Odisha miners move to Court on stamp duty issue

Tata Steel,SAIL,MCL and FIMI file separate petitions

Bhubaneswar:
After their failure to convince the Odisha government for a relaxation, miners
in Odisha have to knock the High Court's door against the state government's
decision to levy stamp duty.While Tata
Steel has already gone to the Odisha high court on Saturday, mining lobby group, Federation of Indian Mineral Industries (FIMI), public sector steel giant
SAIL and Mahanadi Coalfields Ltd (MCL) have filed separate petitions in the
high Court today against the state government's move.

The
miners in their petition have urged the High Court to nullify the Odisha
government order for collection of stamp duty. The High Court has stipulated
tomorrow to hear the cases.

Last
week, the state government had instructed the District Collectors to collect
stamp duty from the mines operating under deemed extension by 9^th of
this month or take steps to close down mining operation.

The
miners have complained that they have not received any notice with specific
amount to be paid regarding stamp duty. “The government has not calculated any
specific amount to be paid. In this case, it is not possible for us to pay the
stamp duty in such a short time period” said Prabodh Mohanty,spokesperson of
Eastern Zone mining Association.

On
the other hand SAIL Chairman C.S.Verma has said that the company will request
the state government to let the company to continue mining. He said this after
his meeting with the Odisha Chief Minister Naveen Pattnaik today. SAIL's
Bolani, Barsuan and Kalta iron ore mines will be affected if the July 9
deadline is imposed .

According
to the formula to calculate stamp duty on the basis of the Indian Stamp (Odisha
Amendment) Act, 2013 and Odisha Stamp Rules, 1952 as amended by the amending
rules of 2013 , the mining Industry have to pay as much as Rs.50,000 crore  to the government. Also if mining operation
stops by Wednesday, it will be a big jolt, not only for the mining Industry,
but for the Steel, Aluminium and the Power Industry also.

Reported by Tapan Moharana