State plods along in recovering mining loot

  • 30/05/2018

  • Herald (Panjim)

PANJIM: Not only has the State government not recovered even a miniscule percentage of the Rs 35,000 crore mining loot pointed out by Justice M B Shah Commission in its inquiry report on illegal mining in Goa, but the feeble attempt by Directorate of Mines and Geology (DMG) in issuing notices to 12 leaseholders for recovery of Rs 1500 crore in September 2017, has shown no results. Eight months after these notices were issued, not a single rupee has been received from the erring mining firms. What is further interesting is that, the Union Mines Ministry in October 2017, had directed all the mineral rich States in the country, including Goa, to recover the full value of minerals extracted illegally or without environment clearance, following a Supreme Court verdict in the Odisha illegal mining case. However, despite this, the Goa government has taken no action on the recovery front, while Odisha has begun recovery proceedings and also attached properties of mining companies. “DMG, along with Special Investigating Team (SIT), 15-member chartered accountants panel and legal experts, are working towards a roadmap to set off the recovery process. Department and SIT will evaluate the replies submitted by the leaseholders to the show cause notices issued based on the audit report of CAs,” sources at the secretariat told Herald. Speaking to Herald, Superintendent of Police (SIT) Kartik Kashyap said they are providing the required inputs, as far as losses are concerned to the government. “Yes, we are giving and will continue to give our inputs based on the investigation which we have conducted so far,” he stated. Goa Foundation, the petitioner in Supreme Court in illegal mining case, had even served a notice to Chief Secretary and Mines Secretary demanding that a process be initiated to recover losses from the miners, failing which they had warned to approach the Court. “I have not received any communication from the government and we are in process of approaching the Court for recovery proceedings,” GF director Dr Claude Alvares said. GF, however, has pegged total recovery amount to Rs 65,000 crore from the mine owners for undertaking illegal mining between 2007 and 2012. Besides, the Comptroller Auditor General (CAG) had exposed Rs 1900 crore illegal mining by lease holders between 2009 and 2016 in violation of the mining plan and Environment Clearances (ECs). The CAG had slammed the Union Ministry for Environment and Forest (MoEF), Indian Bureau of Mines (IBM) and DMG for failing to initiate any action against the violations in cases of unauthorised extraction of minerals resulting into loss of revenue of Rs 1904.63 crore to the State exchequer. Following the 2014 Supreme Court judgment that had termed iron ore mining post 2007 as illegal, the government had appointed 15 chartered accountants to undertake a comprehensive audit of lease holders and traders during the inquiry period and to examine the exact quantity of ore extracted, exported, amount of royalty paid, export duty, ore (if any) sourced from other State, etc. The chartered accountants’ panel had conducted an audit of 110-115 lease holders, but not of the traders as most were bogus. The Supreme Court in its latest judgment dated February 7, has nailed government for its failure on the issue. “We were handed over some sample show cause notices (about 12) issued in September and October 2017 and the figures are quite staggering – the demand raised being about Rs 1500 crores. Similarly, from the Summary of Mining Audit Report submitted by the auditors (and handed over to us by the learned Additional Solicitor General – for the period July 2016 to December 2016) the amount demanded (including interest) by the State of Goa from the mining lease holders through show cause notices issued is about Rs 1500 crore,” the SC had said. As such, it had directed the State Government to take all necessary steps to expedite recovery of the amounts said to be due from the mining lease holders pursuant to the show cause notices issued to them and pursuant to other reports available with the State of Goa including the report of Special Investigation Team and the team of Chartered Accountants.