Karnataka CM Claims Mining Lease Renewal Allegations Are Misleading
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Synopsis
Karnataka Chief Minister Siddaramaiah defends against allegations of mining lease renewal causing state losses, asserting ongoing confusion surrounding the issue. He emphasizes that no financial loss occurred and urges the public to resist malicious political conspiracy theories.
Key Takeaways
- CM Siddaramaiah claims confusion over lease renewals is deliberate.
- Eight mining companies' approvals were canceled post-2015 ordinance.
- No mining rights granted to companies lacking clearances.
- Previous complaints lacked merit and were dismissed.
- Political motivations behind renewed scrutiny of the issue.
Bengaluru, April 9 (NationPress) Karnataka Chief Minister Siddaramaiah has responded to accusations regarding the renewal of mining leases that allegedly resulted in a financial loss of thousands of crores to the state. He emphasized that there is a continual effort to sow confusion about mine lease renewal.
In his statement on Wednesday, he pointed out that misinformation campaigns have been rampant since he took office. CM Siddaramaiah accused certain malicious entities of intentionally misguiding the Raj Bhavan.
Regarding the eight mining companies in question, the Chief Minister explained: "Prior to 2015, the MMDR Act of 1957 permitted the renewal of mining leases for up to 20 years. The government had granted conditional in-principle approval solely for the purpose of obtaining forest clearance for lease renewal based on that provision."
However, the Central government amended the MMDR Act through an ordinance on January 12, 2015.
After this amendment, a comprehensive review was carried out, and on February 9, 2015, it was concluded that the conditional in-principle approvals given to eight companies for mine lease renewal were invalid. These approvals were subsequently annulled, and the government was directed to follow the revised act, CM Siddaramaiah stated.
Later, the Mines Department's proposals for deemed lease extensions were scrutinized according to legal protocols. Following a directive from the Supreme Court, the state government canceled one case without considering a deemed extension, he noted.
For the other seven cases, deemed extension letters were issued with stringent conditions—companies were required to submit necessary forest and environmental clearance documents, settle outstanding dues, and comply with final reports from investigations conducted by the CBI and SIT, CM Siddaramaiah mentioned.
"Among these seven companies, two have not provided the necessary legal clearances. Therefore, no mining rights have been granted to them. Of the remaining five cases, three were awarded mining lease rights during the BJP's administration in 2020 and 2021. The other two received conditional deemed extension lease rights through supplementary lease deeds in 2016 and 2018. Consequently, the government has not suffered any financial loss, and no iron ore has been extracted during this timeframe," CM Siddaramaiah affirmed.
Previously, opposition parties and individuals filed complaints about this issue with various agencies. All complaints were dismissed due to a lack of merit, he said.
This issue was also discussed in the Assembly. On January 14, 2018, H.D. Kumaraswamy, now the Union Minister of Heavy Industries and Steel, even conducted a press conference regarding this matter, CM noted.
However, none of these cases held any merit. All eight were processed according to the provisions of the amended ordinance. Expired mining leases were subsequently auctioned following the rules, he reiterated.
CM Siddaramaiah highlighted that there is now a politically motivated effort to resurrect this issue after nearly a decade.
He urged the people of the state not to succumb to such malicious political conspiracies intended to mislead public opinion with unfounded allegations.
Earlier, a complaint accusing corruption in mining contract renewals was lodged with Karnataka Governor Thaawarchand Gehlot on Wednesday, targeting Chief Minister Siddaramaiah.
Social activist Ramamurthy Gowda submitted the complaint, requesting the Governor to authorize prosecution against CM Siddaramaiah in this matter.
This development gained importance as sources confirmed that Governor Gehlot, after listening to the complainant for three hours at the Raj Bhavan, has forwarded the complaint along with related documents to legal experts for assessment. The Governor has also sought the Solicitor General's opinion on the issue.
The complaint alleges that CM Siddaramaiah received kickbacks of around Rs 500 crore from the renewal of mining licenses for eight companies operating in the state. The complainant contends that during his first term in 2015, CM Siddaramaiah renewed the licenses of these eight mining companies instead of opting for auctions.
Gowda further claims that CM Siddaramaiah's decision led to a loss of approximately Rs 5,000 crore to the state.
This amount would have been generated as royalty had CM Siddaramaiah pursued auctions. Additionally, the complainant alleges that licenses were renewed for companies under investigation for a mining scam.
