Coalgate: CBI set to clear Hindalco, Parakh, Manmohan of all charges

The Central Bureau of Investigation is likely to file a closure report in the case against the Hindalco, its chief Kumar Mangalam Birla, and former coal secretary P C Parakh over the coal-block allocation scandal.

Several reports today said there is no prosecutable evidence in the investigation against Birla or P C Parakh.

The CBI has found that no wrongdoing by the entities concerned, as all deals were done in a transparent manner and everything was on record.

The closure report is likely to be filed at the end of the week or on Monday.

Moreover, the CBI has failed to find any evidence against former Prime Minister Manmohan Singh, who was accused of being at least privy to the scam that became known as 'coalgate'.

This again underlines the preferred 'investigation' method of the CBI and Indian police in general - flinging mud in the hope that some will stick.

The CBI had named Birla and former Coal Secretary P C Parakh in a first information report (FIR) in October last year, charging them with criminal conspiracy and corruption in connection with the allocation of coal blocks eight years ago in the Talabira block in Odisha (See: Coal scam: CBI in a bind over Birla-Parakh-PMO tangle).

The block, originally earmarked for state run PSUs Mahanadi Coalfields and Neyveli Lignite, was eventually allotted to Hindalco. It was earlier alleged by the CBI that Parakh had given undue favour to Birla by overturning a decision of the screening committee that had not recommended allocation of the blocks to Hindalco.

The FIR had alleged criminal conspiracy by Birla and misuse of position by Parakh.