CAG's presumptive loss concept flawed: Chidambaram

Launching a counter-offensive on the coal block allocation controversy, the government today said that CAG's concept of presumptive loss was flawed and there had been no loss as no mining had started yet.

With the fourth consecutive day of disruption of the parliament, following the tabling of the CAG report on coal blocks allocation, the government fielded a battery of ministers led by P Chidambaram, who accused the opposition of being ''unwilling'' to allow parliament to function and discuss the issue.

The finance minister, in an appeal to the opposition asked it to return to the parliament on Monday let it function so that first thing the prime minister Manmohan Singh could make a  statement and a debate could follow for the length of time it wanted.

Flanked by law minister Salman Khurshid and coal minister Sriprakash Jaiswal, Chidambaram, who headed the group on ministers on media, said the UPA was unnecessarily facing flak for following procedures adopted by the governments since 1994 in allocation of coal blocks without auction.

He said the presumptive loss (of Rs1.86 lakh crore projected by CAG in its report),  was so flawed, and incisive articles by very eminent writers had pointed out the flaws.

He said if coal was not mined, if it remained in mother earth there was no loss. He added loss could arise only once the coal was mined and sold at unacceptable price or value.