Mining mafia causes Rs 200-cr loss to exchequer annually

The illegal mining activity, perpetrated by mining mafia in iron ore rich Keonjhar district, is causing a revenue loss of over Rs 200 crore to the state exchequer annually.

This is stated in a letter written by two Congress MLAs to the chief minister Naveen Patnaik.

The two MLAs, Nihar Ranjan Mahananda (Attabira) and Jogesh Kumar Singh (Sundergarh), alleged that the mining mafia led by Sanatana Mahakud of Bamebari area has taken control of more than 10 mines in Joda mining circle in collusion with raising contractor Triveni Earth Movers.

The group is engaged in clandestine raising and selling of over 10 million tonne of ore per annum causing a loss of more than Rs 200 crore to the state exchequer.

The letter further said, Sanatana Mahakud and his supporters have stopped the operations of public sector mines like Steel Authority of India Ltd (SAIL) and Orissa Mining Corporation (OMC) in the area.

Besides, the mining mafia in the past two years has disrupted the public hearings of more than 10 mines including that of SAIL in their effort to take over the mines.

Stating that this illegal mining activity in Keonjhar district is being actively facilitated by some members of the ruling party, the Congress MLAs urged the chief minister to initiate criminal proceedings against Sanatana Mahakud and Triveni Earth Movers. “This would go a long way in curbing illegal mining in the state”, they added.

It may be noted that in May, the BJD MLA Debasis Nayak had brought to fore allegations pertaining to the unholy alliance between mining contractors and political personalities in Keonjhar and Sundergarh districts. Similar allegations were also raised by Anandpur MLA Bhagirathi Sethy.

In a letter to the chief minister on May 19 this year, Nayak had alleged that Triveni Earth Movers Ltd in collusion with Sanatana Mahakuda, who unsuccessfully contested the assembly elections from Champua constituency, is leading the mining mafia in Keonjhar and Sundergarh districts.

Both Triveni Earth Movers and Mahakuda have forcibly taken over the mining operations of several mines in these two districts illegally and local mine owners have been forced to give their consent under gun point, Nayak said in the letter.

Nayak pointed out that majority of illegal movement of minerals is being done with the active facilitation of this mafia group.

According to Nayak's letter, all the 12 mines of five lesses- Kalinga Mining Corporation (Jalhari-Joda), Serajuddin & Co (Belda), D R Patnak (Murga), TV P Roy (Guali), Indrani Patnaik (Unchabali) and K J S Ahluwalia (Guali) in Keonjhar and Sundergarh districts are being mined by Triveni Earth Movers Ltd.