The Orissa High Court has allowed firms, whose rights ended on 31 March, to seek for more time to evacuate previously mined ore on grounds of Covid19 and force majeure.
KJS Ahluwalia, RP Sao, Kalinga Mining Corporation, Ghanshyam Misra and Serajjuddin, whose leases have since been auctioned to new lessees, have seven days to petition the state for more time. The Odisha government which had summarily rejected their earlier petition and moved to claim the remaining ore as its property has been directed to reconsider their petition within 45 days thereafter, according to a lawyer of one of the parties.
The order is yet to be uploaded.
The Odisha government had argued that ‘force majeure’ did not apply, that in fact mining was not just allowed but ensured as an essential service despite a nation-wide lockdown. A view that had been seconded by JSW Steel’s lawyer Harish Salve. The steelmaker now operates mines whose operations, it claims, have already been affected by the previous lessees’ operations. It is why JSW Steel has fallen short of its monthly targets, or so it has claimed in its response to government notices.
The HC is believed to have set aside Odisha government’s earlier order moving to seize the previous lessee’s material lying at mine site as on 31 October. It has also set aside the state’s unreasoned rejection – in one brief line – of their request for more time as not maintainable.
Meanwhile KN Ram, who has retaining rights to a deposit he mined until March 31, has been allowed 45 days to despatch a small amount of previously excavated ore.
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