A special Central Bureau of Investigation (CBI) court in Delhi has acquitted former Coal Secretary H.C. Gupta, along with two other former officials, K.S. Kropha, who was the former Joint Secretary (Coal), and K.C. Samaria, the then Director of Coal Allocation, in a high-profile coal scam case dating back to 2012. The case concerned alleged irregularities in the allocation of the Mahugarhi coal block in Jharkhand.

While the three former bureaucrats were acquitted, Special Judge Sanjay Bansal convicted JAS Infrastructure Capital Ltd and its then director, Manoj Kumar Jayaswal, for cheating and criminal conspiracy in connection with securing the coal block. Arguments regarding the sentencing of JAS Infrastructure Capital Ltd and Manoj Kumar Jayaswal are scheduled for July 8, 2025.

According to the CBI, this marks the 19th conviction in coal block allocation cases investigated by the agency. The CBI's initial investigation had led to a closure report in the case on November 20, 2014. However, the special court later took cognizance and framed charges against Jayaswal, Gupta, Kropha, and Samaria.

The allegations against JAS Infrastructure Capital Pvt. Ltd. and its director, Jayaswal, centered on the claim that they misrepresented and concealed facts in their application to secure the Mahugarhi coal block. The CBI stated that the company made false and misleading claims about its financial net worth and misrepresented the appraisal and syndication of debt by financial institutions. It was also alleged that the company deliberately concealed material facts concerning previous coal block allocations to other associated companies.

Specifically, JAS Infrastructure Capital Pvt. Ltd. was accused of dishonestly projecting the net worth of unrelated third-party companies—Inertia Iron & Steel Industries Pvt. Ltd. and IL&FS—as its own, both in its application and during a presentation before the Screening Committee for the allocation of the Mahugarhi Coal Block. The CBI argued that this fraudulent claim was crucial in enabling the company to pre-qualify for the recommendation of the Union Ministry of Power.

This acquittal marks Gupta's second in coal block allocation cases. He has, however, been convicted in five other related cases, and his appeals are currently pending before the Delhi High Court. The CBI has also challenged his earlier acquittal in the first case. Of the 19 cases filed against Gupta by the CBI, 12 are still pending before trial courts. Data indicates that 29 corruption cases filed by the CBI related to the coal allocation scam are currently pending before two special courts established to handle these matters, while 27 cases have been disposed of thus far.