Deprecated (16384): The ArrayAccess methods will be removed in 4.0.0.Use getParam(), getData() and getQuery() instead. - /home/brlfuser/public_html/src/Controller/ArtileDetailController.php, line: 150
 You can disable deprecation warnings by setting `Error.errorLevel` to `E_ALL & ~E_USER_DEPRECATED` in your config/app.php. [CORE/src/Core/functions.php, line 311]
Code Context


        trigger_error($message, E_USER_DEPRECATED);

    }
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 You can disable deprecation warnings by setting `Error.errorLevel` to `E_ALL & ~E_USER_DEPRECATED` in your config/app.php.'
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deprecationWarning - CORE/src/Core/functions.php, line 311
Cake\Http\ServerRequest::offsetGet() - CORE/src/Http/ServerRequest.php, line 2421
App\Controller\ArtileDetailController::index() - APP/Controller/ArtileDetailController.php, line 150
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Cake\Http\ActionDispatcher::_invoke() - CORE/src/Http/ActionDispatcher.php, line 120
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Cake\Http\Runner::__invoke() - CORE/src/Http/Runner.php, line 65
Cake\Error\Middleware\ErrorHandlerMiddleware::__invoke() - CORE/src/Error/Middleware/ErrorHandlerMiddleware.php, line 96
Cake\Http\Runner::__invoke() - CORE/src/Http/Runner.php, line 65
Cake\Http\Runner::run() - CORE/src/Http/Runner.php, line 51
Cake\Http\Server::run() - CORE/src/Http/Server.php, line 98

Deprecated (16384): The ArrayAccess methods will be removed in 4.0.0.Use getParam(), getData() and getQuery() instead. - /home/brlfuser/public_html/src/Controller/ArtileDetailController.php, line: 151
 You can disable deprecation warnings by setting `Error.errorLevel` to `E_ALL & ~E_USER_DEPRECATED` in your config/app.php. [CORE/src/Core/functions.php, line 311]
Code Context


        trigger_error($message, E_USER_DEPRECATED);

    }
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 You can disable deprecation warnings by setting `Error.errorLevel` to `E_ALL & ~E_USER_DEPRECATED` in your config/app.php.'
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deprecationWarning - CORE/src/Core/functions.php, line 311
Cake\Http\ServerRequest::offsetGet() - CORE/src/Http/ServerRequest.php, line 2421
App\Controller\ArtileDetailController::index() - APP/Controller/ArtileDetailController.php, line 151
Cake\Controller\Controller::invokeAction() - CORE/src/Controller/Controller.php, line 610
Cake\Http\ActionDispatcher::_invoke() - CORE/src/Http/ActionDispatcher.php, line 120
Cake\Http\ActionDispatcher::dispatch() - CORE/src/Http/ActionDispatcher.php, line 94
Cake\Http\BaseApplication::__invoke() - CORE/src/Http/BaseApplication.php, line 235
Cake\Http\Runner::__invoke() - CORE/src/Http/Runner.php, line 65
Cake\Routing\Middleware\RoutingMiddleware::__invoke() - CORE/src/Routing/Middleware/RoutingMiddleware.php, line 162
Cake\Http\Runner::__invoke() - CORE/src/Http/Runner.php, line 65
Cake\Routing\Middleware\AssetMiddleware::__invoke() - CORE/src/Routing/Middleware/AssetMiddleware.php, line 97
Cake\Http\Runner::__invoke() - CORE/src/Http/Runner.php, line 65
Cake\Error\Middleware\ErrorHandlerMiddleware::__invoke() - CORE/src/Error/Middleware/ErrorHandlerMiddleware.php, line 96
Cake\Http\Runner::__invoke() - CORE/src/Http/Runner.php, line 65
Cake\Http\Runner::run() - CORE/src/Http/Runner.php, line 51
Cake\Http\Server::run() - CORE/src/Http/Server.php, line 98

Warning (512): Unable to emit headers. Headers sent in file=/home/brlfuser/public_html/vendor/cakephp/cakephp/src/Error/Debugger.php line=853 [CORE/src/Http/ResponseEmitter.php, line 48]
Code Context
            if (Configure::read('debug')) {

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        LATEST NEWS UPDATES | UP lost Rs 1,400 crore to illegal mining, CAG says -Shailvee Sharda    </title>
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-The Times of India



