Coalgate: case filed against Delhi-based steel firm

Updated - December 04, 2021 11:39 pm IST

Published - June 19, 2013 08:58 pm IST - NEW DELHI

As part of the probe into alleged irregularities in coal blocks allocation, the CBI has registered a case against a Delhi-based private steel company for allegedly giving false data about its land holdings and capacity while obtaining a coal block in Chhattisgarh.

Sources in the CBI said Rathi Steel and Power Limited, its Chief Executive Officer Udit Rathi and other unknown officers had been booked for alleged criminal conspiracy, cheating and for offences under the Prevention of Corruption Act.

13th FIR

“It is alleged that the company misrepresented on account of stage of preparedness in terms of possession of land to get the coal block. It is also alleged that the company was favoured for allocation of coal block over other better placed applicants,” CBI spokesperson said on Wednesday. This is the 13th First Information Report in connection with the Coalgate.

In its application, the company claimed that it was in possession of 250 acres, whereas it had only 150 acres, the sources said.

The CBI alleged that the company had proposed to have 0.75 million tonnes per annum capacity for their steel plant, for which block was sought, whereas when it was allocated the capacity, it remained unutilised, the sources said.

The company was allocated the Kesla North coal block in Korba on August 5, 2008.

After registering the FIR, CBI teams carried out searches at nine locations in Delhi, Ghaziabad, and Sambalpur in Odisha.

A preliminary enquiry to examine the irregularities in allocation of coal blocks during 2006-2009 was registered on the reference of the Central Vigilance Commission in June 2012.

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