CBI starts probe in Rs 487 crore coal scam

New Delhi: The CBI has initiated its probe into a Rs 487 crore scam related to the alleged over valuation of inferior quality of coal imported from Indonesia, which was passed on to NTPC and other power generation companies in collusion with government officials.

According to sources, the action has been initiated on the basis of the outcome of an internal investigation carried out by the Directorate of Revenue Intelligence (DRI), which had shown over invoicing in the imports between 2011-12 and 2014-15.

The CBI FIR is against Ahmed A.R. Buhari, promoter of Coastal Energy Private Limited, Channi and unidentified officials of National Thermal Power Corporation (NTPC), Metals and Minerals Trading Corporation, Aravali Power Company Pvt Ltd. The agency has booked them under the charges of criminal conspiracy cheating and provisions of the Prevention of Corruption Act, they added.

It is alleged that they entered into a criminal conspiracy to cheat the Government by importing coal of Indonesian origin.