BHUBANESWAR: Even as the state government has assured the Supreme Court to recover penalty to the tune of Rs 2,622 crore from defaulting mining companies for extracting excess minerals, it will be well nigh impossible to accomplish as the miners have no assets worth seizure.
The Keonjhar district administration had made an attempt in 2021 to confiscate movable and immovable property of six mine owners under Odisha Public Demands Recovery Act, 1962 after they failed to pay the penalty within a reasonable time as per the Supreme Court order in 2017. Of the six defaulters, five mine owners owed Rs 2,215 crore to the state government towards penalty.
Sources in the mining industry said the defaulters are in no position to pay the penalty after losing their mines which were auctioned after expiry of the lease period before March, 2020. After auction of the mines and transfer of all assets to the new leaseholders, the defaulting firms have no tangible assets that can be attached by the state government.
A report submitted by the central empowered committee (CEC) in January 2018 to the apex court, had pegged the total compensation to be paid by illegal miners towards violation of environmental clearance at Rs 17,417.99 crore and further compensation for violation of forest clearance at Rs 1,756.39 crore making a total of Rs 19,174.38 crores from 131 mining lease holders.
The state government further informed the apex court that none of the defaulting firms were allowed to participate in the past auctions and will not be permitted to participate in future auctions too.On the Supreme Court seeking the Centre’s view on a cap on iron ore production in Odisha as was done in Goa and Karnataka, sources in the Steel and Mines department said the Centre has targeted to increase the steel output to 300 million tonne by 2030. Odisha being a major iron ore producer has been given a target to ramp up the ore production to 100 million tonne. The apex court has given eight weeks time to the Centre to take a view on the issue and submit its response through an affidavit.