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State collects Rs 8,200cr as illegal mining penalty

Updated: December 31st, 2017, 23:10 IST
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Bhubaneswar: The state government has collected `8,200 crore as compensation from mining lease holders for the illegal extraction of iron and manganese ores between 2000-01 and 2010-11. The government could only collect around `8,196 crore as penalty from the mining lease holders against a demand for Rs 17,576 crore.

Based on the August 2, 2017 order of the Supreme Court, the government had issued demand notices for Rs 17,576 crore to 152 iron ore and manganese lessees for illegal mining. However, the state received only around Rs 8,200 crore till Sunday late evening, sources said.
The exact amount paid by the lease holders can be known January 1 as the final figures will take some time to reconcile, the sources said.
The government has issued demand notices to the lease holders accordingly. It had warned that mining operations would be suspended if they fail to pay the entire amount.
Though the government has not yet published official figures regarding the penalty collected, figures collected from mining circles said the highest amount of Rs 4,318 crore was collected from Joda circle against a demand for Rs 12,222 crore.
Similarly, Rs 2,450 crore was recovered from the Koira circle against a demand for `3,395 crore. While around Rs 561 crore was recovered against a demand for `843 crore from Keonjhar circle, `119 crore was collected from Baripada circle. The Jajpur Road circle paid the full demanded amount of Rs 749 crore.
Mining operations would be suspended Monday as some of the lease holders of the working blocks failed to pay the penalty imposed on them, Steel and Mines Minister Prafulla Mallik had said earlier.
As the penalty was recovered according to a SC order, the government is expected to file a status report in court by January 4.
Hitting out at the government over the huge irregularities in mining operations, Union Minister Dharmendra Pradhan urged the government to publish details of the penalty recovered from mining lease holders.

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