The Coal ministry has slapped show cause notices on Rungta Mines and Kohinoor Steel for delaying production from Mednirai coal block in Jharkhand.
In letters to both companies, the ministry asked them to reply within a period of 20 days, as to why there has been a delay in the development of the coal block, and why this should not be held as a violation of the terms and conditions for allocating the Mednirai coal block, and why the coal block should not be de-allocated.
The ministry has also asked both companies to furnish a detailed status note on the progress of end use plant for which the coal block was allotted. The decision to issue show cause notice was taken after the recommendation of the Inter-Ministerial Group.