Coal scam: CBI files cases against two more firms

Coal scam: CBI files cases against two more firms

The CBI on Thursday registered two more cases against two companies in Chhattisgarh and Jharkhand in the coal block allocation scam, taking the total number of FIRs to 20.

In separate cases, the agency named Domco Smokeless Fuels Pvt Ltd in Jharkhand’s Ranchi and Vandana Vidyut Ltd in Chhattisgarh’s Raipur, besides its officials. Charges of criminal conspiracy, cheating and criminal misconduct have been invoked in both the cases. The agency claimed that the Raipur-based company and its promoter allegedly misrepresented the company’s net worth to get the coal block.

The Screening Committee, which allocated blocks, “deliberately” did not follow the guidelines and showed undue favour to the company, a CBI statement said.

In the second case, the CBI filed a case against Domco and its promoters and directors alleging that it entered into conspiracy with unknown people and submitted “false information with dishonest intention” to authorities while applying for a captive coal block and secured allocation of ‘Lalgarh’ (North) coal block.

“The then director of the company allegedly gained pecuniary benefit of Rs 7 crore by selling shares of the company on premium, after the allocation of the coal block,” the statement said.

Searches were conducted at three places at Ranchi and New Delhi.

The registration of fresh cases came following a direction from the Central Vigilance Commission (CVC).

The CBI had decided to close the case against these two companies. However, following Supreme Court orders, the agency submitted files to the CVC for examining whether it had taken the right decision to close the case.

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