CBI Books Hindalco Industries, Former MoEF Director In Odisha Coal Mining Corruption Case

New Delhi: The Central Bureau of Investigation (CBI) has booked Hindalco Industries Ltd, a subsidiary of the Aditya Birla Group, and a former director of the Ministry of Environment & Forests (MoEF) for alleged violation of green clearance for coal mining in Odisha from 2000 to 2013.

Hindalco is accused of mining 3.045 million tonnes of excess coal than the permitted capacity. The agency has also named T Chandini, the then director in MoEF, for favouring the company as member secretary of the Expert Appraisal Committee ((EAC) by doubling coal mining capacity in Talabira I mine in 2011 in violation of prohibition imposed by the Ministry in critically polluted areas, media reports said, quoting officials.

THE FIR

“She ensured that the environment clearance to Hindalco was granted in haste considering that the company was already in violation of earlier environmental clearances, as it was already mining coal in excess,” CBI said in the first information report (FIR) registered on July 19 under Section 120-B (criminal conspiracy) of the Indian Penal Code and provisions of the Prevention of Corruption Act after a nearly eight-year-long preliminary inquiry.

Hindalco received its first environmental clearance in 2001 for mining 0.4 million tonnes per annum (MTPA) of coal from the Talabira-I mine. Another clearance was given in January 2009 for its expansion, allowing the increase in mining from 0.4 MTPA to 1.5 MTPA. Nearly a month after the second clearance, the company sought to double its capacity to 3 MTPA and Chandini ensured it by misusing her official position despite being fully aware that the company was mining excess coal in violation of previous environmental clearances while the Ministry circular required her to return the project.

Investigation revealed that the company had allegedly violated clearances given in 2001 and 2009 by producing more coal than permitted by the Ministry, the FIR said.

It further stated that the offence began in 2000, which includes the tenure of Vajpayee-led NDA government in Centre.

The Odisha State Pollution Control Board and the Central Pollution Control Board confirmed during the inquiry that the Talabira mine was in the critically polluted area of Jharsuguda, the CBI added.

THE INVESTIGATION

The probe, which began in 2016, was based on ‘diary entries’ of “payments of massive bribe amounts by M/s ABMCPL to unknown officials of Ministry of Environment and Forest during the period 2011 to 2013 for grant of Environmental Clearance (hereinafter known as EC) to its projects” recovered from the premises of Hindalco during searches in an alleged coal scam case.

HINDALCO’S REACTION

A Hindalco spokesperson, quoted by news agency PTI, said: “This is an old matter pertaining to 2014-15. These mines were de-allocated as part of the government’s de-allocation process. This is a matter of public record where more than 100 mines were de-allocated.”