Arvind Kejriwal orders FIR against Murli Deora, Veerappa Moily & Mukesh Ambani

By Dilip -
Delhi Government on Tuesday ordered filing of criminal cases against Union minister Veerappa Moily, former minister Murli Deora, Reliance Industries chief Mukesh Ambani and others following complaints of irregularities in pricing of natural gas in KG basin. Chief Minister Arvind Kejriwal said the Anti Corruption Branch (ACB) of Delhi Government has been asked to probe the matter based on a complaint filed by former Cabinet Secretary TSR Subrmanian, Admiral Tahiliani, former Navy Chief and eminent lawyer Kamini Jaiswal besides a former Expenditure Secretary.
“Today we have asked the ACB to probe the case. We are filing a criminal case against Murli Deora. FIRs are being filed against Moily, Mukesh Ambani former DG of Hydrocarbons V K Sibal, Reliance Industries Ltd and others,” he said addressing a press conference here. Without explaining whether Delhi Government has jurisdiction to probe the case, Kejriwal alleged that Reliance Industries Ltd was benefited as Oil Ministry decided to hike the natural gas price to USD 8 per million British thermal unit as against current USD 4.2 from April 1. He alleged that RIL did not produce adequate gas from eastern offshore KG basin block so as to put pressure on the government to hike the price.
Reliance did not offer any immediate comments on the issue.
The government has already approved a proposal to price domestic gas at an average of international gas hub prices and actual cost of importing gas in its liquid form into India. The Chief Minister said hiking the price of natural gas will have a “cascading effect” on the economy as rates of transportation, power production, fertilisers and food items will go up significantly. “I am writing to Prime Minister and the Oil Minister to kept the decision in abeyance pending the probe. I will also request PM to direct all ministries to cooperate with the probe,” Kejriwal said. He said the complaint alleged “collusion between some Union ministers and Reliance Industries Ltd” that purportedly resulted in the decision to double the gas price from April 1. The Chief Minister did not answer when asked whether Delhi Government has jurisdiction to probe the matter.
Quoting the complaint, Kejriwal said hiking the gas price will help RIL earn profit of Rs 54,000 crore per annum. “The CAG had conducted an audit of these oil wells and in its report it stated that from time to time Reliance garnered windfall gains to the tune of 1.25 lakh crore,” he alleged. The Chief Minister also questioned the move to double the price of natural gas just before Lok Sabha polls. “We believe that inflation is going up due to corruption. We will have to take strict actions to weed out corruption. It is a decisive battle for us,” Kejriwal said. He said the complaint filed with Delhi Government contained a “cost sheet” according to which cost to extract gas from the wells given to RIL was below one dollar per unit. Kejriwal said RIL had signed a contract in the year 2000 for production of gas at KG-D6 fields at USD 2.3 dollar per unit.
“But after sometime they changed their stand and in collusion with some ministers, they raised the price of gas to over 4 dollar per unit. But the greed did not end there. These allegations have been made in this complaint,” Kejriwal alleged. The Chief Minister alleged that even after raising the cost, they (RIL) did not produce much gas, so that they can “blackmail the government further”. “They were supposed to produce 80 million units, but they produce less that 18 per cent, which in turn caused artificial shortage. That led to importing of gas which resulted in inflation in the country,” he claimed.
Kejriwal said the government’s argument to hike the gas price based on international rates and not on the basis of cost of production, was not acceptable. “Basically they were looking for some ways to inflate the price. In the complaint it is also alleged that Reliance partner NICO still today is providing gas to Bangladesh at USD 2.34 dollar per unit,” he said.

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