The days are numbered for iron ore mining companies involved in illegal transactions in Karnataka. Some of the mining companies that are already suffering heavy losses with the stoppage of exports for over 14-odd months and regular mining in the last two months are now on the verge of losing their mining leases.
Acting on the recommendation of the Supreme Court-appointed Central Empowered Committee (CEC), which has found large-scale illegal mining in the state, the Department of Mines and Geology (DMG) has suggested the state government the cancellation of mining leases of 24 companies.
According to official sources, the mining companies that are facing closure are: J M Vrushabhendraiah, Trident Minerals, S L Jairam, S B Minerals (two leases), Shaiksab, Veeyam, K M Parvathamma, Mansoor Ahmed, MBT, Hind Traders, Rajapur Mines, LMC, DMS, Adarsha, Sparkline, R M Poal, Shiva Vilas, Karthikeyas, Matha, N Rathnaiah, BRY Singh, AMC and Janthakal. The last four mines are presently awaiting renewal of their leases. Of these mines, 22 companies are in Bellary district, while two of them are in Tumkur district.
In its report to the apex court, the CEC stated mining operations in the leases found to be involved in illegal mining may be allowed only after the damaged area is physically reclaimed and rehabilitated.
“It is imperative that in respect of the mining leases found to be involved in substantial illegal mining, in addition to the requirement of carrying out the reclamation and rehabilitation of the damaged area and penalty or compensation for carrying out illegal mining, the state government initiates proceedings for the cancellation of the mining leases,” M K Jiwrajka, member secretary, CEC said.
The second and final report of the former Karnataka Lokayukta, Santosh Hegde, had also found illegal dealings in the case of many of these mines including AMC—which belongs to former Karnataka tourism minister G Janardhan Reddy, who is now lodged in CBI jail in Hyderabad.
Following the Supreme Court order dated May 6, a joint team comprising senior representatives of the forest department and the DMG, representatives of Lokayukta and members of CEC have completed the survey and demarcation of 101 mining leases in the state.
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The joint team has so far decided the cases of 101 mining leases in Bellary district, of which 69 mining leases have been found involved in illegal mining. The team has found that 18 mines were abandoned or non-working (no illegal mining found), the remaining 14 mining leases were working within the legal framework.
The joint team is expected to complete the entire work related with field survey and the finalisation of the sketches of districts of Bellary, Chitradurga and Tumkur by November 15.
The CEC, in its note dated August 5, had recommended that the mining leases cleared by the joint team and the mining lease of NMDC, MML and SMIORE may be allowed to resume mining operations.
“It may be appropriate to allow resumption of mining operations, in the leases cleared by the joint team, only after the macro environment impact assessment plan and reclamation and rehabilitation plan are prepared by the Indian Council of Forestry Research and Education and the state government, respectively, and approved by the apex court.