Even as the Supreme Court on Monday reserved its ruling on the PIl on the large-scale illegal mining in Odisha, the State Government and a large number of mining lessees are staring at the possible closure of iron ore and manganese mines as the court hinted at a Goa-style ban on all mining in Odisha till the State Government sorts out the mess in the mining sector and grants fresh leases instead of allowing the miners to enjoy the deemed extension of their leases for years.
If the mood of the Forest Bench of the court, which heard the arguments on the PIl is any indication, the mining lessees as well as the State Government may find themselves in big trouble.
The Bench comprising Justices AK Patnaik, FMI Khalifullah and SS Nijjar appeared convinced when the petitioner’s lawyer Prashant Bhushan referred to the apex court’s earlier ban on mining in Goa and said there cannot be two different punishments for the same crime. The Bench also dismissed the claim by senior lawyer Pinaki Misra, who appeared on behalf of some mining lessees, saying there was no illegality involved in the mining operations in Odisha.
The findings of the Justice MB Shah Commission which established the prevalence of rampant illegal mining in Odisha is also likely to have a bearing on the court’s interim order, sources said.
The court’s Centrally Empowered Committee (CEC), which has submitted its report to the court after hearing from the State Government and the mining lessees, has found several mines operating under the deemed extension clause for years on end.
Currently in Odisha, 57 mines are operating under the deemed extension clause, which allows miners to run their operations even after the expiry of the original lease period, provided they apply for renewal 12 months before the date of expiry of the lease and if the same has not been expedited by the State or Central Government. At present, about 10 mines are operating under second renewal, 12 under third renewal and two under the fourth renewal applications.
This list includes six iron and manganese leases of Tata Steel and three of the SAIl’s and the leases held by Essel Mining, a mine owned by KJS Ahluwalia and two mines owned by State-owned Odisha Mining Corporation.
It may be noted that while giving its judgment in a case relating to iron ore mining in Goa, the court had said that all mining activities under the deemed extension clause after the end of the first renewal period of 20 years are illegal.
The Justice MB Shah Commission had also recommended closure of all illegal mining operations and collection of the penalty amounts imposed on the defaulters. It also favoured a CBI probe into mining and for restoration of re-vegetation of the natural surroundings affected by mining.