Centre hits Bengal with Rs 3,000 cr demand and contempt plea

NEW DELHI: The Centre on Monday moved the Supreme Court seeking initiation of contempt proceedings against the former chief of West Bengal’s power distribution company – WBPDL – accusing it of not paying over Rs 3,000 crore due as per apex court’s judgment cancelling allocation of coal blocks.
A bench of Justices Madan B Lokur, Kurian Joseph and A K Sikri issued notices to West Bengal Power Distribution Company Ltd’s (WBPDL) former CMD Durgadas Goswami, Bengal Emta Coal Mines Ltd and its sister companies and four others on a contempt petition moved by the Centre through attorney general Mukul Rohatgi.
Rohatgi told the court that as per the SC’s September 24, 2014 judgment, WBPDL, which runs five thermal power stations – Kolaghat, Bandel, Bakreswar, Santaldih and Sagardih -- was the largest defaulter and dues had risen to over Rs 3,000 crore.
The SC had cancelled allocation of all coal blocks since 1993 by its August 25, 2014 judgment. A month later, the court considered the liability of the companies whose allocation of coal blocks had been cancelled and ordered an additional levy of Rs 295 per tonne of coal extracted by these companies to be paid by December 31, 2014.
The court allowed the companies to extract coal from the cancelled coal blocks till March 31, 2015 with the rider that from January 1 till March 31, the extracted coal would attract the additional levy of Rs 295 per tonne.
The Centre said, “The respondents/contemnors have not complied with the said judgment of the Supreme Court and have willfully disobeyed the directions to make payment of the compensation of Rs 295 per metric tonne as computed and directed to be deposited within the stipulated period.”
The contemnors listed in the petition are ex-chief of WBPDL Durgadas Goswami, Durgapur Projects Ltd, director of Bengal Emta Coal Mines Ltd Bikas Mukherjee, Damodar Valley Corporation chairman A W K Langstieh, managing director of West Bengal Mineral Development and Trading Corporation Ltd Romit Mutsuddi and director of BLA Industries S R Mishra.
The issuance of notices on the Centre’s contempt petition requires the contemnors to be present in the Supreme Court on the next date of hearing, September 7. However, the court said those companies which pay up their dues before September 7 need not appear and their presence could be marked through their counsel.