SC panel recomends cancellation of 49 mining leases in Karnataka

The Central Empowered Committee (CEC) today filed its final report on illegal mining in Bellary, Chitradurga and Tumkur districts of Karnataka recommending cancellation of 49 mining leases for "flagrant" violation of the Forest (Conservation) Act and other laws.

The 49 Mining leases include those of Mysore Manganese Co, Associated Mining, Matha Minerals, SB Minerals, LN Mining Co, Rajapura Mines, Milana Minerals, Thungabhadra Minerals Ltd and Mysore Minerals Ltd among others which are recommended to be cancelled spread over 1,914 hectares as they had collectively enchroached additional 895 hectares.

The CEC has told the court that "these [49] leases should be directed to be cancelled on account of being found to be involved in substantially illegal mining".

It further said that "as penalty or compensation, the entire sale proceeds received or to be received by way of e-auction of the existing stocks of iron ore should be retained by the monitoring committee and the R&R plan should be directed to be implemented at the cost of the lessee".

The CEC recommended that the mining available after cancellation of the 49 leases may be directed to be alloted the "end user" of the iron ore through a "transparent process of bidding" to the highest bidder.

"The iron ore production from such mines should be used for captive use only and no sale/export will be permissible," the committee added.