Headlines
Congress seeks Gadkari's resignation
New Delhi, May 1
The Congress on Friday called
upon the government to order an inquiry on the basis of CAG report
concerning alleged "financial wrongdoing" by the Purti Sakhar Karkhana,
promoted by union minister Nitin Gadkari, and demanded he step down.
In
a statement, Congress spokesperson Abhishek Manu Singhvi said that
Gadkari was promoter of the Purti Sakhar Karkhana and had been
"indicted" by the CAG in its report tabled in Parliament on Thursday.
It
said that the Karkhana, of which Gadkari "was a director, indeed the
prime promoter," took a loan of Rs.84.12 crore from the Indian
Renewable Energy Development Agency Ltd. (IREDA) for a project to be run
on at least 75 percent renewable energy sources.
Singhvi alleged that loan was however used for setting up a coal-funded power project.
"The
project not only got inexplicably delayed and got commissioned in March
2007, but also converted to being fully coal-based in gross violation
of the prescribed allowed stipulation of a maximum 25 project deviation.
In doing so, the company violated the very basis of getting a loan from
IREDA," he said.
Singhvi said that the Purti group asked for a
one-time settlement and paid back only Rs.71.35 crore, causing a loss of
Rs.12.77 crore to the state exchequer. "In fact, the losses are much
more, given the loss of interest," he said.
"Forget about the
interest, Purti has not even paid back the full amount. There should be a
judicial inquiry into the allegations agsint Purti and Gadkari's role
in it."
Singhvi said the Bharatiya Janata Party used to attack
the previous Congress-led UPA government at the Centre based on CAG
reports that hadn't even been released. "Now that the CAG has published
this report, Prime Minister Narendra Modi and the BJP should take
cognizance of it."
He said that as a director and promoter, Gadkari had given personal guarantee for the loan.
"The
reasons cited by the Purti group for the default and diversion of funds
are untenable and point towards deliberate wrongdoing," he said.
Singhvi
said the government should order an immediate inquiry by the Economic
Offences Wing and Gadkari should be asked to step down as a minister
till the inquiry was completed.