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Nalco clarifies; DNA stands by its stories

Nalco has reacted to investigation reports that appeared in DNA on November 12 and 13. Here is a list of the points they make followed by our reporter’s comment.

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Two articles that appeared in DNA on November 12 and 13 regarding Nalco are factually incorrect and published without verification of facts related to the company from us,” says a letter from Harish C. Pradhan, GM (A&CC), Nalco. Below, we list the points he makes in the letter followed by our reporter’s comment. We stand by our stories.

CBI chases top officials from Mining Ministry, entire NALCO Board (November 12)
1. If the CBI investigation is sought against the Nalco board, the list of ‘accused’ cannot include the name of the secretary (mines) as he is not a member of the board.  

2. The CVC is investigating the matter regarding the contract for slurry ash that covers the Nalco board. Nalco is not aware of any request from CBI with regard to the matter.

3. We cannot comment regarding the response of Hon. Minister Dinsha Patel to DNA’s questionnaire as we are not aware when it was sent.

4. Nalco board awards contracts, the Ministry of Mines has no role in it. The contract under question was awarded to M/s Usha Projects (India) Pvt. Ltd. and M/s Macwber Beekay Pvt. Ltd. after verifying their financial and experience criteria as per the tender specifications.

Our reporter replies: A detailed questionnaire was sent to the hon’ble minister to which we did not receive any response. It is a fact that the CBI is looking into the matter and has sought sanction for investigation and subsequent prosecution.

Top Mining official set up illegal NGO to siphon money (November 13)

1. It is incorrect to say that C-TEMPO is an NGO. It’s a registered society under the Ministry of Mines whose officer bearers are members of the ministry.

2. C-TEMPO’s audited accounts are available to show the NALCO grant is reflected as a corpus in its balance sheet.
3. Nalco has made a grant not only to C-TEMPO but also its predecessor, the TPPC.

4. When the Nalco board provided a grant of Rs 4 crore to C-TEMPO, Shri S. Vijay Kumar (then special secretary, upgraded post of additional secretary) recused himself when the item was taken up.

Our reporter replies: There was a clear conflict of interest with the then additional secretary (Shri S. Vijay Kumar) setting up C-TEMPO without cabinet clearance as mandated by the GFR. The CBI is currently looking into this complaint as well.

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