BackDecision to award coal block to Hindalco was ‘fair and right’: Parakh
Former coal secretary Parakh says he was shocked to learn of the FIR against him in the coal block allocation case
Premium(AFP)
Hyderabad: P.C. Parakh, the former coal secretary against whom the Central Bureau of Investigation (CBI), has filed a first information report (FIR) in the case related to coal block allocations, said on Wednesday that he was not guilty of any conspiracy and that the decision to award a coal block to Hindalco Industries Ltd was a “fair decision and a right decision".
Parakh, whose name was included in the FIR along with that of Kumar Mangalam Birla, chairman of the Aditya Birla group, said he was shocked to learn of the FIR—after seven years of retirement from the Indian Administrative Services and efforts to bring “as much transparency and fairness of working in the coal ministry" as possible.
Parakh said in a telephone interview that if he were part of a conspiracy, then Prime Minister Manmohan Singh too should be treated as an equal actor because it was the Prime Minister’s Office that took the final decision.
Parakh was coal secretary in 2004-05, when a part of Talabira-II coal field in Odisha was awarded by the union government to a joint venture of Neyveli Lignite Corp. Ltd and Aditya Birla group’s Hindalco Industries Ltd. Edited excerpts:
Can you explain the chain of events and what led you to overturn the decision of the screening committee that had awarded Talabira II coal block solely to Neyveli Lignite?
The issue is that for Talabira II coal block there were two equally important contestants —Neyveli Lignite Corp. and Hindalco—that was discussed in screening committee.
We decided in favour of Neyveli Lignite because it was a government company; it was also my own ministry’s company, so we have considered Neyveli (over) Hindalco. After the screening committee, a representation was received from Kumar Mangalam Birla saying that “we are the first applicant, we are equally eligible for this block and this decision has been unfair to us, and, therefore, this issue should be reconsidered". He personally met me and made a similar representation.
On reconsideration I thought that “yes there is a merit in their representation" because they have been equally financially strong and technically strong and they have a project (Aditya Alumina and Aluminium Ltd, which was to receive coal from Talabira-II) to implement. They are also first applicant and I thought this decision needs reconsideration. Now any decision which is reconsidered based on representation itself, appears to be valid and does not become conspiracy. I thought the decision needs to be reconsidered and, therefore, I said that we could also include them (Hindalco) in the block and Neyveli and Hindalco operate together as joint venture.
Accordingly, I did a proposal to the Prime Minister who was then our minister that we could accommodate Hindalco also into this (joint venture). And for Neyveli, because it is a government company, which (can) be given another coal block outside the captive route because government companies can be given any coal block which is not even earmarked for captive use.
I thought it was based on their request; it was a fair decision, and a right decision which government could take and Prime Minister has approved that decision. Now I do not see any reason why CBI should see anything wrong in this decision. It is not that Hindalco is incapable or not eligible or they are some bogus company or they have been given a block which they are not capable of operating. So simply because it has been reconsidered it will not become a wrong decision or conspiracy.
Was there any involvement of any other bureaucrat or politician or was it your own decision?
It was basically my recommendation to the government. In PMO (Prime Minister’s office) whoever is officer-in-charge of the coal ministry would have examined the matter and placed the facts before the Prime Minister.
Then why is the Prime Minister being dragged into this issue?
If CBI feels that this is a conspiracy, then there are three actors in this conspiracy. Mr. Birla is one actor, I am the other actor and the final decision (was) taken by PM, so PM is another actor. If CBI feels there is a conspiracy, then investigation has to be against all the people involved in the conspiracy. My view is that there is no conspiracy, it is a fair and correct decision so there is no case at all for any investigation.
What is the role of Dasari Narayana Rao, then minister of state for coal?
Dasari Narayana Rao also should be included as I worked with him, and (he is) also party to the decision.
What is your plan of action?
I am planning to do nothing, because CBI will have to first investigate and file sufficient evidence of the so-called conspiracy and corruption and then file a chargesheet. Only after the chargesheet is filed, there is a cause of action for us.
The Comptroller and Auditor General (CAG) called you a whistle-blower and someone who wanted to have a proper system of auctions for resource allotment over first-come-first-serve model. How did you feel when you came to know that you name was included in the CBI chargesheet?
It’s absolutely shocking, because I took every possible effort in two years of my engagement with the ministry to bring as much transparency and fairness of working in the ministry (as possible), and, for me, to find that after seven years of retirement, CBI says that I am a corrupt officer and involved in some conspiracy, comes absolutely as a shock.
Unlock a world of Benefits! From insightful newsletters to real-time stock tracking, breaking news and a personalized newsfeed – it's all here, just a click away! Login Now!
