The Hindu : Karnataka News : Govt. may attract court's ire in KIOCL case

Online edition of India's National Newspaper
Saturday, Feb 26, 2005

Karnataka

Karnataka

Govt. may attract court's ire in KIOCL case

By Alladi Jayasri

BANGALORE, FEB. 25. A few days ago, Kudremukh Iron Ore Company Ltd (KIOCL), which has been directed by the Supreme Court to close operations and move out of Kudremukh National Park by December 31, appealed to the State Government to extend the deadline by two years. KIOCL wants the Government to allow it to expand operations over 370 hectares subsequent to the extended period.

After the meeting, the Chief Minister, N. Dharam Singh, announced that a committee headed by the Chief Secretary, K.K. Misra, will study the issue, assess the environmental impact of mining in the forest, consider the tribal resettlement issue and the growing presence of naxalites in the neighbourhood and "recommend" to the Centre to consider KIOCL's request.

Orders binding on Govt.

The Law Department sources told The Hindu that there is no scope for such recommendations since the Supreme Court's orders are final and binding and the State Government may have to brace itself for another reprimand from the apex court and the Central Empowered Committee set up to deal with forest and wildlife-related cases.

An intriguing situation has arisen now, sources say, as the Government's announcement will amount to disregarding the orders of the Supreme Court and reneging on its commitment made in affidavits filed before the court in relation to the continuance of KIOCL within the National Park.

Strictures

The Government got severe strictures in the report of the Comptroller and Auditor-General of India for the year ended March 2003 for failing to book KIOCL for offences or for failing to recover damages from the company on various counts after slapping on it cases and fines to the tune of Rs. 139 crores.

KIOCL was first told in 2001 to wind up operations by the December 31, 2005. Since then it has been trying to get a temporary extension, a full time lease, which has not gone down well with the Supreme Court. In October 2002, the Supreme Court rejected KIOCL's plea to continue mining for 20 more years and shot down suggestions of granting additional areas. And in the broken up area of 1,452 hectares, KIOCL was allowed to remain until December 31, 2005.

The Ministry of Environment and Forests, the State Government and KIOCL are to work out modalities for closure of operations under the supervision of the Central Empowered Committee.

Again when KIOCL sought relief on the basis of changes made in Mining Concession Rule 23-C that covers mine closure plans, the Supreme Court categorically directed that those rules will not override its directions and reprimanded KIOCL saying it ought to have gone before the Central Empowered Committee.

Final notification

While considering the public sector mining company's request, the State Government attracted the Supreme Court's ire first in 2001 when it chose to exclude the 3,500-odd hectares held by KIOCL from the final notification of the KNP. After the Supreme Court questioned it, the Government did a U-turn to include mining area in the national park. It gave an undertaking in an affidavit that it is not interested in continuing mining there as it is inimical to the biodiversity and conflicted with the objectives of the Wildlife Protection Act and the Forest Conservation Act.

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