Goa government agrees before High Court to Goa Foundation demand seeking directions to it to recover Rs.3431 crores from mining companies

Prakash Kamat,

Panaji, AUGUST 4-The Goa government on Tuesday (4.8.2020) agreed to the demands of the PIL (PIL WRIT PETITION STM-1138-2020) filed by the Goa Foundation,Goa-based environmental NGO seeking directions to it to recover Rs.3431 crores from Goa mining companies on several counts within a time-bound period.

After the State's Advocate General told the Court that the amount was recoverable, the Bombay High Court at Goa recorded the undertaking of the Goa government that orders would be passed on all the demand notices issued to mining companies within a period of four months.

The Court recorded that the Goa Director of Mines would first deal with the demand notices issued (for Rs.1508 crores) to mining companies pursuant to the report of the team of Chartered Accountants(CAs) appointed by late Chief Minister Manohar Parrikar.

Thereafter, the Department would enforce the notices raised pursuant to the report of the Auditor General (CAG) in his 2016 report (Rs.1922 crores).

The total of both reports amounts to Rs.3431.31 crores. The demand notices on the report of the team of CAs were issued in 2016. Those pursuant to the CAG's report were issued in 2017. These notices were produced by the Goa government to prove its bona fides during the hearing of the writ petition filed by the Goa Foundation challenging the grant of 88 mining leases. The Supreme Court in its judgement setting aside the 88 mining lease orders, also directed the Goa government to recover the amounts for which the notices had been issued.

The Goa Foundation filed the PIL when it became apparent that the Goa government was not pursuing the matter of recovery of these huge amounts with any zeal. It sought as interim relief a restraint on grant of any mining business to any of the entities till the amounts demanded were paid by them.

Two other petitions filed by the Goa Foundation for recovery from mining companies are pending hearing before the high court. The first involves recovery of around Rs.1000 crores from mining companies who mined without being in possession of a valid mining lease. A second PIL demands recovery of Rs.65,058 crores due from the entire mining industry for conducting mining operations without being in possession of a mining lease for five years (2007-2012). 

Giving this information, Director Ochoa Foundation,Claude Alvares, recalled that the Supreme Court had declared all mining carried out in the State of Goa from 2007 to 2012 as illegal.(eom)