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Updated: August 29, 2012 21:02 IST

Coal licence cancellation will cause huge loss: Sibal

PTI
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Telecom and HRD Minister Kapil Sibal addressing party workers during a meeting on the CAG report on the coal blocks allocation, at Delhi Pradesh Congress Committee headquarters on Wednesday. Photo: Shiv Kumar Pushpakar
The Hindu Telecom and HRD Minister Kapil Sibal addressing party workers during a meeting on the CAG report on the coal blocks allocation, at Delhi Pradesh Congress Committee headquarters on Wednesday. Photo: Shiv Kumar Pushpakar

Government on Wednesday said there was no question of anyone benefiting from coal block allocation as the mineral were never sold and accused the Bharatiya Janata Party of raking up the issue for no reason because of its desperation to come to power at the Centre before 2014.

Telecom and HRD Minister Kapil Sibal also rejected Opposition demand for cancellation of the licences for coal block allocation, saying such a step would cause huge monetary loss and badly affect the country’s power sector.

“Under the nationalisation policy, coal cannot be sold...

Coal from the blocks allotted was never sold. So, who could have benefitted,” he asked while addressing a press conference at the Congress headquarters.

“Why is there so much of noise? Did anyone sell the coal,” he asked.

He accused the BJP of not bothering about the country’s interest and said it was thinking only how to come to power before 2014, when the Lok Sabha elections are due.

Slamming BJP for its tactics of disrupting Parliament, Mr. Sibal alleged that the “ideology” used to assassinate Mahatma Gandhi is being used now to “kill” Indian democracy.

“The BJP does not think about the nation. It wants to come to power before 2014. It just believes in the ideology of disruption and killing of democracy,” the HRD Minister said.

On demands that the controversial coal block allocations should be cancelled, he said, “We cannot cancel the licences.

It will be lead to wastage of crores of rupees. Many banks are involved and the decision will affect the power sector badly.”

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CAG is top level officer and part of government. Why would he give a
wrong data to the nation? then if you please Mr Sibal.. talk the
later..

from:  karthik
Posted on: Aug 30, 2012 at 16:17 IST

Now Kapil Sibbal will hold additional responsibility of coal minister also.

from:  raju
Posted on: Aug 30, 2012 at 11:57 IST

On one hand the coal minister has given a statement that the government is seriously considering the cancellation of about 57 coal blocks and HRD minister in his usual rhetoric saying that coal blocks already allowed cannot be cancelled. Who is Mr. Sibbal to give such statements, he should look to his own departments, Instead posing his nose in other minister privilege. In my opinion if there is a zero loss and the coal has not been mined then in this situation better to cancel the allocation of coal blocks and put to rest all the controversies and parliament to function.

from:  P.S.Thakur
Posted on: Aug 30, 2012 at 09:01 IST

Yes to congress party-not to nation!

from:  atis
Posted on: Aug 30, 2012 at 06:54 IST

Why did the coal blocks alotees give the government money for the blocks if they are not
allowed to develop the coal mines, mine coal and sell it, Mr. Sibal? Sir, please credit us with
some intelligence to understand at least simple matters.

from:  K.Vijayakumar
Posted on: Aug 30, 2012 at 01:11 IST

Kapil Sibal had lost his credibility after his "zero loss" claim in the 2G spectrum scam. Now he is not bothered about the loss of 1.86 lakh crores to the country but is worried about the loss to Manmohan Singh's favoured allottees of coal blocks. It would be better for him to refrain from making such asinine statements.

from:  Mohanraj
Posted on: Aug 30, 2012 at 00:02 IST

BJP is criticised for disrupting parliament and ridiculed for not
allowing PM to clarify.Now see the statements of Manmohan singh and
his illustrious colleagues such as Kapil Sibal,Chidambaram et al.
[1]Manmohan says'I will take responsibility.We have not done any thing
wrong.BJP CMs opposed auctioning.Odisha and West Bengal CMs also
opposed'. His offer to take responsibility is meaningless because 'he
has not done any thing wrong'.He cites the stand of non-congress CMs
as cause for his action.CMs were wrong but accepting their stand is
not wrong.
[2]Chidambaram says'there is no loss'['no loss' is different from
'zero loss']
[3]Now Kapil Sibal says'coal licences will not be cancelled'
BJP's disruption is not justified.But when parliament resumes,
certainly Manmohan and 40 colleagues will manage to obtain
parliament's approval for the scam. The past events show that 'the
numbers' decide and not the facts.

