Coalgate: Fresh case against Chhattisgarh-based firm

CBI has registered a fresh case against a Chhattisgarh-based company in connection with alleged misrepresentation of facts while applying for coal blocks and carried out searches at 11 locations across the country.
CBI sources said here today that Pushp Steel and Mines Ltd and several of its directors including Atul Jain and Sanjay Jain have been named in the new FIR taking the total number of cases in the coal allocation to 11.
Following the registration of cases, the agency carried out searches at the offices of the company and premises of its directors in Raipur, Chhattisgarh, Narwana in Haryana and Ajmeri Gate and Punjabi Bagh localities here.

CBI sources claimed that it was alleged in the FIR that the company got mining lease on the basis of recommendation from the Chhattisgarh Government despite having no experience and lacking enough capital required for starting mining operations.
The agency had earlier booked some companies for alleged cheating, forgery and misrepresentation of facts in their applications for coal blocks.
Last year, the Central Vigilance Commission had entrusted CBI to probe into a complaint filed by by BJP leader Prakash Javadekar with regards to alleged irregularities in the allotment of coal mines for captive use.

Following the complaint, MPs of Congress also filed complaints into coal block allocation during NDA tenure.

Based on these complaints, CBI had registered three preliminary enquiries-- to probe alleged irregularities in coal block allocation to private companies between 2006 and 2009, allocation of the blocks between 1993 and 2004 and allocation of coal blocks to joint venture companies which included a private player.
The FIRs registered by the agency have arisen from the first preliminary enquiry which focuses on the allotments made between 2006 and 2009.
Last August, Comptroller and Auditor General had said that 142 coal fields allocated between 2004 and 2009 allowed beneficiaries to make staggering benefits of up to Rs 1.86 lakh crore as mining rights were given at undervalued rates instead of using auction route.