The Central Bureau of Investigation (CBI) has booked Hindalco Industries Limited (HIL) and the then director of the Ministry of Environment & Forest (MoEF) on a graft charge related to the processing and grant of environmental clearance to the company’s Talabira-I open cast coal mine in Jharsuguda (Odisha) during 2011-13.

The public servant has been identified as T. Chandini, who was also Member Secretary of the Expert Appraisal Committee (EAC) concerned, according to the First Information Report (FIR).

“This is an old matter pertaining to 2014-15,” said a Hindalco spokesperson, adding, “These mines were de-allocated as part of the government’s de-allocation process. This is a matter of public record where more than 100 mines were de-allocated.”

The CBI says in its FIR that the case is an offshoot of a preliminary enquiry started by the agency in February against unknown officials of Aditya Birla Management Corporation Private Limited (ABMCPL), unknown MoEF officials and others, regarding alleged payments of massive bribe amounts in 2011-2013 for grant of clearance to its projects.

The projects requiring prior clearance used to be examined by EACs and based on their recommendations, the regulatory authority would communicate its decision to the applicants.

The CBI asserts that on March 5, 2001, the Ministry had informed HIL about the grant of its first environmental clearance for mining 0.4 Million Tonne Per Annum (MTPA) of coal from Talabira-I coal mines. Again on January 14, 2009, clearance was given for capacity expansion from 0.4 MTPA to 1.5 MTPA. Thereafter, on February 27, 2009, HIL again sought prior clearance for expansion to 3 MTPA.

The proposal was taken up for consideration by the Committee in two meetings held on April 22-23, 2009, and July 21-22 2009. At that time, Dr. Chandini, who was a director with MoEF looking after coal mine projects, also functioned as Member Secretary of the Committee, and communicated with HIL on related issues.

On October 20, 2009, the Ministry issued an order mandating that while considering expansion proposal for the grant of clearance by respective Committees, the status of compliance of conditions stipulated in the earlier clearances was also to be considered. In this regard, HIL was allegedly found to have violated the previous clearances in 2001 and 2009, for producing coal over and above the permitted capacity.

The CBI alleges that it was found that during the period from 2004-05 to 2007-08 and 2008-09 HIL had mined 3.045 MTPA excess coal - a finding that came to light the company’s fresh proposal was under consideration during Dr. Chandini’s tenure.

The agency said that on January 13, 2010, the MoEF imposed a temporary moratorium on consideration of developmental projects for grant of clearance in respect of 43 industrial clusters whose aggregated Comprehensive Environment Pollution Index Scores were above 70, being critically polluted. Talabira-I Open Cast Mine also came under the purview.

During enquiry, the State Pollution Control Board (Odisha) as well as the Central Pollution Control Board confirmed vide letters dated November 24, 2020, and March 8, 2021, that Talabira-I Open Cast Mine was located in the critically polluted area, it said.

For the implementation of prohibition, MoEF had given directions that the projects located in critically polluted areas; or which were in the pipeline and on which a final decision had not yet been taken; or the proposal which would be received after January 13, 2010, would be returned to the proponent by the respective Member Secretaries with the approval of Advisor (In-Charge)

However, as alleged, Dr. Chandini did not do so and instead, informed HIL that their proposal would be considered in the next meeting to be held on February 24-25, 2010. The proposal continued to be considered by the Committee. Thereafter, as soon as the moratorium was lifted on July 5, 2011, the same day she allegedly initiated the process on the file to obtain the final approval of the competent authority for the grant of clearance to HIL.

She has also been accused of ensuring that the clearance was given in haste, despite HIL having violated the conditions of earlier clearances.