A large scale illegal coal transport racket operated through Magadh Colliery, sending over a hundred overloaded trucks daily to coal markets in Bihar and Uttar Pradesh. The monthly trade, estimated to be worth around Rs. 15 crore, was allegedly backed by fake documents and a network of complicit officials and transporters in Palamu district of Jharkhand.
Also Read: Illegal Iron Ore Mining Network Busted at Chaibasa, Ex-CM Madhu Koda Demanded Strict Action
Fake Papers, Real Profits
According to local reports, the racket involved systematic coal theft from Central Coalfields Limited’s (CCL) Magadh Colliery. Trucks were loaded with coal from official CCL stockyards with the connivance of contractors, guards, and insiders. The trucks, carrying up to 40 tonnes each, were transported to areas such as Dehri and Varanasi, where coal fetched between Rs. 3500 and Rs, 4000 per tonne. Dealers were said to earn a profit of Rs. 40000 to Rs. 50000 per truck after deducting expenses like police “entry” fees, loading costs, and fake invoice preparation.
Also Read: Amrapali Coal Project in Jharkhand May Come Under CBI Scanner Over Illegal Lifting
A Network of Corruption and Collusion
Sources claim the illegal activity has been running uninterrupted for the past six months. Coal from Magadh Colliery was secretly dumped in forest areas near Jhari Bakru, Tod, and Phoolbasiya before being reloaded by loaders and JCBs onto trucks bound for Bihar. Each dumper load of coal, worth about Rs. 50000 at the site was later sold for more than twice that amount. Officials reportedly received regular payoffs: Rs. 40000 per truck for police passage, Rs. 13000 for transit clearances, and Rs. 2000 to Rs. 5,000 for falsified challans. Portions of the extorted money allegedly reached banned extremist organisations operating in the region.
Also Read: Jharkhand Moved to Recover Dues from Panem Coal for Illegal Mining
Palamu Route Became Coal Corridor
The illegal trucks travelled through the Panki–Balumath route, halting near Tal picket before crossing the Palamu district headquarters via Redma Chowk, route to Bihar and Uttar Pradesh. In September, 150 trucks were spotted parked along the route, following which Bihar’s Barun police seized 10 coal-laden trucks with fake documents on 21st September. Another 18 trucks were later caught by Aurangabad police, confirming widespread use of forged invoices and overloaded consignments.
Also Read: Jharkhand High Court Adjourned Hearing on Illegal Mining at Panem Coal Mines
While local authorities, including police and mining officers, are said to have been aware of the racket, no significant action was taken until media reports surfaced. The District Mining Officer confirmed that the seized trucks carried fake papers and were found overloaded. The revelations have once again raised questions over corruption and weak enforcement in Jharkhand’s coal belt.
Also Read: Jharkhand High Court Warned Government of Strict Oder in Panem Coal Illegal Mining Case
Join the WhatsApp Group of Business Jharkhand to Stay tuned for all the latest updates of industrial-political developments in Jharkhand.
