CBI allowed to question former secretary in coal scam

The Central Bureau of Investigation (CBI) has been allowed to question former coal secretary H C Gupta in connection with allocation of blocks during his tenure.

Gupta is currently a member of the Competition Commission of India. CBI had asked the corporate affairs ministry to reconsider its earlier decision to keep Gupta out of the coal block allocation inquiry. The ministry has agreed. Such permission has to be taken when a senior government official has to be prosecuted or made part of an enquiry.

It was during Gupta's tenure in 2008 that Jindal Steel and Power (JSPL) and Gagan Sponge Iron were allotted the Amarkonda Murgadangal block in Jharkhand.

CBI yesterday registered a case against Lok Sabha member Naveen Jindal and former minister of state for coal D Narayana Rao on charges of cheating, criminal conspiracy and misconduct, along with five private companies including JSPL and Gagan.

CBI is likely to question Jindal soon for allegedly misrepresenting facts to get a coal block and another charge of a Rs 2.25 crore bribe to Rao's firm, Saubhagya Media. This is the first time that CBI has named a state functionary in the coal scam.

Gupta is likely to be quizzed on the procedure and reasoning followed by the selection committee in allotting the mines. CBI would also question Gupta on the delay in the auction policy and the amendment in the Mines and Minerals Act.

The probe is covering companies which got blocks between 2006 and 2009. The agency is also likely to seek the government's permission to name other members of the screening committee for coal block allocation in its First Information Report. A senior CBI official said such permission was required, since most officials were of the joint secretary rank and above. It has named 'unknown officials' of the screening committee and 'unknown directors' of the private companies named in the FIR.