Maintain status quo on cancelled coal blocks: HC to govt

The Delhi High Court on Monday directed the Centre to refrain from taking any decision on the two coal blocks in Chhattisgarh, whose recent auction process was cancelled by the government even as Jindal Power Ltd (JPL) emerged as the highest bidder.

The Delhi High Court on Monday directed the Centre to refrain from taking any decision on the two coal blocks in Chhattisgarh, whose recent auction process was cancelled by the government even as Jindal Power Ltd (JPL) emerged as the highest bidder.

A bench of Justice BD Ahmed and Justice Sanjeev Sachdeva gave the direction on a petition filed by JPL challenging the government’s March 20 decision.

On the coal ministry allotting the two mines – Gare Palma IV/2 and IV/3— to Coal India Limited (CIL) by annulling the tender process for the blocks, the bench asked how they could be allotted when they were earmarked for allocation through auction.

Additional solicitor general Sanjay Jain, appearing for the coal ministry, argued that though JPL was the highest preferred bidder, there was no final allotment of the mines. “We are still in the midst of the tender process. The government was at liberty to cancel or annul the tender process.”

The court directed the government to file its response in the Gare Palma mines in two days. The next hearing is on March 26.
With regard to another plea on the annullment of tender process for coal block Tara in Chattisgarh, the court directed the government to maintain status quo and sought response by the next date of hearing on April 16.