APPELLATE TRIBUNAL UNDER SAFEMA AT NEW DELHI

1. MP-PMLA-6549/RP/2019 (Recall)

MP-PMLA-4212/RP/2018 (Stay)

M/s JayaswalNeco Industries Ltd. … Appellant Versus The Deputy Director Directorate of Enforcement, Raipur … Respondent

2. MP-PMLA-6548/GOA/2019 (Review)

MP-PMLA-5640/GOA/2019 (Stay)

FPA-PMLA-2903/GOA/2019 M/s JayaswalNeco Industries Ltd. … Appellant Versus The Deputy Director Directorate of Enforcement, Goa … Respondent

3. FPA-PMLA-2992/GOA/2019 Mr. Ramesh Kumar Jayaswal … Appellant Versus The Deputy Director Directorate of Enforcement, Goa … Respondent Advocates/Authorized Representatives who appeared For the Appellants : Ms. FarazMaqbool, Adv.

Ms. Sana Juneja, Adv.

For the Respondent : Mr. Kshtiz Aggarwal, Adv.

At serial no.1 & 2 Mr. Pankaj Pandey, Adv.

At serial no.3 CORAM SHRI G. C. MISHRA : MEMBER SHRI BALESH KUMAR : MEMBER

FINAL ORDER

28.11.2024 The present appeal has been filed against the Order dated 10.11.2017 passed by Ld. Adjudicating Authority (AA) in the matter of OC No.790/2017 arising out of the Provisional Attachment Order No. 2 of 2017 dated 09.06.2017 in ECIR/RPSZO/02/2014. The Ld. AA, vide the impugned order, confirmed the attachment of plant and machinery under installation at Dagori FPA-PMLA-2149/RP/2018 Integrated Steel Plant situated at Bilha, Bilaspur (C.G.) to the extent of Rs.206,16,39,990/-

2. It is seen from the record that the Central Bureau of Investigation, New Delhi, registered a First Information Report (FIR) bearing no. RC221/2014/E0011 dated 22.05.2014 against (a) M/s JayaswalNeco Industries Ltd., Nagpur and (b) Unknown Public Servants for the offences punishable under Section 420, 120-B read with Section 406 of IPC, 1860 and Section 13(2) r/w 13(1) (d) of Prevention of Corruption Act, 1988 which inter-

alia states as below: -

i) Based on the request of the Company for allocation of coal blocks, „Gare Palma IV/4‟ Coal Block was allocated to the Company, by the Ministry of Coal, Govt. of India vide letter dated 16.08.1999 for meeting the coal requirement for their sponge iron plant stipulating inter-alia that the party will wash the coal in a washery to a 20% ash level and the middling produced by washing non- coking coal for its sponge iron plant will be used in its Captive Power Plant (CPP) as and when it gets approval.

ii) Consequent to allocation of coal block the Company developed the mine and started coal production in the year 2006-07 and the Company resorted to excess mining of coal over and above the approved rate in mining plan from

2007-08 and onwards.

iii) Though the coal block was granted to the party for its 1 MTPA (Million Ton Per Annum) capacity sponge iron end use plant (EUP), the Company was yet to commission its end use sponge iron plant (EUP) to the stated 1 MTPA capacity. The company could commission only 0.255 MTPA capacity sponge iron plant. Despite the fact that the capacity of the EUP had not been attained when the company had submitted 2nd revision to mine plan, the Ministry of Coal approved the same, increasing the rated capacity of the mine from

0.48 MTPA to 1 ΜΤΡΑ.

FPA-PMLA-2149/RP/2018 iv) The Screening Committee report as well as the Allocation Letter issued by the Ministry of Coal categorically states that the „Gare Palma IV/4‟ block was allocated to the Company as a captive source of supply of coal in the proposed Sponge Iron end use Plant. Further, the allocation was subject to the condition that the party will wash the coal in a washery to 20% ash level and the middling/rejects produced by washing non-coking coal to be used in its CPP as and when it gets approval.

v) The previous approval of the Central Government to the State Govt. u/s 5 (1) of MMDR Act, 1957 mentions that “no coal mined from „Gare Palma IV/4‟ Sub- Block shall be sold, delivered or disposed of except for the stated captive mining purpose i.e. for consumption in the proposed Sponge Iron Plant of the applicant company.” Lease deed executed between Govt. of Chhattisgarh and the company does find mention of the