Coal Block Allocation: SC issues notice in petition seeking de-allocation

The Supreme Court yesterday issued notice in an application seeking de-allocation of the Parsa-Kente Extension Coal block which was allotted to Rajasthan Rajya Vidyut Utpadan Nigam Ltd (RRVUNL)..The applicant, Sudiep Shrivastava, has prayed for the cancellation of Joint Venture and Coal Mining Agreement RRVUNL entered into with Adani Enterprises Ltd. (AEL) for being in contravention of the coal block judgment and the new law..The matter came up before the Bench of Justices Madan B Lokur, Kurian Joseph, and AK Sikri, which issued notice in the case..The applicant has also sought for a CBI investigation against the responsible officers of the RRVUNL and AEL to be taken forward..In its order passed in 2014, the Supreme Court had held all allocations of coal blocks illegal and quashed the same. The Court had also held Joint Ventures entered into between Public Sector Units (PSU) and private companies to facilitate transferring of mining rights to the latter to be illegal under the Coal Mining Nationalisation Act 1973..In this specific instance, the applicant has highlighted that in the Joint Venture and Coal Mining Agreement entered into between a PSU and a private entity, the PSU, RRVUNL, held a minority stake at 26% whereas the private enterprise, AEL, held a majority stake of 74%..Claiming that a Joint Venture of this nature which was held to be illegal by the Apex Court cannot be allowed to continue in the garb of a mining contractor, the applicant has sought for this JV to be cancelled..It is further stated that an illegality of this nature ought to be have been caught by the CBI, and that the agency is biased in favour of the respondents. Thus, the applicant has also prayed for the CBI to be directed to lodge a criminal FIR in the case..The Parsa-Kente Extension coal Block allotted to RRVUNL is also prayed for to be de-allocated for being in violation of the Court’s judgment and the law..The Court has issued notice and listed the matter to be heard next in January 2019.