What is in the missing coal allocation files?

CBI tells SC its probe in alleged irregularities being hampered as coal ministry has not shared key documents relating to allocations

State-owned Coal India Ltd (CIL)’s office at Laxmi Nagar’s Scope Minar here has been abuzz with activity since July.

The building is being visited by ministry officials daily, and that too with an unusually high frequency, after a high-level inter-ministerial search committee concluded the office might be the home to hundreds of missing files of the controversial coal block allocations, done over the past two decades.

The office is divided into two parts: Sales & marketing and liaison. The action has so far been limited to the liaison department. “Separate CIL staff have been deputed to help the ministry officials in the search,” said a person close to the action. “It is a fact that files were kept at the Laxmi Nagar office over the years, owing to paucity of space in the ministry. It should not be difficult to locate the files. At least three copies were maintained of every document.”

DECODING THE COAL RIDDLE

What CBI asked for on August 14

• 43 files; 19 applications of coal block applicants;  157 applications of private firms that applied before 2004 but were not allocated blocks; 17 “other” documents; clarifications on 9 cases

What the ministry has given

• 21 files (another 15 already traced and being given); 3 applications; 6 “other” documents (another 2 already traced and would be handed over)

So far, the ministry has given 769 files & documents, including 497 files, 163 applications, 40 agenda papers, 10 feedback booklets and 33 miscellaneous documents and 26 CDs  

What is still missing

• 7 files
• 16 applications
• 157 applications of private companies who applied before 2004 but were not allocated any block  
• 9 “other” documents
• Clarifications on nine cases

The sudden jump in the official desire for archives is not difficult to understand: The Central Bureau of Investigation (CBI) has told the Supreme Court its probe into alleged irregularities in coal block allocations is being hampered, as the ministry has not shared key documents. The CBI has to give a status report next week on the probe to the Supreme Court.

Coal Minister Shriprakash Jaiswal said in Parliament on Friday: “With regard to the reports that a very large number of files are reportedly missing, the fact is 497 files have already been handed over to the CBI. Only seven files remain to be made available. The balance is copies of applications and other connected documents.”

The uproar over the missing files has already derailed a debate on the ruling United Progressive Alliance government’s food security Bill in Parliament.

So, what do the missing documents contain? The CBI has sought 13 sets of papers, which are missing. These include a report of CIL experts on the financial strength of applicants for allocations done in the 35th screening committee meetings in June, July and September 2007. The panel allocated 15 coal blocks in that meeting to around 30 companies, including Monnet Ispat, Tata Power, Sterlite, GMR, Lanco, Navabharat Power, Balco, SKS Ispat, Prakash Industries, Adani Power, Tata Steel and Essar Power.

The second set comprises two missing files related to the panel meetings in 1990 and 1993. The ministry’s director-administration was asked to trace these files from records in the ministry’s office in Shastri Bhavan, its earlier office in Loknayak Bhavan and the CIL office. The third set comprises presentations made by Kamal Sponge Steel before the 36th panel’s meeting. The fourth set comprises copies of applications received for 45 blocks allocated between 1993 and 2005 and applications from 157 private companies that applied for blocks but were not allocated any.

The fifth set contains soft copies of presentations made by Grace Industries Ltd for allocation of Lohara East block. The sixth set comprises a file named 47011/9/2004-CB-CA, but without any description. The ministry has said no such file is available.

The seventh set comprises minutes of the meetings of an inter-ministerial group on coal-to-liquid allocations. A part of these minutes have already been sourced from the Planning Commission and forwarded to CBI. The eighth set comprises a verification report of the Punjab government regarding an end-use project of GVK Power for Seregarha block. The ninth set is a copy of a recommendation made by former Congress member of Parliament Vijay Darda for allocation of the Bander coal block to AMR Iron & Steel. The tenth set comprises the final minutes of 26th screening panel meeting. The 11th set is a copy of comments on TL Shankar Committee report on coal sector reforms. The 12th set is a report of Central Mine Planning and Design Institute on assessment of coal requirement for Grace Industries. The last set comprises a copy of Hindalco Industries’ application for Mahan coal block.

The CBI has registered three preliminary enquiries and has registered 13 First Information Reports since May 2012 in alleged irregularities in allocations since 1993.