The Central Bureau of Investigation (CBI) has registered three preliminary enquiries aga-inst former director-general of hydrocarbons VK Sibal, who was alleged to have received favours from Mukesh Ambani-owned Reliance Industries Ltd (RIL) and other private players in the oil & gas sector.
Sibal was director-general when the development cost for RIL?s K-G D6 gas block was revised from an original estimate of $2.45 billion to $8.83 billion. When allegations about playing favourites came up in late 2009, Sibal had vehemently denied them and saw a vilification campaign against him by RIL?s arch-rival, Anil Ambani?s ADAG.
In CBI parlance, a preliminary enquiry is the stage prior to a full-fledged investigation. The investigating agency has also informed the petroleum ministry about its enquiries. After it received specific complaints about Sibal?s quid pro quo deals with players in the sector he regulated, the Central Vigilance Commission (CVC) had first asked CBI to conduct a discreet inquiry.
When contacted, CVC chairman Pratyush Sinha confirmed to FE that CBI was looking into the matter, but was not aware of day-to-day developments on the issue. The CVC reviews cases on a monthly basis. Until the CBI probe began, Sibal was hopeful of receiving an extension at the helm of the directorate general of hydrocarbons, but eventually quit.
Key allegations that the CVC and CBI found merit in pursuing revolve around Sibal living in a house whose owner’s wife is a director in an oil exploration firm, moving the directorate to an office owned by another player, and his daughters enjoying the hospitality of RIL in Mumbai.