Former Jharkhand chief minister Madhu Koda pressurised officials to favour a Mumbai steel company for an iron ore mining lease after his aides struck a Rs 13-crore deal with the firm, the CBI has alleged in its first charge sheet filed against Koda.
According to the charge sheet filed in a Ranchi court on Friday, the money was paid by cheque to two Jamshedpur firms on behalf of the company for the mining contract in Jharkhand’s West Singhbhum district.
But the deal fell through when Koda’s aides demanded 50% of profits. A senior CBI officer said the firm got back Rs 5.35 crore.
Koda’s aide, Sanjay Chaudhry, told them the rest of the money was spent on ‘processing’ application for mining lease and paying off the then CM. “We have a strong case as all transactions took place through cheques,” the official said.
Two officers of the Jharkhand government’s mines department told the CBI that Koda refused to clear the file till the company’s name was shortlisted.