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Odisha collects less than half penalty from iron ore miners

Mining News - Published on Tue, 02 Jan 2018

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Local media reported that the Odisha government has fallen short of the target of realizing Rs 17,576 crore as compensation from mine owners guilty of violating forest and environment laws. These mining lessees had illegally extracted iron and manganese ore between 2000-01 and 2010-11. The total amount it could manage till December 31, the deadline stipulated by the Supreme Court, was INR 8,223 crore. The shortage is to the tune of INR 9,353 crore. The Odisha government on Monday issued notices to seven mine leaseholders, who had failed to pay the fine, to stop operations in tune with the court order.

The mines that have stopped working include the state-run PSU Idcol's Roida mine, Essel's Koira mine, Mideast's Roida Mine, Serajuddin Co's Balda mine and mines of Omm Crop Resources, National Enterprises and Nesco. These seven had arrear dues to the tune of around INR 4,000 crore to the Odisha exchequer.

Odisha steel and mines minister Prafulla Mallick said: "The Supreme Court is directly monitoring the case. We have already issued notice to these mines to stop operations." He also made it clear that the money collected from the lessees would be used to develop the mining areas.

Mines director Deepak Mohanty said: "We have asked 131 leaseholders to pay penalty. Of them, 72 mine leaseholders, including 43 with working mines, paid the fine. Seven working mines that had failed to pay the fine stopped operations since Monday morning following orders."

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Posted By : Rabi Wangkhem on Tue, 02 Jan 2018
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