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Coal Blocks allocated from 1993 to 2010 are illegal: SC

SC termed coal block allocated by screening committee from 1993 to 2010 as illegal. They were not fare & transparent.

Aug 25, 2014 16:44 IST
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The Supreme Court of India in its verdict on 25 August 2014 said that coal block allocated by the screening committee from 1993 to 2010, before pre-auction era, was illegal. It said that the allocations were not fare and transparent and it also suffered from vice of arbitrariness.

In its decision, the Apex Court led by Chief Justice R M Lodha and comprised of Justice Madan B Lokur, Justice Kurian Joseph said that no objective criteria were followed while allocating and guidelines were also breached and all allocations were done in illegal manner.


Apart from this, the Court also said that further hearing is required so that it can be determined that whether there is a need for canceling 218 coal block allocations. For this purpose the Court fixed 1 September 2014 as a date to decide the actions to be taken against illegality of coal blocks.
 
Mainly private companies were allocated the coal blocks in states like Jharkhand, Chattisgarh, Maharashtra, West Bengal, Odisha and Madhya Pradesh.

Earlier in January 2014, the three-judge Bench of Supreme Court while reserving the verdict said that huge investments by companies could not be a ground for not cancelling the licence.

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