The report of Justice M B Shah Commission of Inquiry on illegal Iron & Manganese ore mining in Odisha, which the center had kept under wraps, is finally out. The Union Ministry of Mines submitted the report to the Supreme Court of India which is hearing a public interest petition seeking extension of the commission’s tenure so that it can probe illegal mining in other states. The five-volume report details the extent of rampant illegal mining across the state. It has been estimated that the scam in Iron & Manganese ore mining is in just two districts namely Keonjhar & Sundargarh (Odisha) — worth more than INR 59,000 Crore.
Over all recommendation by the commission seems to be not in the favor of the industry. However, experts feel result will not be as bad as Karnataka & Goa.
Some of the key points which Shah Commission has put its recommendation is:
- Excessive mining resulted a loss of over INR 59,000 Crore to the government
- Mining- Contract, violation of Rule 37
- Exporters cheated railways by paying domestic freight
- Suggested e-auction of Iron ore in the state
- Suggested capping on Iron ore production and competitive bidding of mining leases
The Supreme Court is currently hearing the case and industrial experts feel that consequences will not be as bad as it had been in the case of Karnataka & Goa. However, if Shah Commission recommendation is accepted, it will impact mining industry in Odisha.
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