Chhattisgarh district imposes Rs 1,620 crore penalty on NMDC, miner contests levy
Chhattisgarh's Dantewada administration has imposed a penalty of Rs 1,620.5 crore on the National Mineral Development Corporation (NMDC) for alleged violations of mining laws in the district. NMDC, a central public sector unit, has called this move «completely inappropriate,» claiming that the penalty was levied «solely and blindly without considering the facts and circumstances in the case.»
The NMDC operates mining activities in the Bailadila hills, encompassing the Kirandul village under the Bacheli tehsil of Dantewada. Dantewada collector Mayank Chaturvedi directed the NMDC to deposit the penalty within 15 days, as per a letter dated August 29, Press Trust of India reported. The collector stated that the NMDC's clarifications in response to the show cause notices issued by the district administration were unsatisfactory.
According to the letter, the NMDC violated Chhattisgarh mining excavation, transportation and storage rules. NMDC has contested this penalty. The NMDC, in a statement, claimed the Dantewada collector proposed to levy penalty and compensation to the tune of Rs 1,620.5 crore for alleged transport of iron ore without a railway transit pass (RTP), and thereby alleging contravention of the various provisions of different mining laws.
“It is respectfully submitted that the levy of compensation and penalty by way of impugned notice for demand of penalty and compensation solely and blindly without considering the facts and circumstances in the present case is completely inappropriate,” the NMDC
