After SC verdict, Odisha decides to ask errant miners to pay Rs 17,500 crore penalty | india-news | Hindustan Times
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After SC verdict, Odisha decides to ask errant miners to pay Rs 17,500 crore penalty

The Supreme Court had said there has been illegal mining, the defaulting lessee must bear the consequences and not be benefited by pocketing 70% of the illegally mined ore.

india Updated: Aug 08, 2017 22:58 IST
Debabrata Mohanty
The Supreme Court said the errant leaseholders pay up by December 31, 2017.
The Supreme Court said the errant leaseholders pay up by December 31, 2017. (Arabinda Mahapatra/ HT File Photo)

Less than a week after the Supreme Court ordered that the entire price of illegally mined ore from the mineral-rich districts of Odisha be recovered from the leaseholders, the state government on Tuesday decided to issue notices in 10 days to them to collect penalty of Rs 17,567 crore.

Calling the Odisha mining scam as rapacious and one involving megabucks while disposing a writ petition filed by NGO Common Cause, the Supreme Court said last Wednesday, “... If there has been illegal mining, the defaulting lessee must bear the consequences and not be benefited by pocketing 70% of the illegally mined ore. It simply does not stand to reason why the State should be compelled to forego what is its due from the exploitation of a natural resource and on the contrary be a party in filling the coffers of defaulting lessees in an ill gotten manner.”

The apex court directed that the errant leaseholders pay up by December 31, 2017.

Odisha chief secretary Aditya Padhi said the centrally empowered committee of the Supreme Court that looked into illegal mining had assessed the total notional value of minerals produced without an environmental clearance or in excess of the environmental clearance at Rs 17,576.16 crore.

“The SC had made it very clear that they agreed with the CEC stand. So there was no confusion on the penalty amount,” Padhi added.

Incidentally, the Odisha government sent demand note to more than 100 mining companies in November 2012 asking them to pay up over Rs 68,000 crore for excess mining between 2000 and 2010. So far only two of those companies have paid Rs 69 lakh, while the rest have gone on appeal before the mining tribunal.