New Delhi The axe is likely to fall on about two dozen captive coal block allottees that feature in both the CAG list of companies making windfall gains and the list of entities that were issued show-cause notices by the coal ministry last year for sluggish progress on their respective projects.

Prominent companies, including Tatas, Essar, ArcelorMittal, GVK Power, Hindalco, Grasim Industries, JSW and Bhushan Steel, feature in the list where the coal ministry feels that allocations should be cancelled unless valid ground for delay is established. The ministry has already issued show cause notices to around 58 captive coal block allottees and about 20-24 of them also feature in the CAG list that is being targeted by the ministry for first round of cancellations.