Posco's PL recommendation does not violate poll code: Govt
The Orissa government today categorically stated that there was no violation of the model code of conduct to favour Posco India in its bid to get prospecting license for the Khandadhar iorn ore mines in Sundergarh district.
It termed the allegations made by Bharatiya Janata Party (BJP) in this regard as ‘baseless’.
“It was only a case of compliance and the approval of the chief minister was obtained to issue rejection letter to some applicants for prospecting license (PL)/mining lease (ML), whose applied area is coming within the 2500 hectares recommended for Posco”, Pradeep Amat, steel and mines minister, Orissa government said.
Clarifying the state government stand, the minister said, the government has recommended for grant of PL to Posco over 2500 hectares in village Kensara, Bhutuda, Rantha, Batagaon, Sareikala, Lusi and Raisuan under Bonai sub-division of Sundergarh district.
This recommendation was made for seeking prior approval of the Union government under provisions of section 5 (1) and 11 (5) of Mines and Minerals ( Development & Regulation) Act, 1956, as iron ore is a mineral specified in the first schedule to the act.
The PL recommendation favouring Posco India was made on 9 January 2009 and no way violated the model code of conduct, the minister asserted.
Amat said, Kudremukh Iron Ore Company Ltd. (KIOCL), Essar Steels Orissa Pvt. Ltd. and Mesco Kalinga Steel Ltd. have filed writ petitions in the Orissa High Court, which are sub-judice now. These companies were required to be issued rejection letters from the state government on their PL/ML applications, for which approval of the chief minister was obtained.
Earlier in the day, BJP sent a memorandum to the Chief Election Commission of India, alleging violation of the model code of conduct by the state government.
The party urged the Election Commission to stay operations of the order of the chief minister on 19 April 2009, which was only three days after the first phase and four days before the second phase polls in the state, favouring Posco with PL recommendations for iron ore mines. It also demanded appropriate penal action against the chief minister Naveen Patnaik and other officials in this regard.