Coalgate: Let Us C+++

If Kaala Patthar (1979) were to made today, the heartless tyrant Prem Chopra would pick himself to be the Coal Minister. Shashi Kapoor, who plays the considerate mining engineer in the movie, would don the role of the honest, able and competent Coal Secretary who foresees the windfall gains in making by private companies and presses the right buttons, only to be shunted by his bosses. Amitabh Bachchan, the savior of the poor miners (the common man in this case) will play the daredevil CAG and take on the corrupt system single handedly. And finally, Shatrughan Sinha’s Mangal – the convict with an attitude problem – would find himself in the shoes of BJP, the principal opposition that itself has a less than virtuous past (as far as illegal coal mining and reported liaison with certain Reddy brothers go) and now finds it too convenient to shout ‘Khamosh’ to the government and walk out of the Parliament without a debate.

But unlike the linear narrative of Kaala Patthar, it is interesting to see how the ball was hit to and fro by Prem Chopra and Co. (PMO and the coal ministry here) in this ingenious game of procrastination that lasted for over 8 years, starting in 2004, while coal blocks were being allotted to private companies cherry picked by the government. The moment CAG report came out, BJP went all hammer and tongs over it, calling for nothing short of the Prime Minister's head.

Congress: "When there's no coal production, where's the loss?"
BJP: "You used the same logic in 2G and the subsequent auctions proved you wrong."
Cong: "We were only carrying forward a policy that was prevalent in NDA govt."
BJP: "The demand for coal had risen drastically since you came to power. It was your govt which introduced the competitive bidding process and then cleverly buried it under the bureaucratic process to grant allocations to hand picked companies."
Cong: "The CAG is violating his authority by questioning govt. policy."
BJP: “He's rightly questioning the inexplicable delay of 8 years in allocation of coal blocks."
Cong:  "It was your own state govt. which objected to the idea of competitive bidding. Hence, the delay."
BJP: "It is Centre’s prerogative to allocate national resource."
Cong: "The State representative was still part of the decision committee."
BJP: "Centre still remains supreme. States are mere recommenders. Centre can’t pass the buck."
Cong: "Why don't you debate it in the Parliament?"
BJP: "Debating over this issue is a waste of time. We dont want any JPC or PAC....we only want the resignation of the Prime Minister. The way Raja went, he has to go too. "
Cong: "You don't want to debate because you run the risk of being exposed."
BJP: "#$@!%!#$^!*..."

The spell is cast; arguments and counter-arguments are flowing from both sides with equal vitriol and worse still, conspiracy theories (involving the CAG) have started doing the rounds. The BJP has decided to shun the Parliament and go straight for the PM's head. Though they know that they are on a quixotic mission but it is still far effective than a detailed Parliamentary debate, as the latter would dilute their case. BJP looks at Coalgate and sees Bofors - their ticket to early elections and possible claim to power. One wants to strike the iron when it is hot, except iron is replaced by coal this time.

Scrutiny of CAG's Coalgate report notwithstanding, Vinod Rai's comparison with T. N. Chaturvedi, who was the CAG during Bofors (1984-90) and who eventually joined the BJP, is too premature and unfair. One has to see which way the current Harvard grad CAG would go after his retirement, which is due in 2013, before we judge him. Having said that, the CAG report is no gospel truth. Eminent economist Surjit Bhalla's double barrel attack on CAG's credibility [Article1, Article2 ] leaves crater sized loopholes in the report of country's premium auditory firm.

But the report to me is not about the 1.87 lakh Cr or 1.76 lakh Cr or even 29,000 Cr. It is about highlighting the callous use of power with no accountability. It is about putting brakes to system that is rotting at an exponential rate. It's not about the numbers. It never was. In fact, the credibility of the government is so low that people have unquestioningly fallen for the staggering figure of 1.87 L Cr loss without batting an eyelid. When government resides to crony capitalism and opposition connives with it under the facade of political conflict, it is for the constitutional bodies to encroach their boundaries and rise to the occasion. Chief Election Commissioner (CEC) used to be a spineless Pomeranian which was known for standing as a silent spectator amidst the worst election riggings, until T. N. Seshan turned it into a barking and biting Rottweiler. The judiciary also has to invade the space of legislature, every time constitutional eroding reservation laws are amended in the Parliament. The CAG, similarly, has to step over these porous boundaries when need be and restore credibility and confidence in the system.

Right questions need to be asked:
Irrespective of how flawed or accurate CAG's loss theory is, there are three things that need explaining, and quite detailed at that:
Firstly, the PMO came out rejecting the competitive bidding option in its note on 11th Sept 2004, citing the disadvantages of bidding. Reasons cited by the govt. for calling it disadvantageous should be explained in detail.

Secondly, throughout these 8 years, private companies selected by the Screening Committee continued to get coal blocks allocated to them (57 to be precise). Some of the companies chosen didn't even have any core competency in coal extraction. So on what basis were these allocations made?

Thirdly, and probably the most important of all, is the strange case of Comptroller and Auditor General that nobody seems to be taking up. The CAG is a constitutional body (meaning it can't be removed on the whims and fancies of politicians) which was set up specifically to curtail corruption. India is probably the only country where we have a body called CAG, whose 'C' is silent. A Comptroller & Auditor General Amendment Act in 1976 clipped the controlling powers of CAG, rendering it as a mere post-scam auditor. The crux of the problem is the absence of any funds issuing authority, a job CAG was originally meant to do. Why isn't nobody talking about this glaring loophole that needs amore immediate amendment than anything else. What is the Lok Sabha waiting for? Another scam that finally breaches the coveted 200 K Crore mark - the '3 Idiots' of all scams? If we really want to put a lid on corruption in this country, it is time we hand over powers back to B.R.Ambedkar's "most important Officer" under the Constitution of India.

As for BJP's illusionary plans of bringing down the govt. by staging walk outs, if at all it has to continue doing so, it should at least do so with some style by letting its style icon Shatrughan Sinha tweak his famous lines from Kaala Patthar and stump the govt with -
"Exchequer ka fund koi lemon soda nahi, jise Congress jaise onge-ponge apni pyaas bujhaate phiren!"