from:  S.Srinivasan
Posted on: Aug 29, 2012 at 23:01 IST

There you go! We all were expecting this to exactly what he said about 2G!

from:  Sam
Posted on: Aug 29, 2012 at 22:55 IST

It is lawyerspeak!

from:  Soundararajan Srinivasa
Posted on: Aug 29, 2012 at 22:49 IST

In a democracy true in spirits opposition party always wants to
come into power by defeating ruling one. It is duty of opposition
party to tell the ruling party about shortcomings of it's policies. If opposition stops fighting and accepts wrongdoings of ruling
party then it does not culminate into a true democracy. Ruling
party for its own handiwork should stop blaming other parties not
in coalition.

from:  dalchand agrawal
Posted on: Aug 29, 2012 at 22:40 IST

We know what is "zero loss" in 2G spectrum said by the said minister.Again trying to defend
the case for congress. He should have used the zero loss here and suggested the
government to cancel the allocation.Truth will come to light from cancellation.The minister
lost all his credentials from 2G case of "zero loss". Let the minister not further damage his
own party by statements like this.

from:  Santhanam
Posted on: Aug 29, 2012 at 22:38 IST

BJP not thinking about Nation but Congress Each moment thinking loot
Indian Resources. What type Leadership India today is ridiculous. Each
political parties of the nation Looted Indian wealth, No media, Not
even indian constitution not able punish them and recover the
resources.
Our nation Freedom fighter struggle lot save our nation and Handed over
to interior looter's. Each and every person should wake up and fight
against the looter to save our country from these "Asuras", other wise
one day our future generation will blame us.

from:  Gowda delhi
Posted on: Aug 29, 2012 at 22:11 IST

What do you mean when you say "The BJP does not think about the nation. It wants to come to power before 2014."

Are you confident that in 2014 only BJP will come to power.

from:  Vijay
Posted on: Aug 29, 2012 at 22:04 IST

For whom, Mr. Sibal. We still remember you claiming zero loss in 2G and now the same Govt quoting a much bigger number in spectrum auction.

Now, nobody takes your words seriously Sir.

from:  Vijay
Posted on: Aug 29, 2012 at 22:02 IST

To whom?

from:  Manish
Posted on: Aug 29, 2012 at 22:00 IST

Mr.Sibal forgets or chooses to overlook the earlier statement by the
govt.that majority of allottees have not started mining. So how does the
cancellation and allot them afresh will lead to loss to the nation?
Actually country has lost heavily on a/c of throwaway fees. and
addl.loss on import of coal.loss production of power,and other products
etc. Mr. Sibal despite being a lawyer chooses to defend the
indefensible!

from:  R.RANGAN
Posted on: Aug 29, 2012 at 21:55 IST

Mr Sibbal's another zero loss statement! now there's a big scam for sure and a SC rap maybe

from:  ramesh
Posted on: Aug 29, 2012 at 21:46 IST

Sibal is absolutely correct. There will be a huge loss to the government and more than that, all the folks who are supposed to receive their kickbacks will see the biggest loss. May be we could create them another project so they could continue to swindle the country..

from:  Upendra
Posted on: Aug 29, 2012 at 21:40 IST

No way sir. With all due respect. All Coal Licence must be cancelled
just like the 2G that was cancelled as per the Supreme Court. You
cannot dole out the natural resources of the country with the benefit
not going to the common man and selectively going to some top
industrial houses and like Pushp Coal without an audit. It surely
looks like a under the table dealing when a few parties are benefiting
and you cry it was for the benefit of the whole nation, but the
balance sheets of the beneficiaries tell a different story. This is
not transparency...this is called shady dealing in allocation without
any due diligence on the part of the govt, because you have been
elected to take the responsibility of how you handle these things. It
is mind boggling when it comes to scams, 2G (214 Crore bribe), CWG,
Coal, Adarsh and so on and on....this is vexing...

