PM handled coal ministry well, but sans reforms: Parakh

Former coal secretary P C Parakh, in his book released on Monday,  claims that the coal block allocation scam that is said to have cost the exchequer Rs1.86 crore could have been avoided if Prime Minister Manmohan Singh had asserted himself in pushing reforms, including insisting on open auction of coal blocks.

"Yes, if the Prime Minister had used his authority behind the reforms proposal it (scam) could have (been avoided)," Parakh told reporters after release of his book Crusader or Conspirator - Coalgate and other Truths.

Parakh, who retired as coal secretary in December 2005, has been accused in one of the first information reports filed by the Central Bureau of Investigation probing what has become known as Colagate.

He was responding to questions from reporters on whether the scam could have been avoided if reforms had been pushed through by the government.

Auction of coal blocks in open market and e-marketing of coal, as proposed, would have ensured that there was no scam, he said.

Asked about the FIR against him in connection with allocation of the Talabira-II coal block in Odhisa, Parakh said, "CBI said there was a conspiracy, I am not saying there was a conspiracy, but if CBI thought there was a conspiracy then conspiracy has to be between people who take decisions.

 "So you had Prime Minister who has finally taken the decision. So, if I am a part of conspiracy he (PM) has to be a part of the conspiracy," he said.

Parakh was named in the CBI's 14th charge-sheet along with noted industrialist Kumarmanglam Birla for allegedly entering into a conspiracy to get the coal block allocation in favour of Birla group aluminium maker Hindalco (See: Coalgate: Kumar Mangalam Birla, Nalco, Hindalco in CBI's new FIR).

On those undermining the authority of the Prime Minister, Parakh said besides ministers including Shibu Soren and D S Rao, MPs cutting across party lines were responsible for scuttling the reforms in the coal ministry.

Parakh however also said whatever forward movement was achieved by him in initiating the auction process for coal block allocations during his stint as coal secretary was only when the Prime Minister was in-charge of the ministry.

"When I was in the coal ministry, the Prime Minister gave me full support. Whatever changes had come in the coal ministry it is because of Prime Minister. He also supported reforms in the coal ministry. We were able to get a lot of work done because of proactive role of Manmohan Singh," he said.

The book, released by retired Supreme Court judge G S Singhvi and former cabinet secretary T S R Subramanian yesterday, was in the making for last two-three years and has nothing to do with the timing of Lok Sabha polls, he said.

"I have been writing the book for last two-three years. But after the CAG report and CBI probe, I have just added one chapter to it," Parakh said in reply to a question about his book being released during elections and coming close on the heels of launch of the controversial book, The Accidental Prime Minister, by Sanjaya Baru, former media advisor to the Prime Minister. Baru alleges that the PM was ''defanged'' by Congress president Sonia Gandhi.