Coalgate: CBI registers FIR against Delhi firm

The CBI today registered its 13th FIR in the coal scam probe against a Delhi-based firm for alleged cheating and misrepresentation of facts during allocation of the Kesla North coal block in Chattisgarh in August 2008. HT reports.

The CBI on Wednesday registered its 13th FIR in the coal scam probe against a Delhi-based firm for alleged cheating and misrepresentation of facts during allocation of the Kesla North coal block in Chattisgarh in August 2008.

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The accused firm, Rathi Steel and Power Limited, allegedly “falsely claimed in its application form in January 2007 that it possessed 250 acres of land in Sambalpur, Orissa, to set up a steel plant though it possessed only 150 acres,” said a CBI source.

Despite the alleged misrepresentation, the 36th screening committee had allocated the coal block to the firm.

“It is suspected there was connivance and lack of due diligence on the part of the officials from the ministries and the screening committee in taking action,” said the source.

The FIR booked Rathi Steel and Power Limited, its chief executive officer Udit Rathi, its directors, and “unknown others” for alleged criminal conspiracy, cheating and for offences under the Prevention of Corruption Act.

“The accused firm misrepresented on account of stage of preparedness in terms of possession of land to get the coal block and it was allegedly favoured for allocation of coal block over other better-placed applicants,” said CBI spokesperson Dharini Mishra.