Question : DIVERSION OF COAL

(a) whether some instances of illegal/alleged diversion of coal extracted from various coal blocks/mines to the private sector power plants and others in the country including in Madhya Pradesh and Jharkhand have been brought to the notice of the Government during the last three years and the current year;

(b) if so, the details thereof, State-wise, year-wise and company-wise; (

(c) whether the Government has got these instances inquired by various committees including Inter-Ministerial Committees:

(d) if so, the details thereof and the names of the companies found guilty in this regard; and

(e) the action taken/proposed to be taken by the Government in this regard and also to check such illegal activities in future?

MINISTER OF COAL (SHRI SRIPRAKASH JAISWAL)

(a) to(e): A statement is laid on the table of the House

Statement referred to reply to part (a) to (e) of the Lok Sabha Starred Question No. 200 for answer on 07.12.2011

(a) to (d): An instance of diversion of coal from Chotia coal block meant for captive consumption in sponge iron unit to the captive power plant has been reported. In order to enquire into the allegations against M/s Prakash Industries Ltd., an Inter-Ministerial Committee (IMC) was constituted under the supervision of Ministry of Steel. The Committee has submitted its report wherein diversion of coal as above is reported. After examination of findings of IMC, a show cause notice has been issued to M/s Prakash Industries Ltd asking the company to show cause as to why Chotia coal block allotted to the company be not de-allocated. M/s Prakash Industries Ltd has filed a writ petition in the High Court of Chattisgarh challenging the report/findings of Inter Ministerial Committee. The High Court has stayed the effect and operation of IMC Report. The matter is, hence, sub-judice.

(e): Monitoring of progress of allocated coal blocks is done through a Committee under the Chairmanship of Additional Secretary (Coal). The review is invariably is undertaken on half-yearly basis with all the coal block allocatees to assess the development/progress achieved by them. Action is taken against the companies where delay/deviation or illegal activities are found on their part by issuing necessary advisory and show cause notices. In case of willful delays/illegal activities on the part of allocattees, appropriate action is initiated for de-allocation of the block & deduction of Bank Guarantee. The Coal Controller Organization also closely monitors the development of coal blocks. For this purpose, he obtains a quarterly report from the block allocatees. Based on which a comprehensive status report is prepared.