CBI seeks nod to probe ex-Jkhand chief secy

Basu,who retired in 2009,signed the recommendation to give a coal block to Vini Iron and Steel during the tenure of disgraced former chief minister Madhu Koda,who is also being probed,CBI officials said. The agency also plans to probe some senior officials of the coal ministry but it refused to name them.

Vini Iron was not initially recommended for allocation of coal blocks. However,soon after it filed its application,the firm changed ownership and was granted Rajhara coal block with reserves of 17.09 million mt. The change in ownership coincided with the change in the view of the state government as reflected in chief secretarys consent for allocation of the coal block to Vini, a senior CBI official said.

That was not all. Vini Iron had said it jointly developed steel plants in Jharkhand and Karnataka with Mukund Ltd,a claim that has turned out to be false,the CBI official said.

The CBI alleged that Vini Iron in order to embellish its claim for allocation of coal block fradulently claimed in its application the net worth and turnover of 15 group companies of Rs 85.70 crore and Rs 767.73 crore,respectively. However,probe revealed that only six of the companies were part of Vini Iron and actual turnover and net worth of these companies was Rs 37.26 crore and Rs 27.58 crore,respectively.

Sleuths also learnt that the chartered accountant of the company had submitted false certificates regarding group association of Vini Iron.