CBI recovers Rs 25 cr 'unaccounted cash' from Hindalco office

CBI has recovered Rs 25 crore "unaccounted cash" during its searches here at the office of Hindalco Industries, which has been booked by the agency for alleged corruption in coal block allocation.

A Hindalco spokesperson, however, said he had no information of any such cash recovery.

CBI sources said soon after registering FIR against former Coal Secretary P C Parakh, Aditya Birla Group Chairman Kumar Mangalam Birla and Hindalco Industries for alleged irregularities in the allocation of Talabira II and III coal block eight years ago, searches were conducted at six locations.

The searches were carried out in Delhi, Mumbai, Hyderabad and Bhubaneshwar.

The sources said during the searches at the fourth floor office of the UCO Bank building here at Parliament Street, the team found unaccounted cash of Rs 25 crore and incriminating documents.

They said the matter of cash recovery has been referred to Income Tax department for further action.

CBI has registered the 14th FIR in the coal scam in the alleged "undue favours" shown to Birla by the then Coal Secretary.

The sources said the probe is monitored by the Supreme Court and CBI would be informing the apex court of all the developments that have taken place in its status report to be filed on October 25.

They said they have strong evidence to buttress their claims in connection with the case and the allegations would be probed further during their probe in the case.

CBI sources said they have slapped the charges of criminal misconduct on the part of the government official and that stands even if there is no quid pro quo.

The sources claimed that alleged favours shown to Birla in awarding Talabira II and III resulted in notional loss to the exchequer which are enough to book Parakh and Birla for criminal conspiracy.

Parakh and Hindalco have both refuted the allegations and claimed no wrong doing was involved in the decision.