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CBI registers case against private firm; its directors and others, in connection with alleged false claims made by them in coal block allocation; conducts searches

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New Delhi/Jalandhar, April 27, 2013: The Central Bureau of Investigation has registered a case under sections 120 B r/w 420 of IPC and 13 (2) r/w 13 (1) d of PC Act against  a Delhi based Steels and Mining Private Limited Company, Pushp Steel and Mining Pvt. Ltd; its two Directors Atul Jain and Sanjai Jain  and some unknown Public Servants and unknown others in connection with the allegations related to getting Brahmapuri coal blocks allocated on the basis of misrepresentations and false claims in the applications, presentations and connivance/lack of due diligence on part of unknown others.

It was alleged that the said Delhi based private company was recommended the allocation of Brahmapuri Coal Block by the Screening Committee for its proposed Sponge Iron End Use Project in District Durg (Chhattisgarh). The allocation of this coal block was done on the basis of alleged false information that it had a Iron Ore Mining Lease while it had none. It was further alleged that the company did not have any experience in steel manufacturing and the net worth of the group companies/firms was around about Rs.3.01 crores, which was insignificant.

Searches were conducted today at 10 places in Delhi, Ghaziabad (Uttar Pradesh), Faridabad, Narwana (both in Haryana) and Raipur (Chattisgarh). These places included the office and factory premises of said private company; residential premises of its Directors and the office premises of its sister concerns/group companies. Certain incriminating documents recovered during searches from these places pertaining to the allocation of the coal block including the computer hard disks are presently under scrutiny. Further investigation is in progress.

Date: 
Saturday, April 27, 2013

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