Coal scam: Court issues notice to CVC Director

A special court today issued notice to the Director of Chief Vigilance Commission (CVC) in a coal scam case allegedly involving Prakash Industries Ltd (PIL) and others in which CBI has filed a closure report.
The court sought response of CVC Director Keshav Rao who had signed the reference which was sent by the commission to CBI on the basis of which an FIR was lodged.
"In the overall facts and circumstances of the case and in view of the submissions made, before proceeding to pass any order on the closure report, I deem it appropriate that a notice be issued to Keshav Rao, Director, Central Vigilance Commission under whose signatures the reference from CVC was received by CBI," Special CBI Judge Bharat Parashar said.

"It is further clarified that in case Keshav Rao has since got transferred out from CVC or has been posted at some other place then the officer succeeding him may be called," the court said and fixed the matter for consideration of closure report on August 26.
The court said the case was registered on the basis of a CVC's reference but after completion of probe CBI has filed a closure report saying no incriminating evidence had come on record which may warrant prosecution of any accused.
In the case, an FIR was lodged against PIL and others in connection with the alleged irregularities in allocation of Chhattisgarh's Fatehpur coal block.

According to CBI, the Fatehpur coal block was allocated jointly to PIL and another company by the 35th Screening Committee.

The FIR was lodged against PIL, its three officials, some officials of the Coal Ministry and others alleging that the firm had misrepresented its net worth while applying for the coal block.
The FIR was registered under sections 120-B (criminal conspiracy) read with 420 (cheating) of IPC and under the Prevention of Corruption Act.
CBI had alleged that while the company had misrepresented facts relating to its net worth, the screening committee had deliberately not followed the guidelines and showed undue favour to it.