from:  Krishna S Bala
Posted on: Aug 29, 2012 at 21:38 IST

Sir if you want to save the india you should bear this loss

from:  rakesh chauhan
Posted on: Aug 29, 2012 at 21:28 IST

Previously no loss. After CAG-new license --now loss!! Mass murder of electricity for Indians. Nothing was sold and no money generated!! Then when cancelling and re-issuing license why the loss come? Why are we paying for electricity bill equal to rate paid by US consumers- when there is no consistent electricity.
If he is responsible to make sure that everybody house has food in their plate and electricity at home. Then is he going to say no humans exist in India or make them disappear!!

from:  marudah
Posted on: Aug 29, 2012 at 21:16 IST

Coal cannot be sold so no one benefits AND cancellation of permits will lead to crores of wastage. How can someone make these two statement in the same breath? Obviously they think people are fools or naive if they can't see how persons having ability to hand out goods worth crores can't benefit out of this situation if they wanted to.

from:  Manoj
Posted on: Aug 29, 2012 at 21:13 IST

First it was the 2g scam, where Congress had fielded Kapil Sibal to
make a mockery of the law. Now it is coalgate. It brings a grave
doubt about the capability of CAG in our country. Are they always
wrong and if so, why should they exist? Is this UPA Government always
right? Be it so, in that case, tomorrow the same UPA Government will
blame the economic advisers for the blunders committed by the
Government in the past 8 years. They will even go up to the extent of
blaming the RBI Governor and should not be surprised. Does Kapil
Sibal knows more than the CAG? Come on use your common sense. There
is something terribly wrong with this Government and it is time that
we people of India, should realize this and go for a good change.

from:  ravishanker
Posted on: Aug 29, 2012 at 21:12 IST

What will cause huge gains?

from:  Pranjal Barman
Posted on: Aug 29, 2012 at 21:12 IST

BJP did in previous term is no excuse. Sometimes executive office gives excuses like school children. Repeating a lie louder doesn't make it right either. Only when congress has the courage to accept the mistake we can expect a true leadership and change.

from:  Senthil Natarajan
Posted on: Aug 29, 2012 at 21:11 IST

Question is cancellation will cause loss to whom corrupt ministers or
nation?? Message is very clear and pain is clearly visible...

from:  Naveen
Posted on: Aug 29, 2012 at 21:01 IST

According to him there was zero loss in 2G scam. I wonder how he got his degree from oxford. It is really terrible that he is the head of the HRD ministry . Look at the statements that he makes every now and then ... his rubbish policy of one nation -one entrance exams even though IIT-Kanpur disapproving his move ... His stubborness can be compared to that of a mule. It's a pity that we have him as a minister.

from:  Mukul Priya
Posted on: Aug 29, 2012 at 20:55 IST

Coal licence cancellation will cause huge loss. Yes, agreed. But the
Minister did not say to whom.

Because, everyone in the country knows this is the loss to Congress
and its Owners (yes, owners!).

:-)

from:  Lakshmanan B
Posted on: Aug 29, 2012 at 20:47 IST

“You can't defend the indefensible - anything you say sounds self-
serving and hypocritical” says a famous quote. Aptly applicable to
Kapil Sibel, who is an excellent professional lawyer no doubt but
hardly a statesman with patriotic welfare of the country at heart. He
is an excellent example of despicable contemporary political class who
at the command of his Master (Mistress) forever trying to convince
people of this hapless country that Sun indeed raises from the West. If
in disagreement you will be accused of “ “kill” Indian democracy” as
though Indian democracy is the patented sole property of Congress.
Devil quoting the scripture indeed!

from:  N.G. Krishnan
Posted on: Aug 29, 2012 at 20:45 IST

Mr Sibal Should clarify Whether Cancellation of licenses would cause more loss or deallotment and Reallotment at current market rates through transparent competetive bidding would result in monumental gains for our Exchequer.What Mr Sibal is talking about seems to be beyond reason. After all it is this Financial Loss due to arbitrary allotments by this government that the CAG Report has specifically pointed out. No Surprises Its coming from the Father of The "ZERO LOSS" Theory.

