CBI Raids Mahanadi Coalfields Limited (MCL) Over 75,000 Tonne Coal Diversion

SUNDARGARH, ODISHA – On January 31, 2026, a high-stakes investigation by the Central Bureau of Investigation (CBI) intensified at the operations of Mahanadi Coalfields Limited (MCL) in Odisha. A three-member specialist team from New Delhi conducted coordinated raids at the Garjanbahal open-cast mine and the Kanika railway siding, targeting a suspected coal pilferage racket.
The agency is probing allegations that nearly 75,000 tonnes of coal were transported without valid documentation, potentially causing a massive loss to the national exchequer.
Key Focus of the Investigation
The CBI’s scrutiny is centered on "coal diversion"—the process where coal meant for official supply chains is illegally siphoned off during transit from the mine to the railway siding.
- Accountability Gaps: Investigators are mapping the "missing" coal by cross-referencing dispatch logs, weighbridge data, and mine extraction records.
- Logistics Loophole: The probe aims to identify the exact mechanism used to move thousands of tonnes of coal through the Kanika siding without proper invoices.
- Forest Encroachment: Parallel allegations suggest unauthorized coal extraction was occurring in forest areas adjacent to MCL’s official leasehold land.
High-Level Interrogations
Several key officials and employees were detained for questioning at the site to establish the chain of command during the alleged diversion.
- C.P. Sethi (Sarada Prasad Sethy): Currently the in-charge of the Kanika railway siding and the former project head of the Garjanbahal mine. Investigators believe the irregularities occurred during his tenure at the mine.
- Internal Corruption: In a startling twist, the Delhi CBI unit has also filed an FIR against one of its own—Assistant Sub-Inspector Prashant Kumar Palei of the Bhubaneswar branch. He is accused of accepting bribes from MCL officials to provide "protection" from central investigating agencies.
