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Coal scam: Ex-union minister Dilip Ray awarded three-year jail term


NEW DELHI: A Delhi court awarded 3-year jail term to former Union minister Dilip Ray in a coal scam case pertaining to irregularities in allocation of a Jharkhand block in 1999, saying white collar crimes are “more dangerous” than ordinary ones because of the “damages inflicted on public morale”.

Besides Ray, the 68-year old former minister of state (coal) in the Atal Bihari Vajpayee government, Special Judge Bharat Parashar also awarded 3-year jail term each to two senior officials of the ministry at that time -- Pradip Kumar Banerjee and Nitya Nand Gautam, both about 80-year-old.

The court also the same jail term to Castron Technologies Ltd (CTL) director Mahendra Kumar Agarwalla. The court, however, granted bail to the convict persons to enable them to approach the high court against the verdict.

It also imposed a fine of Rs 10 lakh on Ray, Rs 2 lakh on Banerjee and Gautam, while Agarwalla was asked to pay a fine of Rs 60 lakh. It imposed Rs 60 lakh on CTL and Rs 10 lakh on Castron Mining Ltd (CML), also held guilty in the case.

In response to the convicts’ argument that no loss was caused to anyone in the matter since almost the entire amount of extracted coal was surrendered authorities, the court said, non-availability of sufficient raw material such as coal has in fact resulted in the lack of infrastructural/ industrial development of the country.

“Had coal block been allocated to a deserving applicant company after following due process of law and the company would have proceeded to extract coal so as to use it captively in its end use project then it would have certainly added to the infrastructural/ industrial development of the country.

Arbitrary allocation of coal blocks as has been seen in the present matter to unscrupulous persons who never intended to establish any end use project in itself has caused huge loss to the nation which is difficult to be computable in monetary terms,” the court said.