Question : COAL SCAM IN BCCL DHANBAD



(a) whether attention of the Government has been drawn to the news item captioned Scams in Jharkhand appearing in the ‘Rashtriya Sahara’ dated May 22, 2002;

(b) whether Rs. 9500 crore Coal Scam has occurred in the procurement of goods and supply of poor quality of coal in BCCL, Dhanbad;

(c) if so, the facts of the matter reported therein and the reaction of the Government thereto;

(d) the steps taken by the Government against the responsible officials in this regard; and

(e) if not the reasons therefor?

Answer given by the minister


MINISTER OF STATE FOR COAL AND MINES (SHRI RAVI SHANKAR PRASAD)

a) Yes, Sir.

b) There is no such information.

c) to e) A statement is annexed.

Statement referred to in reply to part (c) of Lok Sabha Unstarred Question 393 for reply on 16.07.2002

Statement showing matters reported in the news item captioned ‘Jharkhand mein huye arabon ke ghotale ke khilaf andolan’ and the reaction of the Government thereto:

Sl. Matters reported in	Reaction of the Government
No. the news item
1 In BCCL, there was In the absence of specific details mis-appropriation on any particular case of any of Rs. 9500 crore irregularity, it is not possible to in supply of coal verify the allegation. and procurement of goods. 2 RN Mishra Committee A stock shortage during 1991-92 of had reported a 34.14 (and not 130.14) lakh tonnes stock shortage of valued at Rs. 130.79 crore was 130.14 lakh tonnes detected by annual stock valued at Rs. verification team as on 01.04.1992. 130.79 crore. The RN Mishra Committee was set up on 27.07.1992 to investigate into the stock shortages in BCCL during 1986-87 to 1992-93. The Committee recommended initiation of disciplinary proceedings against coal executives and also system improvement measures. Action on these recommendations has been taken.
3 In another report, In some cases, quality/grade it was found the slippage might have taken place due coal sent by BCCL to variation in seam structure etc. to PSUs contains However, realisation has been made 62.9% ash whereas on the basis of analysed grade of the maximum coal supplies through joint sampling permissible limit or third party sampling. is 50%.
4 In 1990-91, On 18.06.1997 at the initiative of Vigilance the then ED(Vig), BCCL, the CMD had Commission had got engaged Shri AT Ray, Ex-GM(IAD) to an investigation study various aspects of materials done by Shri AT Ray management, scrap management and who reported Rs. purchase procedure of BCCL to make 200 crore scam in in depth analysis of the inventory purchase of management system of BCCL. Shri Ray materials. submitted three study reports dealing with these issues. The reports are not investigation reports and have not reported any huge loss as alleged. 5 In Jharia, billions For safety of underground mines, of rupees are being sand is used for stowing and misappropriated in stabilisation. Due to shortage of the name of sand departmental infrastructure for sand stowing. The transportation, some of the quantity of sand requirement is met through private stowed is much less contractors. Transportation and than what is shown consumption of sand are being on paper. This is regularly checked through various the reason for fire internal control measures. prevalent in Jharia leading to loss of coal.
6 BJP leaders S/Shri In the absence of specific details Sushil Kumar Modi on any particular case of any and Saryu Rai had irregularity, it is not possible to written a letter verify the allegation. dated 3.6.1999 to Prime Minister drawing attention to the scam of Rs. 12,000 crore. But no action has been taken.