Mines Tribunal verdict on excess lifting

The Mines Tribunal, set up under the Ministry of Mines of Central government, has completed hearing in the excess mineral lifting case, filed by Gandhamardana Sponge Iron Ltd (GSIL) and is expected to pronounce the judgement in this regard soon.

The judgement will be closed watched by industries in the mining sector as it will determine whether the action taken by the government Orissa on excess lifting of minerals is appropriate or not.

According to a report submitted by the Orissa government, there are about 104 miners who excavated minerals more than approved by the Indian Bureau of Mines (IBM).

GSIL is in the dock for excess raising of 2.51 million tonnes of iron ore at its Putulipani iron ore mines spread over 100.16 hectares in Keonjhar district during April 2004 to August 2009.

The Comptroller and Auditor General (CAG) in its report had observed that in respect of this glaring violation, the lessee was liable to pay Rs 216.69 crore to the government.

The GSIL has already appealed the Central Revisional Authority about granting stay order against the Government of Orissa decision on slapping fines.

Orissa which has been blaming the IBM for failing to take action against the errant lessees had recently got a setback from the Centre on the matter. The mines ministry pointed out, the situation has arised from the failure of state machinery to curb movement of illegally mined ore.