HYDERABAD: Former Coal Secretary P C Parakh, facing a CBI probe into alleged irregularities in coal block allocation, today triggered a storm by stating that Prime Minister Manmohan Singh had taken the final decision as head of the coal ministry and should also be named as a “conspirator” and made “accused” in the case.
“…if there is a conspiracy, then there are different members in this conspiracy. There is K M Birla who made the representation, he is one conspirator. I, who examined the case and made a recommendation, I can be another conspirator and the Prime Minister, who as the Coal Minister, took the final decision, is the third conspirator,” Parakh told reporters here.”
“Therefore, if there is a conspiracy, all of us should be made accused,” he added
Asked whether the PM should be named as the ‘first conspirator’, he said, “Must be. He is the final decision maker…responsibility lies with the Prime Minister as he could have overruled me. It was ultimately his responsibility as the Coal Minister.”
He said if the CBI thinks there is a conspiracy, “why did they choose and select Birla and me and not the PM. If conspiracy is there, then everyone is part of the conspiracy.”
CBI has registered FIR against industrialist Kumar Mangalam Birla, Parakh and others on charges of criminal conspiracy and under the provisions of the Prevention of Corruption Act in connection with alleged irregularities in the allocation of two coal blocks in Odisha eight years back.
Terming the allocation to Hindalco of the Aditya Birla Group as a “fair decision”, Parakh said Hindalco and PSU Neyveli Lignite Corporation had applied for a coal block.
He explained that Screening Committee under the Coal Ministry decided that it should be allocated to Neyveli as it was a PSU and was also eligible for the allocation. But after the decision, Birla made a representation to the PM that Hindalco should have been given the block as they were equally competent and were the first applicant.
“I found merit in the representation and suggested that Hindalco and Neyveli form a joint venture. My recommendation was approved by the Prime Minister,” Parakh said.
Asked if CBI omitted Prime Minister’s name purposely, the former bureaucrat said, “This question should be asked to CBI on why his name is omitted.”
After registering the fresh FIR with a CBI court here, agency teams carried out coordinated searches at nearly six locations in Mumbai, Delhi, Hyderabad and Bhubaneshwar which included offices of Hindalco and residence of Parakh.
Dubbing the allegation against him as baseless, Parakh said he saw nothing wrong in the government decision.
“There is absolutely nothing wrong with the decision. It was a very fair and correct decision that we took. I don’t know why CBI thought that there is a conspiracy,” he said.
He also said then Minister of State in the Coal Ministry Darasi Narayana Rao must be named by the CBI as the files went through him.
In reply to a poser, Parakh said he never faced any pressure from the Prime Minister’s Office (PMO) over the issue of allocation of coal blocks Talabira II and Talabira III coal blocks in Odisha. “Lobbying by MPs, yes, but there was no pressure from the PMO,” he said.
Claiming that the CBI has failed to distinguish between “a fair and correct decision and a wrong decision”, he said the agency has not appreciated the issues involved in the case.
“If CBI behaves like this, then people will find it difficult to take decisions, especially young officers. It should have a relook at the entire case and scrap it,” he said.
He said as Coal Secretary he had tried to make the coal block allocation process more transparent by recommending open auction and e-auction by amending the relevant Act.
He claimed then Coal Minister Shibu Soren was opposed to the idea. But when he resigned from the government, the Prime Minister approved the idea and asked him to prepare a note for the Union Cabinet.
Parakh said the PMO was opposed to bringing an ordinance to change the law and preferred bringing a bill in Parliament.
CBI named 46-year-old Birla, Chairman of Aditya Birla Group, along with Parekh and unknown persons and officials of Hindalco and Coal Ministry in the FIR, the 14th in the multi-crore scandal, for alleged criminal conspiracy and under provisions of the Prevention of Corruption Act. –PTI