Keonjhar: The administration has collected huge sums as penalty from various errant mining firms in Keonjhar district, but the funds are not being unused for development works, a report said.
The government is collecting penalty from mines which indulge in illegal activities. The Supreme Court had directed the governments to utilise the penalty funds for development and welfare activities in mining-affected districts.
“Sadly, the penalty fund is not being utilised for development of the district,” alleged Keonjhar Nagarika Manch, a local outfit working for development of the district.
The outfit has demanded that immediate steps be taken for the proper utilization of the fund.
The outfit has sent a letter to the Governor, seeking his intervention in this matter. “This fund should be utilised for tribal-dominated and mining-affected districts like Keonjhar, Sundargarh and Mayurbhanj,” the outfit has said.
It was learnt that by November 28, 2018, the government has collected Rs 13, 933 crore as penalty from 50 errant mines in Keonjhar, 40 mines in Sundargarh and four in Mayurbhanj.
Keonjhar alone accounted for Rs 10,660 core as penalty from errant mines. Keonjhar had reported the highest ever illegal mining and massive ecological damage by mining.
The apex court had ordered for utilisation of such funds so as to compensate for the loss in every field affected by mining activities. Following the order, the Odisha Mineral Bearing Area Development Corporation (OMBADC) Fund was constituted. The penalties were deposited in the OMBADC Fund.
In the first phase, the board of directors of the OMBDAC lent Rs 402 crore out of Rs 869 core to the state government for construction of houses under the Biju Pucca Ghar Yojana in 2016.
It was said that these funds had been utilised for the welfare of tribals and development of their areas, but it was alleged that there has been discrepancies in utilisation of funds.
In the second phase, the board of directors of the OMBDAC at its 18th meeting lent Rs 16, 526 crore to the state government as loan instead of spending it in the development of the mining-affected areas, the outfit pointed out.
“Granting loan to the state government from OMBDAC Fund is unfortunate,” said Kiran Shankar Sahu, president of the outfit.
He urged the Governor to take immediate measures for utilisation of this fund.
PNN