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Money > Business Headlines > Report May 2, 2001 |
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Court raps former Goa minister over power rebate scandalSandesh Prabhudesai in Panaji Mauvin Godinho, a former Congress minister, is in the dock with the high court holding him accountable in a multi-million-rupee power rebate scandal that took place in 1996. A petition in this regard was filed by Goa Chief Minister Manohar Parrikar, who was then a member of the legislative assembly. Godinho, after splitting from the ruling Congress to form a short-lived coalition government two years ago, recently rejoined the Congress. The state government, in 1991, had issued a notification granting 25 per cent subsidy on power for the new industrial units for five years. Subsequently, the state rescinded the notification on 31 March 1995. Despite this, Godinho went ahead to grant subsidy to many ferro alloy units and others. He issued two notifications in 1996 in this regard. At least 85 industries learnt to have benefited from it till the notification was suspended in March 1998, costing the state treasury an estimated Rs 500 million. Parrikar had then lodged a police complaint against Godinho. The Goa bench of the Bombay high court has now quashed the notification issued during Godinho's tenure. The court has also directed the state government to take consequential action as per the order. No specific directives, however, have been given on taking action against Godinho. The division bench comprising Justice B H Marlepalle and Justice A M Khanwilkar stated that it cannot be considered a government decision due to non-compliance of any kind of rules. In spite of the notification having financial implications, the court observed that Godinho had not sought concurrence of the finance department or the industries department and it was also not placed before the cabinet or the chief minister. "Following business rules is mandatory for arriving at an executive decision, or otherwise it is not to be held as the decision of the state government," stated the division bench in its order. Meanwhile, the following the court order, the cops have reopened the case. DIG Karnal Singh informed that Godinho has been regularly visiting the police station for interrogation in this regard. Government officials are, however, maintaining a strict silence over whether any action would be taken against former power minister Godinho. |