Coalgate Scam Neptune Nav Bharat Power and Essar Cayman Island connection

Coalgate Scam Neptune Nav Bharat Power and Essar Cayman Island connection

Small company got the coal block and sold the coal block to big company and everyone made lot of money except honest and poor Indian Citizens.

Neptune and Nav Bharat Power company both are same.

Neptune or Nav Bharat Power is one of the five companies CBI raided on Tuesday.

Nav Bharat Power company was referred as Neptune by Essar.

Nav Bharat is a joint venture between Malaxmi and Nava Bharat Ventures Ltd.

In 2010, Essar Power Limited acquired 100 percent stake in 2250 MW coal-fuelled Navabharat power project in Orissa.

The Central Bureau of Investigation (CBI) Tuesday conducted raids on the offices of Nav Bharat Power Pvt Ltd.

Y. Harish Chandra Prasad, chairman, Malaxmi Infra Ventures (India) Pvt Ltd, who has been named in the FIR along with P. Trivikrama Prasad.

Company Name - Nav Bharat Power or Neptune

registered - in Hyderabad

Registration date - December 13, 2005

capital = Rs 1 lakh only

Name of Promoters - Y Harish Chandra Prasad and P Trivikrama Prasad

January 17, 2008 –

Nav Bharat Power got an allotment of 112 million tonnes from Orissa's Rampia & Dipside coal block.

The CAG says 108 applications were received for this block. Only two were invited to make presentations to the screening committee

March 2008 - Harish Chandra and Trivikrama held 66.7% of Nay Bharat Power’s shareholding.

March 2009, their share fell to 0.05%.

March 2011, the stakes were sold to Essar Power Limited.

Loophole in the law is that no legal bar in such type of sales.

Suggested Reform - No one should be allowed to sell it, government gave the coal block, thus coal block should be returned to government.

Loop Hole no.2 in law –

Under the captive coal block policy, blocks were allocated free.

December 2005 – capital = Rs 1 lakh only

Year 2008 - Company gets coal block

See the difference 

July 3, 2012 - Essar holds 121,757,000 shares of Rs 10 each, which comes to Rs 121.7crore.

Essar Power's holding company Essar Global registered in Cayman Islands.

So it is very difficult to know how much was paid by Essar for those shares and 100% takeover of Nav Bharat Company.

Remember FDI in India is one method to bring black money in India and convert it into white money.

Suggested Reading –

Coalgate: Essar and its mystery Neptune link


Reality views by sm –

Wednesday, September 05, 2012

Tags - Coalgate Scam