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FIMI Challenges Coal Mines Act Provisions in Supreme Court

Coal News - Published on Tue, 14 Jan 2020

Image Source: thestatesman.com
The Supreme Court sought a response from the Centre on a plea challenging the constitutional validity of some provisions of the Coal Mines (Special Provisions) Act on payment of compensation to allottees post de-allocation of blocks in 2014. A bench comprising Chief Justice SA Bobde and Justices BR Gavai and Surya Kant issued a notice to Ministry of Coal and Ministry of Law and Justice, seeking their response in four weeks.

The top court was hearing a plea filed by apex mineral body Federation of Indian Mineral Industries challenging the constitutional validity of the provisions of the Coal Mines (Special Provisions) Act, 2015, and the Coal Mines (Special Provisions) Rules, 2014, as they do not provide fair and equitable compensation in a time-bound manner to the prior allottees of the coal blocks consequent to de-allocation in 2014. The plea said "Issue directions that section 16 (1), 16 (2) of the Coal Mines (Special Provisions) Act 2015 are arbitrary, discriminatory, vague and unconstitutional to the extent they affect the rights of the prior allottees to get just, fair and adequate compensation for the investments in their respective coal blocks in a time bound manner.”

The plea alleged that the 2015 Act deprives the prior allottees of their properties without payment of compensation and sought directions that they be given fair and adequate compensation with respect to the land acquired for the purpose of developing coal blocks.

The petition contended that by taking advantage of the lacunae in the Act, in providing for specific timelines for disbursal of compensation, the Centre has deprived the prior allottees of their valuable properties without payment of any compensation.

Source :

Posted By : Rabi Wangkhem on Tue, 14 Jan 2020
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