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Coal block scam: Kumar Mangalam Birla meets Chidambaram

The CBI had named Birla and former Coal Secretary P C Parakh in its FIR charging them with criminal conspiracy and corruption in connection with alleged irregularities in the allocation of coal blocks eight years ago.


Hindalco Chairman Kumar Mangalam Birla, who is named in the FIR in the alleged coal block allocation scam, today met Finance Minister P Chidambaram for the second time in less than three weeks.

Birla did not offer any comment on the meeting that lasted for more than 20 minutes. The industrialist had met Chidambaram earlier on October 18 after the CBI named him in the FIR. "As of now, I am not worried about it. There is nothing wrong (that) has been done, so why should one worry?" he had told reporters when asked if the Central Bureau of Investigation (CBI) FIR would cast a shadow on the Aditya Birla Group's application for a bank licence. The CBI had named Birla and former Coal Secretary P C Parakh in its FIR charging them with criminal conspiracy and corruption in connection with alleged irregularities in the allocation of coal blocks eight years ago. The investigating agency alleged in its FIR that after rejection of Hindalco's plea in 2005, Birla wrote two letters and held a "personal meeting" with then Coal Secretary Parakh, after which a decision was reversed and Hindalco was given a coal block that was meant for two public sector undertakings- Mahanadi Coal Fields and Neyveli Lignite . On November 06, 2013, at 12:34 hrs Hindalco Industries was quoting at Rs 115.85, down Rs 1.85, or 1.57 percent. The 52-week high of the share was Rs 137.00 and the 52-week low was Rs 83.05. The company's trailing 12-month (TTM) EPS was at Rs 8.47 per share as per the quarter ended June 2013. The stock's price-to-earnings (P/E) ratio was 13.68. The latest book value of the company is Rs 162.00 per share. At current value, the price-to-book value of the company was 0.72.

Source: PTI