Proposed mining lease to global giant Tata Steel in 1,808 hectares of thick forests of Saranda in Jharkhand should be made “inviolate area” and be included into conservation reserve, Justice M B Shah Commission has recommended.

“Tata Steel has been granted prospecting license in Gua for 1,808 hectare ... The Commission strongly feels that there is no need to further grant the lease, for which prospecting license has already been given. The area should be made inviolate area and shall be included in the proposed conservation reserve under Wildlife (Protection) Act, 1972,” it has recommended in its latest report on illegal mining.

Warning of irreparable damage to ecology and cautioning that the zone is one of the finest elephant habitats in the country, the Commission said Tata Steel has already eight mines in Odisha covering 4,945 hectares of land and “average yearly expected production of 22.91 million tonnes per year.”

It said, “Tata Steel is also having a lease over an area of 1,160 hectare in Noamundi Reserve forest of West Singhbhum district with a permitted quantity of 10 million tonne (MT) per year (total 32.91 MT per year).”

Also, the report tabled in Parliament last week mentions that the company has already acquired 6,150.5 hectares of leased area in relaxation of some sections of Mines and Minerals (Development) and Regulation Act, 1957.

If such leases are allowed “the Saranda forest would be fragmented into pieces of lands,” it said.

None of Tata Steel officials could be reached for comments in this regard.

The Commission has reported illegal mining worth over Rs 22,000 crore in Jharkhand by big and small firms and has suggested recovery of amount from the firms.

Alleging “flagrant misuse” of rules, the commission has also suggested cancellation of leases and punishing errant officials, who colluded with the miners.

The MB Shah Commission, appointed to probe on illegal iron and manganese ore mining, found big corporates like Tata Steel, SAIL and Essel Mining as well as medium and small firms such as Usha Martin and Rungta Mines guilty of wrongdoings and violation of rules.

It said these companies “illegally” extracted iron ore and manganese worth Rs 14,541 crore in Jharkhand and this amount should be recovered from them.

The Centre-appointed Commission of Inquiry’s report said the companies were mining in as many as 40 leases in West Singhbhum, including Saranda forests, in violation of rules and regulations between 1994 and 2006.

Also, it said 18 leases were running under deemed extension without having environment approvals and 22 were carrying mining in violation of norms.

The Commission also said there is a difference of 53.41 MT of iron ore production in the figures of Indian Bureau of Mines (IBM) and state government data.

The “mineral value of such difference of quantity of ore comes to about Rs 8,685 crore” which might have been sold to the nearby illegally operated crusher holders.

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