Delhi Court Jails Directors for Coal Block Scam

A Delhi court sentenced two directors, Mohan Agrawal and Rakesh Agrawal, of B S Ispat Ltd to three and two years in jail respectively for cheating and criminal conspiracy related to irregularities in a Maharashtra coal block allocation. The company was fined Rs 50 lakh, while the directors received additional fines.


PTI | New Delhi | Updated: 30-05-2024 18:36 IST | Created: 30-05-2024 18:36 IST
Delhi Court Jails Directors for Coal Block Scam
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A Delhi court on Thursday awarded three-year and two-year jail terms to two directors of a Maharashtra-based company for cheating and criminal conspiracy in a case related to irregularities in the allocation of a coal block in the state.

Special Judge Sanjay Bansal imposed a fine of Rs 50 lakh on the convicted company, B S Ispat Ltd, besides awarding three-year jail term to Mohan Agrawal, 73, and two-year imprisonment to Rakesh Agrawal, 49, who is Mohan's nephew.

The judge also imposed a fine of Rs 10 lakh each on both them.

They were held guilty under sections 420 (cheating) and 120-B (criminal conspiracy) of the IPC by the court, which noted that the prosecution proved the case beyond any reasonable doubt.

The judge refused to release them on probation, saying "The cheating committed in the present case was not any ordinary cheating".

"The efforts of the convicts were aimed at securing allocation of the coal block at any cost. They were successful in securing allocation of the coal block. They got access to a prime source of energy i.e. coal which was a natural resource. ''The importance of coal need not be described in words. Thus, despite strenuous arguments of counsel for the convicts, I am not persuaded to accept that this is a fit case for granting benefit of probation," the judge said.

The judge, however, noted that the two convicts had exited the company in the year 2011 and the benefits of the allocation were practically enjoyed by the company and successor directors and not by these two.

The judge further noted that Mohan Agrawal was suffering from various ailments and his younger son was also ill and dependent on his father.

Regarding Rakesh Agrawal, the judge noted that he joined the family business at a young age after his father's death and that "it is natural that he must have worked under influence of his uncle i.e. convict Mohan Agrawal." "Though he was working under control and guidance of convict Mohan Agrawal... It cannot be said that he did not know what he was doing," the judge added.

The judge said while personal circumstances of the convicts must be given due consideration, at the same time, the crime in question also cannot be forgotten.

"The fact that offence of cheating was committed with the Government of India also cannot be lost sight of... The convicts deserve some lenient view but at the same time they need to be reminded that what they did was an offence of serious nature, unworthy of granting benefit of probation. Hence they deserve to be sentenced to imprisonment and fine," the judge said.

This was the 16th case related to the coal scam in which the court pronounced its judgment.

The case pertains to irregularities in the allocation of 'Marki Mangli-I' coal block situated in Maharashtra in favour of the company.

The offence carried a maximum punishment of a seven-year jail term.

The prosecution was represented by Special Public Prosecutor R S Cheema, Additional Legal Advisor Sanjay Kumar and advocate A P Singh.

(This story has not been edited by Devdiscourse staff and is auto-generated from a syndicated feed.)

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