Coal scam: Ex-bureaucrat paints a picture of helpless PM

P C Parakh, a former Coal Secretary, alleged that money is 'openly asked' for appointment of directors and CEOs in Public Sector Enterprises

A retired top bureaucrat today painted a picture of a helpless Prime Minister Manmohan Singh being unable to control his ministers who had scuttled his move for reforms in the Coal Ministry and lashed out at MPs as "blackmailers and extortionists".

P C Parakh, a former Coal Secretary, also alleged that money is "openly asked" for appointment of directors and CEOs in Public Sector Enterprises(PSE).

68-year-old Parakh, who retired from service in December 2005, claimed that various Coal ministers including Shibu Soren and Dasari Narayana Rao besides MPs cutting across the political class scuttled reforms in the Coal ministry that could have prevented the coal scam despite full support of Prime Minister Singh in pushing reforms,

"These two ministers resolutely opposed my proposal to put coal blocks to open bidding. Unfortunately, the Prime Minister was not able to control his ministers in the proposal that I made in 2004...I saw in the Ministry how Chief Executives and Directors of PSEs are appointed," he told reporters here.

"Money is openly asked for appointment of directors and CEOs. I saw MPs becoming blackmailers and extortionists. They blackmailed officers, they blackmailed CEOs of government companies. I saw how ministers have reversed the decision of the Prime Minister, who had agreed to putting coal blocks in Internet-based auctions," he said after release of his book "Crusader or Conspirator? Coalgate and other Truths".

Parakh said a situation has been created where it is difficult for civil servants to work with honesty and dignity.

He said whatever forward movement was achieved by him during his stint as Coal Secretary was only when the Prime Minister was incharge of the ministry.

"When I was in Coal ministry, the Prime Minister gave me full support. Whatever changes had come in the Coal ministry it is because of Prime Minister. He also supported reforms in the Coal ministry. We were able to get a lot of work done because of proactive role of Manmohan Singh," he said.

Asked whether the multicrore coal scam could have been prevented if the reforms had been pushed through, Parakh replied in the affirmative. "Yes, if the Prime Minister had used his authority, it (scam) could have (been avoided)."

Parakh, who has been accused in one of the FIRs by the CBI probing Colagate, said auction of coal blocks in open market and e-marketing of coal, as proposed, would have ensured that there was no scam.