The Supreme Court today said huge investment made by companies in coal blocks without getting clearance cannot be a ground for not cancelling licences and asked the Centre to respond whether it intends to de-allocate such allocations. A three-judge bench headed by Justice R L Lodha said that the companies which invested money on blocks without getting

all clearances took the decision at their own risk. The Bench said, these companies must suffer consequences no matter how much investment has been made by them. It said, the alleged illegality cannot be compounded. The bench said this when the Attorney

General contended that around two lakh crore rupees have been invested in such blocks and it will be difficult to cancel the licence for want of clearances.

The apex court said any investment made in anticipation of clearances cannot be justified and such blocks cannot be protected if the companies fail to get clearances within a time frame fixed under the law. The court asked the Centre to respond whether it intends to de-allocate such allocations.