The government has suspended N K Sharma, chairman and managing director of Coal India, on charges of corruption and misuse of office.
Laxmi Chand, additional secretary in the ministry of coal, has been asked to take charge of the public sector unit. Sharma was due for retirement in September 2005. He was not available for comment.
The decision to suspend the head of the Kolkata-based Coal India was reportedly taken after Union Coal Minister Karia Munda briefed Prime Minister Atal Bihari Vajpayee on the alleged misdeeds of Sharma while purchasing coal.
The Centre decided to suspend Sharma last night after going through departmental files. The order was served to him this morning at his Kolkata office, Coal India sources said.
The main allegation against Sharma was that he had abused his official position and had favoured a certain party while opening a tender.
Another, according to sources, was that he had sold coal at Rs 60 a tonne against the set price of Rs 20. It was also alleged that the surplus money generated had been pocketed by several persons including Sharma, they added.
A CBI inquiry is not being ruled out. A communication from the ministry of coal received at the Coal India headquarters said the change was with effect from the
