Coal scam of Rs 6,000 Cr in last 14 years in Gujarat: Congress

The Congress alleged that coal meant for Small and Medium Industries was sold to industries of other states and a scam of Rs 6,000 crore has come to light in Gujarat.

Coal
Photo: Reuters
IANS New Delhi
3 min read Last Updated : Feb 23 2022 | 4:01 PM IST

The Congress on Wednesday alleged that coal meant for Small and Medium Industries was sold to industries of other states and a scam of Rs 6,000 crore has come to light in Gujarat.

The party demanded a time-bound investigation.

It raised questions, whether it was coincidence that three chief ministers -- Narendra Modi (CM of Gujarat from 2001 to 2014) was also holding the charge of Industry, Mines and Minerals Department from December 2007 to December 2012), Vijay Rupani (August 2016 to September 2021) and Bhupendra Patel (September 2021 till date) -- kept the Industry, Mines and Minerals Department with them.

Addressing a press conference here, Congress spokesperson Gaurav Vallabh said, "Coal extracted from mines of Coal India did not reach the industries for which it was extracted."

"In the last 14 years, 60 lakh tonnes of coal have been sent from the mines of Coal India in the name of traders and small industries of Gujarat. It's average price is Rs 1,800 crore at Rs 3,000 per tonne, but instead of selling it to traders and industries, it has been sold in other states at a price of Rs 8,000 to 10,000/tonne."

The Congress said that the UPA government had formulated a policy in 2007 to provide good quality coal at affordable rates to the small industries across the country. Under this policy, coal was extracted every month from the West Coal Field and South-East Coal Field of Coal India for Small and Medium Industries of Gujarat.

Vallabh said, "The Gujarat government had to send all the information, including the list of beneficiary industries of coal, the quantity of coal required, from which agency the coal will be sent to Coal India. Along with this, the Gujarat government also has to send a list of State Nominated Agency (SNA). SNA means the agency declared by the state government, which is authorised to take coal from Coal India to the state's beneficiaries, small scale industries, small traders.

"The information sent to Coal India by the Gujarat government turned out to be false. The industries in the name of which coal was extracted from Coal India in the documents did not reach those industries.

"Agencies buy coal from Coal India every year in the name of beneficiary industries of Gujarat, but agencies instead of giving it to the beneficiaries earn crores of rupees by selling coal at high prices in the open market. It is possible that the agencies have created fake bills for this game and evaded Income Tax, Sales Tax and GST," said the Congress spokesperson.

--IANS

miz/dpb/bg

(Only the headline and picture of this report may have been reworked by the Business Standard staff; the rest of the content is auto-generated from a syndicated feed.)

*Subscribe to Business Standard digital and get complimentary access to The New York Times

Smart Quarterly

₹900

3 Months

₹300/Month

SAVE 25%

Smart Essential

₹2,700

1 Year

₹225/Month

SAVE 46%
*Complimentary New York Times access for the 2nd year will be given after 12 months

Super Saver

₹3,900

2 Years

₹162/Month

Subscribe

Renews automatically, cancel anytime

Here’s what’s included in our digital subscription plans

Exclusive premium stories online

  • Over 30 premium stories daily, handpicked by our editors

Complimentary Access to The New York Times

  • News, Games, Cooking, Audio, Wirecutter & The Athletic

Business Standard Epaper

  • Digital replica of our daily newspaper — with options to read, save, and share

Curated Newsletters

  • Insights on markets, finance, politics, tech, and more delivered to your inbox

Market Analysis & Investment Insights

  • In-depth market analysis & insights with access to The Smart Investor

Archives

  • Repository of articles and publications dating back to 1997

Ad-free Reading

  • Uninterrupted reading experience with no advertisements

Seamless Access Across All Devices

  • Access Business Standard across devices — mobile, tablet, or PC, via web or app

More From This Section

Topics :CongressCoal scamGujarat

First Published: Feb 23 2022 | 4:01 PM IST

Next Story