Ruling party MP named as India “coalgate” scandal widens

NEW DELHI,  (Reuters) – Federal law enforcement officials have named an MP from India’s ruling Congress party in an investigation into irregularities in the award of coalfield concessions, piling more pressure on the government firefighting the latest in a series of scandals.

The news emerged on the same day as officials raided the offices and homes of five companies, also in connection with the scandal that has sparked a political crisis at a time when the government is struggling to revive India’s slowing economy.

The Central Bureau of Investigation (CBI) has filed a case against Vijay Darda, a lawmaker in India’s upper house, a CBI official told Reuters yesterday. The official declined to comment on media reports that Darda was linked to companies being investigated. Darda has denied any wrongdoing.

The agency has filed cases against five companies and charged a number of officials with criminal conspiracy, cheating and intention to commit a crime, CBI officials said. No arrests have yet been made, although documents have been seized in raids in 11 cities across the country.