversion of coal by Reliance Power.
Bhushan argued that the coal block, meant for Sasan UMPP, was used for other purposes and even CAG has said that this diversion has caused Rs 29,000 crore loss to the state exchequer. Even the bidding process of coal blocks for such projects is different as it is linked to lowest power price offered by the firms, he added.
Court puts 2 JIPL directors on trial
By: Kaunain Sheriff M
New Delhi: The special court on Monday put Jharkhand Ispat Pvt Ltd (JIPL) and its two directors R C Rungta and R S Rungta on trial in the coal block allocation case involving North Dhadu coal block in Jharkhand.