LUCKNOW: Illegal mining in Uttar Pradesh between 2005-11 caused a loss of Rs 1,400 crore to the exchequer, says a draft report of the comptroller &amp; auditor general. The report, prepared on the activities of state geology..."/>
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                            <div align="justify">-The Times of India</div><p align="justify"><br /><em>LUCKNOW: </em>Illegal mining in Uttar Pradesh between 2005-11 caused a loss of Rs 1,400 crore to the exchequer, says a draft report of the comptroller &amp; auditor general. The report, prepared on the activities of state geology and mining directorate, belies state government's claims on checking illegal mining and indicates that illegal mining is widespread. It reveals several procedural gaps in legal quarrying as well.</p><p align="justify">The auditors, who covered 21 districts including Mirzapur, Sonbhadra, Varanasi, Lalitpur and Bundelkhad, have held the mining directorate responsible for monetary and reserve losses. The CAG report was submitted to state government in December 2012 but is reportedly gathering dust in the office of &quot;a powerful bureaucrat&quot;.</p><p align="justify">Political parties allege the report is being used to milk money for elections. Officials in the mining department, however, defend themselves saying the findings aren't final as it is a &quot;draft report&quot;, said one of them.</p><p align="justify">The report states the geology and mines directorate caused the hefty loss by ignoring the existing laws and rules. The loss is attributed to directorate's laxity in helping realization of transit fee. As per rules 3 and 5 of UP Timber and Other Forest Produce Rules, 1978, a transit fee is levied on forest produce such as peat, surface soil, rock and mineral including lime stone, laterite, mineral oils and all products of mines and quarries. The transit fee was to be levied at a rate of Rs 38 per tonne.</p><p align="justify">The draft report states that the directorate didn't include provision in its lease deed to ensure its compliance by the lease holder. &quot;This resulted in loss of Rs 1,492.68 crore in 21 audited districts,&quot; says the draft report. &quot;The department of mines and minerals issues mining licenses for which the forest department had to issue NOCs (no objection certificates). The NOCs issued by the forest department had clearly mentioned the condition but the department of mining did not include the provision in the lease deed to ensure compliance by lease holder,&quot; the report states.</p><p align="justify">Illegal activity was facilitated by misuse of form MM-11 or transit permit, issued in a set of three. The first is an office copy for lease holder while the second is to be submitted at end consumer. The third one is to be shown by the driver at check posts. Auditors have stated that the form was blatantly misused, both directly and indirectly. One set was meant for only one truck-ful quarrying, but it was used for at least three trucks.</p><p align="justify">This gap translates into a loss of royalty at a rate of Rs 5.30 lakh per misuse. For 330-odd leases examined, the amount cumulated to Rs 17.49 crore. The auditors have also calculated the value of loss of reserve due to illegal activity. They estimated that reserve worth Rs 26.50 lakh was lost per lease. This adds upto Rs 87.85 crore for 330 leases. Together, the losses amounted to over Rs 105 crore for 330 leases checked.</p><p align="justify">The report states poor control in issuance of the form led to corruption through fake copies of the document. The auditors examined around 6,000 copies of form MM-11 selected randomly and found that 40% forms were fake. The auditors also noted that more than a crore form MM-11 were issued in five years and said that around 40 lakh forms were fake. This means that net loss of royalty and reserve for 72 districts stands at around Rs 1,270 crore.</p><p align="justify">Even in places where mining was allowed, reserves were blatantly plundered. In Mirzapur, for instance, mining activity of 6000 metric tonnes was allowed in a reserve with 19,583 metric tonnes capacity. But the lease holder extracted 3,10,500 metric tonnes. Similarly, in Jhansi, in a reserve of 59,840 metric tonnes, quarrying of 12,000 metric tonnes was allowed. But the lease holder extracted 1,47,520 metric tones.</p><p align="justify">The draft report cites delay in renewal of licenses of mining as the main reason for illegal activity. Auditors have documented that in Lalitpur, applications were pending for 2-14 years, while in Barabanki, Chandauli and Mathura licences were not renewed after 2007. &quot;In all these cases the possibility of illegal mining cannot be ruled out,&quot; the draft report says. The directorate made negligible efforts to check illegal activity. This is proved by a 95% deficit in targets set under routine inspection. As a result, the mining plan was not followed. Similarly, licenses were granted without obtaining forest department NOCs and environmental clearances.