from:  vikram rana
Posted on: Aug 29, 2012 at 20:44 IST

coal license cancellation will cause loss to whom????

from:  gaurav
Posted on: Aug 29, 2012 at 20:32 IST

The Congress's contradictions are all too transparent. On the one hand, the government did not lose money, nor did the big business houses ('the usual suspects')gain anything. On the other hand, cancelling the contracts would make the business houses sustain losses! Latter-day Socialism of Congress is: illegitimate profits to big business; losses to the People"!

from:  Thiru V. Ramakrishnan
Posted on: Aug 29, 2012 at 20:17 IST

Mr.Sibal needs to wake up to the fact that the "Coal from the blocks allotted was never sold" explanation will never be bought by the people of India, even if it is stated again and again. He should explain why he thinks the cancellation of licences would lead to huge loss and to whom. Let the BJP's tactics be aimed at grabbing power at the centre. We, the people of India, expect the Congress to prove that it has had the nation's best interests guiding its actions.

from:  Ramya S
Posted on: Aug 29, 2012 at 20:09 IST

Yes.Kabil is right. cancellation of licenses will result in huge loss
to congress mine owners.

from:  ramesh
Posted on: Aug 29, 2012 at 20:05 IST

I fail to understand the argument of Mr Sibal.On one hand he says that"there is no question of any one benefitting" from coal block allotment.On the other hand he says that "cancellation of licenses would cause huge loss"."Huge loss" to whom,how and why ?.He should have explained it better.In the case of 2 G spectrum,the supreme court cancelled the irregular licenses.Why not now cancel the controversial coal block licenses instead of indulging in "indefensible defence"?

from:  nanduri somaya
Posted on: Aug 29, 2012 at 20:05 IST

Mr Sibal if no mineral was sold to any one how can any one suffer a loss by cancellation of licences.Was all this licencing process a farce with some other hidden agenda of congress? Of course your congress party will suffer a loss by cancellation of licences as they will have to return the MOTA MAL collected from the parties for this fraudulent scheme.

from:  surinder mehta
Posted on: Aug 29, 2012 at 20:04 IST

Is Mr.sibal taking vakkalat for the Prime Minister in Coal allocation
matters as he did for the then telecom minister in 2g scam ?
In what way, sibal connected with the coal allocation ?

from:  manoharan
Posted on: Aug 29, 2012 at 20:02 IST

look at the total bankruptcy of moral compass ,i am unable comprehend if congressmen and in particular sibal even find their way back to the parking lot ??

from:  jatindra singh deo
Posted on: Aug 29, 2012 at 20:01 IST

Here comes Mr. Sibal again! I can't stop myself from being amused.
Just look at their conflicting statements; On one hand Govt. (Mr. Chidambaram) says there is no loss since the coal has not yet been mined, and on the other hand, Mr. Sibal says, if we cancel these same licenses there will be a huge loss to the country!

What, do they want us to wait another 10 years, to actually get the coal mined and calculate the losses, to justify the cancellation of the allocated blocks? What, do they consider us to be fools? Really, Mr. Editor, I want our voices to reach the Parliament. I want the Govt. to know that they cannot fool me so flagrantly and so compulsively, as I have no way of stopping them! I don't want to wait until 2014 to tell them that they are doing wrong to me and my country!

from:  Aditi Pandya
Posted on: Aug 29, 2012 at 20:00 IST

Does not matter if coal was sold or not. The "right to sell" was given away. And that is the core issue.

from:  AR
Posted on: Aug 29, 2012 at 19:58 IST

What happened to sibal's zero loss theory? When it is about public money
then its zero loss but when it about your friends or relatives then it's
huge loss?

from:  pravin
Posted on: Aug 29, 2012 at 19:37 IST

And what you are trying to do Mr Sibal. Trying to save your corrupt government till 2014 at any cost. You try to pass the blame of each wrongdoing to others.

from:  Sanjay Bansal
Posted on: Aug 29, 2012 at 19:32 IST

I can not understand this logic. If no coal is sold, no loss is made.
OK. But if no coal is sold, previous deals are reversed, the blocks are
returned to the govt, then auctions for the free blocks are done, and
then more money pours in the economy, how will the government suffer a
loss of crores of money ? Won't it gain crores of money then? if no coal
is made still, what's the harm in reversing the deal ?

