Former PM Manmohan Singh summoned as accused in coal scam, says ‘truth’ will prevail

New Delhi: Former Prime Minister Manmohan Singh was on Wednesday summoned to appear in the Hindalco coal-block allocation scam as an accused.

Singh was the coal minister when Talbira II coal block was allocated to Hindalco. Singh has not been charged with any crime but is being investigated for criminal breach of trust, criminal conspiracy, cheating and corruption. The maximum sentence for criminal breach of trust is life imprisonment.

Talking to reporters, Singh said that he will get a chance to put forth his case with facts.  “Of course, I am upset but this is part of life. I have always said I am open for legal scrutiny. I am sure the truth will prevail and I will get a chance to put forward my case with all the facts,” he was quoted as saying to reporters.

The coal scam involved mining rights being given to firms "without any transparency".

Read: Court summons does not make one guilty: Congress on coal scam

Earlier, on January 20, the CBI recorded Manmohan Singh's statement in connection with alleged irregularities in the allocation of an Odisha coal block to industrialist Kumar Mangalam Birla’s company Hindalco.

The former Prime Minister’s statement was recorded following a direction by the special CBI court last month.

Read: Will defend case through legal process: Hindalco

Observing that a concerted effort was being made to manipulate the entire government machinery so as to protect the interest of Hindalco, the court had directed the agency to examine the then coal minister (Manmohan Singh) on various aspects of the coal-block allocation to the company.

Singh is a respected economist credited with 1990s free-market reforms that unshackled India from its socialist past.

Singh’s second term as PM was mired in corruption scandals and accusations that Congress president Sonia Gandhi called the shots in his government, tarnishing his image.

"We have done nothing wrong and we have nothing to hide," said Ambika Soni, a senior Congress leader close to the Gandhis.

Read: Congress defends Manmohan Singh, says 'legal process will vindicate our stand'

AWARDS OVERTURNED

Most coal block awards made by Singh's government, which ran the country India for a decade, were overturned late last year by the Supreme Court, which ruled the process illegal.

"Coalgate" came to light in 2012 after the Comptroller and Auditor General (CAG) said the exchequer had lost as much as $33 billion because of collusion between officials and private firms to depress the cost coal field awards.

Read: Timeline of coal block allocation case

The current government under Prime Minister Narendra Modi is now in the process of re-auctioning the fields. Auctions of the first 32 blocks have brought in a projected $32 billion, according to Coal Secretary Anil Swarup.

"In the UPA regime there was ... ad-hocism that prevailed, favouritism that prevailed," said GVL Narasimha Rao, a spokesman for Modi's Bharatiya Janata Party, referring to the former ruling coalition.