Times of India reported that large scale defaults on part of private players allotted coal blocks led to relaxing of timelines and when even this did not help, the government was faced with having to frame fresh guidelines for de allocation and seizure of bank guarantees.

Action was initiated only when the inter-ministerial group (IMG) reviewing allocations in the wake of the comptroller and auditor general's finding that private entities were benefited began to recommend de-allocation and forfeiture of bank guarantees.

BJP MP Mr Hansraj Ahir, sissatisfied with the government's efforts, has written to chief vigilance commissioner Mr Pradeep Kumar asking for an inquiry into why guidelines were not enforced and action not taken against defaulters.

Mr Ahir has said “The coal ministry had the right to take back coal blocks and seize bank guarantees of companies if they did not follow guidelines for opening mines and starting excavation, Many of these companies and their activities are only on paper ... there is a need to ask the coal ministry, screening committee and coal controller about the lethargy and delay in action against these companies."

Source - Times of India

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