from:  mrityunjaya
Posted on: Aug 29, 2012 at 19:29 IST

I just can't believe how these good for nothing corrupt ministers are
able to give such fallacious statements to justify their wrong deeds and
Mr.Sibbal without the shadow of a doubt is one of the most inane
minister ever witnessed by the Govt. of India.

from:  Ankit Trivedi
Posted on: Aug 29, 2012 at 19:20 IST

Perhaps Sibal could explain as to why the coal mines were bought for? If Coal was not sold or extracted how would the power sector be affected?

from:  Siva Bhaskaran
Posted on: Aug 29, 2012 at 19:19 IST

I totally agree with Mr Sibal that Cancellation will cause a huge loss.
Actually not Loss to Nation but loss to Congress as Congress has reaped
huge benefits from the beneficiaries from this Allocation. Mr Sibal too
came with "ZERO LOSS THEORY " in 2G scam. Later on Govt fixed Rs 14,000
crore per license for the auction. Congress party has been trying to
fool the nation with their rubbish theories on loss.

from:  Vijay Sharma
Posted on: Aug 29, 2012 at 19:12 IST

No one will take his speech seriously. Earlier, he had told that there was no loss in 2G allocation and supreme court cancelled all the 2G licences. Now, in this case also, same thing will follow...

from:  Babu
Posted on: Aug 29, 2012 at 19:09 IST

Is Mr. Sibal saying CAG lied to the entire nation ??

from:  Sandeep
Posted on: Aug 29, 2012 at 19:09 IST

If coal allocation is not causing loss, because it was not sold, cancellation also could not cause loss as the same can be recovered by auctioning. Cong is beating around the bush and making contradictory statements, causing doubts on the sincerity of those statements. As the Tamil proverb goes to say that without fire there won't be smoke, something is fishy in the whole episode.

from:  K. Srinivasan
Posted on: Aug 29, 2012 at 19:05 IST

Kapil Sibal is capable of strange logic, as we saw in his 'Zero Loss' theory in the case of 2G Spectrum. If coal was not sold and there was no loss suffered by the Nation, what is the difficulty in cancelling the allotments? When no coal is sold, where the question of huge losses in cancelling the allotments? Or, is he referring to the losses, that the allottees will incur by such cancellations.

from:  S Subramanian
Posted on: Aug 29, 2012 at 19:04 IST

The article does not spell out what does the term 'Licences for Coal Block Allocation'
mean? Does it not mean that the Licencees are granted the right to sell the Coal from the
allocated mines by paying a predetermined rate to the Government? Does the CAG report
not spell out these rates? Are these rates not lower ( much lower) than the market rates?
How did CAG arrive at the figure of several Lakh of Rupees loss to the Government?

I believe Mr. Sibal means that cancellation of these allocations will result in a huge loss to
Congress party because it will then have to return the bribes back to the Licencees.

from:  Hasmukh Shah
Posted on: Aug 29, 2012 at 19:04 IST

Kapil Sibal seems to have predicted BJPs return in 2014 or before with
confidence. Or is it lack of confidence in Congress.

from:  Pradeep Raina
Posted on: Aug 29, 2012 at 19:03 IST

Cancel the unused coal blocks(Almost all) and auction them.
Let PM Singh prove that Government hasn't really lost any huge amount as cited by CAG. Will he?

from:  Sakthi Priyan H
Posted on: Aug 29, 2012 at 19:00 IST

So many scams have occurred during the tenure of the present UPA Govt. In every case the Govt. ministers try to defend the indefensible and refuse to acknowledge that any thing wrong was done.

from:  krishna
Posted on: Aug 29, 2012 at 18:56 IST

See Who is talking? Only Kapil Sibal thinks about nation.

from:  Alok
Posted on: Aug 29, 2012 at 18:54 IST

Coal can not be sold, but electricity, steel and such like made using that coal can be and has been sold. This statement from the minister is another 'zero loss' statement.

from:  K Prakash
Posted on: Aug 29, 2012 at 18:48 IST
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