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NMDC fined Rs 1,620.5 crore for alleged mining law violations in Dantewada, Chhattisgarh.
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The penalty was imposed for violating mining rules and regulations in iron ore mining leases.
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NMDC terms the move “completely inappropriate” and plans to challenge the decision.
The Dantewada administration has imposed a hefty penalty of Rs 1,620.5 crore on the National Mineral Development Corporation (NMDC) for alleged violations of mining laws. The penalty was imposed for violating section (4)(1) of the Chhattisgarh Mineral (Mining Transportation and Storage) Rules, 2009, and other regulations.
NMDC has mining operations in the Bailadila hills in Kirandul and the Bacheli area of Dantewada in Chhattisgarh. The district administration had issued show cause notices to NMDC, which were deemed unsatisfactory, leading to the imposition of the penalty. NMDC has termed the move “completely inappropriate” and plans to challenge the decision.
The penalty amount is based on the market value and royalty of the mineral extracted. NMDC has been directed to deposit the penalty amount within 15 days. The move is seen as a crackdown on mining law violations in the region.
