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This is an archive article published on April 4, 1998

HC notice to Jaya in coal import case

CHENNAI, April 3: Following a petition filed by the CB-CID in the Madras High Court regarding the coal case against former chief minister an...

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CHENNAI, April 3: Following a petition filed by the CB-CID in the Madras High Court regarding the coal case against former chief minister and AIADMK general secretary J Jayalalitha, the court has ordered a notice to Jayalalitha, returnable by April 20. The order was passed by Justice K Natarajan, before whom the case came up for hearing on Friday.

The petitioners has sought the quashing of an order of Special Court-II, which directed that the coal case against the former chief minister be kept in "cold storage".

Earlier, while passing orders on a petition from Jayalalitha, Special Court judge V Radhakrishnan had on March 3 ordered the adjournment of the case till May 4. The CB-CID then filed the present petition seeking a direction to set aside the order of the special judge.

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The petitioners contended that the government had purchased the coal without going into the antecedents of the contracting firms. Contracting companies such as Alagendran Bros International — which was dealing in automobile spareparts — had no previous experience in coal contracts, the petition alleged. Besides, the authorities of the companies had a nexus with Sasikala, Jayalalitha’s friend, the CB-CID said.

Contrary to the advise of the then PWD secretary to drop the proposal and to scrap the tenders, the same was approved by the chief secretary, finance secretary and the PWD minister. Jayalalitha approved the purchase without even reviewing the objections of the PWD secretary, who was also a director of TNEB, the petition said.

It was also alleged that Jayalalitha took undue interest in writing to the then prime minister to see that customs exemption remained in force for the company and misused her position as chief minister to show undue favours.

Thereby, she cheated the public and defrauded the nation of foreign exchange to the tune of Rs 700 crore, the petition said. The petitioner also said after completing the investigation, a charge-sheet was filed before the Special Court. The court took cognizance of the petitionand the accused were also served copies of the charge-sheet. Subsequently, Jayalalitha filed a petition to adjourn the case till further investigations were conducted by the agency.

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The petitioners contended that the special judge-II had on "an erroneous view and total misconception of the case", postponed the trial till May 4, 1998.

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