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Coalgate: Ahir for criminal action against companies

Coalgate: Ahir for criminal action against companies


NAGPUR: Minister of state for chemicals and fertilizers Hansraj Ahir, the man behind the coal scam exposure, has called for initiating criminal proceedings against those who profited from mines allotted to them by the previous regime. He was in the city on his way to Chandrapur, his electoral constituency, on Friday.


 


Following the scam exposure, there were certain instances mainly from city companies who pocketed huge amounts through indirectly selling coal blocks secured during the earlier discretionary allocation regime. Their modus operandi was to first get the coal block allocated in their company's name and eventually offload the entire holding to another for a hefty premium. In this manner, the coal blocks remained in the same company's name and only the shareholders changed. The profits earned in such deals ranged up to 300 crore.


 


So far, the Enforcement Directorate has started a probe against promoters of Grace Industries for similar profiteering. This is one among the three such cases in city. 

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  • 15 November, 2014
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