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CAG Report: Did govt just give away coal worth Rs 10 lakh cr?
by FP Staff Mar 22, 2012
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#BigStory #CAG #Coal Ministry #Jindal Steel & Power Ltd #Tata Steel #Vedanta #Vinod Rai Email Share
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360 View: CAG must audit social spending, but respect boundaries CAGs speech: 'Moral fabric seems to be tearing apart' Democracy at crossroads, silent majority should speak up: CAG The latest draft report from the Comptroller and Auditor Generals office reportedly states that the government gave away 155 coal acreages, areas in which coal could be mined, for five years to a number of corporate houses, a move which allegedly deprived the government of Rs 10.67 lakh crore. The report, titled Performance Audit of Coal Block Allocations, has stated that about 100 private companies benefitted from the government not auctioning off the coal acreages between 2004 and 2009 and resulted in a loss of Rs 10.67 lakh crore to the government exchequer, a report in the Times of India said today. The CAG has reportedly said that the loss of Rs 10 lakh crore was a conservative estimate since it takes into account prices for the lowest grade of coal. The report adds that even if prices at the time of allocation are considered the government may have lost out of Rs 6 lakh crore. Private and public companies were beneficiaries of the governments alleged largesse and the report states that private firms obtained coal worth Rs 4.79 lakh crore while government companies received coal worth Rs 5.88 lakh crore. Among the major coprorate houses that benefitted from this include companies under the Tata group, Jindal Steel and power, the Vedanta group, Essar group, Adani group, Arcelor Mittal, Lanco group, Aditya Birla group, Bhushan steel and power, Jayaswal Neco, Abhijeet group and other small companies, the Times of India report stated. The windfall gains made by each company was estimated by comparing profit made by the governments Coal India Limited while mining in a similar coal field. Among the public companies that benefitted from this were National Thermal Power Corporation (NTPC) and Minerals and Metals Trading Corporation (MMTC) and mine development corporations operated by Chhatisgarh, Jharkhand and Madhya Pradesh, the report stated.

Coal scam hits government.

The CAG had sought for the reply for the coal ministry which said that they had allocated many of the coal acreages to companies in the power sector where tariffs was regulated on the basis of coal costs and the other steel and cement industries could pass on the benefit of lower coal costs to the consumers. However, the CAG said that coal being a natural resource it should have been allotted to private players through auctions since it would have brought more transparency. They (private companies) can augment their resources but the object should be to serve the public cause and to do the public good by by resorting to fair and reasonable methods, the CAG reportedly stated. The State legally owns the natural resources on behalf of the citizens and the natural resources cannot be allocated to private hands without ensuring the benefit of the low cost of the natural resources would be passed on to the citizens, it stated. The report is expected to be tabled in Parliament after the discussions on the budget. However, the BJP has already come out against the government for the report, with spokesperson Prakash Javadekar saying that the government was not fit to rule for allowing this level of corruption.

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#Tata Steel
Markets, rupee rebound, RIL gains on raising $2 bn in debt Markets shed gains, RInfra and TCS among top trading picks Open: Consumer durables top gainer, HUL at life-time high. Here's why Tata Steel India's Q4 sales up 3.3%

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CAGs speech: 'Moral fabric seems to be tearing apart'

Oct 13, 2011 10 Comments Vinod Rai, the Comptroller and Auditor-General of India, shared his views on the state of governance in the country in a speech at the National Police Academy recently. #CAG #CAG speech #Civil service #National Police Academy #OnRecord

Democracy at crossroads, silent majority should speak up: CAG

Jan 13, 2012 21 Comments Hinting that the proactive nature of CAG had not gone down well with many, he said the work done by his institution had taken a toll on his friendships. #2G scam #CAG #NewsTracker #Vinod Rai
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copyleft

1 month ago

This government's reign will make Indira's "Kitchen Cabinet" and "Chamcha Raj" seem benign in comparison.At the turn of the millennium, Shiv Khera estimated that in the four decades and more as an independent nation, this country had been looted by our democratically elected "representatives" by several orders of magnitude compared to what the colonial powers had done during nearly half a millennia of their untrammelled reign. By the same standards, this last decade alone would have witnessed loot which would have made Chengiz Khan's campaigns seem like school picnics in comparison.If there is any solace, it would be that those who would replace the current dispensation are likely to turn out to be as incompetent and wanton -if not more than who they might replace.

Akhouri Bijay 1 month ago God save this country. It has crossed the all limitation of corruption. What is use of coal India organisation. We should pray Gad to save the country from such lootera...
3 people liked this.

5/16/2012 3:56 PM

Harish 1 month ago how could they think of living so large, while leaving so less for the rest of us???
3 people liked this.

Gamerwamer 1 month ago @ Harish...i believe that is a quote from the new Batman movie. We do need a superhero BTW!
1 person liked this.

Sam 1 month ago They didn't just give it away. Sonia was paid
5 people liked this.

Ramchi

1 month ago

Whether Congress took so long if there is a corruption of this scale involved so late? Aiming for Karnataka & Gujarath elections? Or asking opposition to keep silent when they loot ?
2 people liked this.

Antiset11 1 month ago Small areas for Parking of vehicles are routinely auctioned in obscure towns/tourist spots to contractors who in turn collect from the vehicle owners. The actual amount collected by these auctions of these Parking Lots is very small and here reports mention zeroes and zeroes.
2 people liked this.

Ramanvr 1 month ago On one hand we have a Planning Commision which comes our with a figure which will not be adequate to pay for pissing once a day in urban areas ( where one has to pay atleast Re.1/- per piss ) on the other side we have scams and losses of lakhs of crores. A revolution is required to bring the country back on track.
9 people liked this.

Derickgannon 1 month ago which place are u man, in our urban toilets here in tamilnadu its 2 Rs per piss and 5 Rs, in chennai its 5 Rs and 10 Rs.
1 person liked this.

Ramanvr 1 month ago Thanks for stressing my point. We have a Planning Commission which encourages defacation in the open.
2 people liked this.

5/16/2012 3:56 PM

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