The Special CBI court in New Delhi on Tuesday convicted Binay Prakash and others in a coal block scam case. The court on Wednesday will hear arguments on the quantum of sentence.
Prakash was the manager director of M/s Domco Pvt. Ltd, Ranchi. The company and its officials were facing trial for submitting false documents to secure captive mining rights of Lalgarh (North) coal block in West Bokaro.
Other than Prakash the court also held Vasant Diwakar Manjrekar and Paramananda Mondal, both then directors of the company, Sanjay Khandewal, Chartered Accountant, Kolkata and the company M/s Domco Pvt. Ltd guilty of the crime.
The CBI had registered an instant case against M/s Domco Pvt. Ltd. Ranchi and its promoters, directors and other unknown persons. This case was registered on the basis of a preliminary enquiry initiated by CBI on the directions received from CVC related to coal blocks allocated during the period from 1993 to 2005. During enquiry, it was revealed that the Lalgarh (North) Coal block was identified in favour of the company by the 19th Screening Committee and accordingly, the company was intimated on November 11, 2003. It was further alleged that Prakash, promoter and director of the company had entered into conspiracy with unknown persons and submitted false information to the concerned authorities while applying for a captive coal block and secured allocation of Lalgarh (North) Coal Block.
In furtherance of the conspiracy, these persons had gained pecuniary benefits of Rs 7 crore by selling shares of the company on premium, after the allocation of the coal block. In this case the CBI had
filed a chargesheet on December 22 in 2015. Notably, the ED is also investigating the money laundering case against the company and officials.