- The Supreme Court has in its verdict held coal blocks allocated after 1993 as illegal, same as what was seen during the 2G spectrum case.
- It was found that allocation of coal blocks through govt and a non-statutory screening committee was entirely arbitrary.
- This underscores the menace of cronyism towering over merit, undermining of systems and processes by those in power and also the unfair distribution of national wealth due to an ad hoc and casual way of allocation.
- The SC has now opened up options for the govt to adopt alternative methods adhering to constitution principles as opposed to the sole method of competitive auction.
- While political parties may trade blames and industry may lament its losses, viability of existing projects and the future of investments, the SC will soon decide on whether to cancel the allocations or find a just alternative.
- It will not interfere with the ongoing investigations by the Central Bureau of Investigation and the Enforcement Directorate into illegalities committed in the allocation of coal blocks.
- It also exempts 12 coal blocks linked to Ultra-mega Power Projects that were carried out on the basis of competitive bidding.
- The paramount task is to:
- Windfall gains made by those alleged in the scam.
- Save the mining and power sectors from the adverse effects of illegal allocations.
- Bring to book those guilty of criminal conduct.
- Read at: http://www.thehindu.com/todays-paper/tp-opinion/blow-for-public-integrity/article6354765.ece