Coal scam: Rungtas sentenced to four years prison, Rs5 lakh fine1 min read . Updated: 05 Apr 2016, 01:12 AM IST
Delhi court sentences Jharkhand Ispat Pvt. Ltd directors R.S. Rungta and R.C. Rungta after the two were found guilty of cheating and criminal conspiracy
New Delhi: A Delhi court on Monday sentenced Jharkhand Ispat Pvt. Ltd (JIPL) directors R.S. Rungta and R.C. Rungta to four years imprisonment.
They were also fined Rs5 lakh each.
Bharat Parashar, who was appointed special judge to try the cases arising out of the probe into the irregular allocation of coal blocks cases, also fined the company ₹ 25 lakh.
On 28 March, the court found JIPL and the two directors guilty of cheating and criminal conspiracy. Lawyers for the Rungtas said that they would appeal the conviction and the sentencing orders before the high court.
This is the first conviction in the coal scam cases, which caused the exchequer a notional loss of ₹ 1.86 trillion, according to the Comptroller and Auditor General of India.
The convictions happened over the allocation of a North Dhadu block in Jharkhand.
In the ruling, Parashar said that the Rungtas had made “false claims" with the intention to deceive the government.
The Central Bureau of Investigation probe found that JIPL had misrepresented its position to inflate its claim to the North Dhadu coal block.
The verdict found that the activities of the directors showed a common intention to secure the block for JIPL.