UPA Government chose Mr. Vasudeva for appointment as CMD of ONGC in October 2010. But then his vigilance clearance was rejected by the Central Vigilance Commission (CVC). Undeterred, the UPA Govt again sought his vigilance clearance for the second time. His clearance was again rejected by the CVC relying upon the reports of the CVO (Annexure C). Despite this, UPA Government appointed Mr. Vasudeva as the CMD of ONGC in October 2011 (either without vigilance clearance or by seeking the clearance for the third time).
It was due to the valuation report given by Mr. Vasudeva that ONGC did not exercise its right of first refusal and allowed the lucrative Rajasthan oil block held by Cairn Energy to be sold to Vedanta. It is now clear that the valuation was rigged & undervalued, and the ONGC ought to have exercised its right.
During his tenure he favoured RIL by allowing them to extend into ONGC fields and extract natural gas (Annexure D). A petition in Delhi HC is also pending regarding the favours extended by Mr. Vasudeva to the KG basin gas block.
Now the UPA Government (particularly petroleum minister Mr. Veerappa Moily) wanted to further extend his tenure by at least one year.
His file for vigilance clearance was submitted to CVC. CVC stated that there are 6 cases pending against him in the Ministry that have not been taken to their logical conclusion. CVC has also pointed out that Dr. Furquan’s petition is pending in Delhi HC relating to KG Basin and that CVC itself has sought a response from the Ministry on these issues.
But Mr. Moily over ruled the CVC and sought to give him the extension against the said recommendation without a vigilance clearance (Annexure E). Mr. Moily wrote to the Prime Minister stating “I therefore strongly recommend him (Mr. Vasudeva) to continue in the office at least for one more year” (Annexure F).
Mr. Moily forgot that it is absolutely illegal to make an appointment or grant extension for a senior position like that of a CMD of ONGC without a proper vigilance clearance from the CVC. After negative reports appeared in the media yesterday, it is now learnt that the Cabinet Committee has overruled Mr. Moily and has not extended the term of Mr. Vasudeva.
This development shows the extent to which Mr. Moily can go to appoint tainted officers in key positions, in order to serve the vested interests of this government and its favoured companies like Reliance.
The views expressed are of Aam Aadmi Party (AAP).
D K Sarraf appointed as new Chief of ONGC
