THE MINISTER OF STATE (INDEPENDENT CHARGE) FOR MINES (SHRI DINSHA PATEL)
(a) and (b): The Government has appointed Shri Justice M. B. Shah Commission
of Inquiry under the Commission of Inquiry Act, 1952 to inquire into the large
scale mining of iron ore and manganese ore without lawful authority in several
States vide Notification S. O. 2817 dated 22nd November, 2010. The Terms of
Reference of the Commission of Inquiry are:
i. to inquire into and determine the nature and extent of mining and
trade and transportation, done illegally or without lawful authority, of
iron ore and manganese ore, and the losses resulting there from; and to
identify, as far as possible, the persons, firms, companies and others that
are engaged in such mining, trade and transportation of iron ore and manganese
ore, done illegally or without lawful authority;
ii. to inquire into and determine the extent to which the management,
regulatory and monitoring systems have failed to deter, prevent, detect and
punish offences relating to mining, storage, transportation, trade and export
of such ore, done illegally or without lawful authority, and the persons
responsible for the same;
iii. to inquire into the tampering of official records, including records
relating to land and boundaries, to facilitate illegal mining and to identify,
as far as possible, the persons responsible for such tampering; and
iv. to inquire into the overall impact of such mining, trade,
transportation and export, done illegally or without lawful authority,
in terms of destruction of forest wealth, damage to the environment,
prejudice to livelihood and other rights of tribal people, forest dwellers
and other persons in the mined areas, and the financial losses caused to
the Central and State Governments.
(c) to (e): The Commission of Inquiry has submitted an Interim Report
to the Government on 14.7.2011 recommending, inter alia :
# Amendment in section 24 of the Mines and Minerals (Development and
Regulation) Act 1957
# Amendments in Rules 24A of Mineral Concession Rules (MCR), 1960
regarding deemed extension of mining leases, in Rule 26 and Rule 27 of MCR
restricting persons convicted for illegal mining from renewal of mining
lease and cancellation of mining lease;
# Amendments in field circulars issued by Indian Bureau of Mines for
stringent regulation of boundary pillars of mining leases;
# ban on export of iron ore and manganese ore; and
# measures to be taken by State Governments for improving regulation by:
(i) introducing Computerized weigh bridges,
(ii) installing Check Posts at exit points,
(iii) proper maintenance of roads and collection of toll tax, and
(iv) providing adequate staff for regulatory purposes in State.
The Government has considered the recommendation of the Commission of Inquiry
and has accepted recommendations pertaining to amendment of Rule 26 and Rule 27
of MCR restricting persons convicted for illegal mining from renewal of mining
lease and cancellation of mining lease, amendments in field circulars issued
by Indian Bureau of Mines for stringent regulation of boundary pillars of
mining leases, and measures to be taken by State Governments for introducing
computerized weigh bridges, installing Check Posts at exit points, proper
maintenance of roads and collection of toll tax, and providing adequate staff
for regulatory purposes in State. The Government has commenced suitable action
for implementation of the accepted recommendations. The Government is considering
recommendation on ban on exports of iron ore and manganese ore in the context of
EXIM Policy.
(f): The Commission of Inquiry is required to submit its final report within
18 months of its first sitting as per the Terms of Reference.