Sarda Mines Directed To Pay Over Rs 2056 Crore Compensation For Excess Iron Ore Production

Bhubaneswar: In a major development, the join director of mines in Keonjhar district has directed Sarda Mines Pvt Ltd. to pay over Rs 2056 crore as compensation for production of iron ore beyond environment clearance.

The company has been asked to pay Rs 2056,38,43,567 compensation under Section 21 (5) of MMDR Act, 1957 for the monthly excess production on pro-rata basis of in excess of the Environmental Clearance.

Show cause notices were issued to the company on October 6 last year and January 7, 2021 for the excess production. In response to the show cause notices, the company had submitted a reply on January 25. However, the mines directorate found the reply not satisfactory.

The company has been directed to make the payment of the compensation through the online portal of Directorate of Steel and Mines (i3MS) and the treasury application (IFMS, Odisha) into the designated bank account in the public account of the State government.

(Edited By Suryakant Jena)