</p><p align="justify">The directorate showed little regard for environment, says report. Different Acts and Rules stress on planned and scientific mining so that environment is protected. But when records with district mining officers (DMO) were examined, it was found that no record of plantation work was maintained. Also, no steps were taken to ensure that the lease holders undertook plantation work. This also led to loss of revenue and opportunity for plantation.</p><p align="justify">In eight test districts, for example, 1,572 leases were issued and no reforestation activity was undertaken. Had the officials followed Section 15 of the Environment Protection Act, 1986 (violation for afforestation is punishable offence with imprisonment upto 5 years, fine of Rs one lakh or both), they would have been able to realize Rs 15.72 crore. The same money could have been used for compensating for loss of green cover.</p><p align="justify">The geology directorate also violated the vehicular load norms prescribed under the Motor Vehicle (MV) Act. The quantity per vehicle allowed by the department was 1.33-3.5 times higher than what was prescribed under the MV Act, auditors observed. For example, MV Act allows a tractor to transport only 5.25 tonnes of weight but the mining department gave the permission for 6-10 tones. Auditors stated that the extra weight allowed was illegal.</p><p align="justify"><em>A mine of scam</em></p><p align="justify">- Records from 21 districts including Mirzapur, Sonbhadra, Varanasi, Lalitpur and Bundelkhad were examined. The auditors covered a period of 6 years starting 2005</p><p align="justify">- The report was submitted by CAG in December but it is reportedly gathering dust in the office of &quot;a powerful bureaucrat in CM's secretariat&quot;</p><p align="justify">- It is feared that the document is being used to milk money for elections</p><p align="justify"><em>Concerns:</em></p><p align="justify">Illegal mining is not the only cause of concern in UP</p><p align="justify">Bigger concern is that mining directorate facilitates illegal activity</p><p align="justify">Mining directorate flouts provisions on overloading under the Motor Vehicle Act</p><p align="justify">Extent of overloading was 1.33-3.5 times higher than the prescribed norms</p><p align="justify">95% deficit in target set for routine inspection</p><p align="justify">Report blames delay in issuance or licences for illegal work</p><p align="justify">At many places, legal lease holders extracted 50 times more than the permitted quantity</p><p align="justify"><em>General Gaps:</em></p><p align="justify">- Lease issued without relevant NOCs and environmental clearances</p><p align="justify">- Plantation activity not undertaken</p><p align="justify">- Mining plan not followed</p><p align="justify"><em>Financial losses:</em></p><p align="justify">- Rs 1,492cr: due to non-realisation of transit fee</p><p align="justify">- Rs 1,270cr: due to loss of royalty and resource due to misuse of form mm-11</p><p align="justify">- Rs 15.72cr: due to non-realization of penalty for holding afforestation</p>                                                           
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    <br><a href="http://timesofindia.indiatimes.com/india/UP-lost-Rs-1400-crore-to-illegal-mining-CAG-says/articleshow/21905819.cms" class="re" target="_blank">The Times of India, 19 August, 2013, http://timesofindia.indiatimes.com/india/UP-lost-Rs-1400-crore-to-illegal-mining-CAG-says/articleshow/21905819.cms</a><div class="clear"></div>
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    <h1 class="cat-box-title">UP lost Rs 1,400 crore to illegal mining, CAG says -Shailvee Sharda</h1>
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                            <div align="justify">-The Times of India</div><p align="justify"><br /><em>LUCKNOW: </em>Illegal mining in Uttar Pradesh between 2005-11 caused a loss of Rs 1,400 crore to the exchequer, says a draft report of the comptroller &amp; auditor general. The report, prepared on the activities of state geology and mining directorate, belies state government's claims on checking illegal mining and indicates that illegal mining is widespread. It reveals several procedural gaps in legal quarrying as well.</p><p align="justify">The auditors, who covered 21 districts including Mirzapur, Sonbhadra, Varanasi, Lalitpur and Bundelkhad, have held the mining directorate responsible for monetary and reserve losses. The CAG report was submitted to state government in December 2012 but is reportedly gathering dust in the office of &quot;a powerful bureaucrat&quot;.</p><p align="justify">Political parties allege the report is being used to milk money for elections. Officials in the mining department, however, defend themselves saying the findings aren't final as it is a &quot;draft report&quot;, said one of them.</p><p align="justify">The report states the geology and mines directorate caused the hefty loss by ignoring the existing laws and rules. The loss is attributed to directorate's laxity in helping realization of transit fee. As per rules 3 and 5 of UP Timber and Other Forest Produce Rules, 1978, a transit fee is levied on forest produce such as peat, surface soil, rock and mineral including lime stone, laterite, mineral oils and all products of mines and quarries. The transit fee was to be levied at a rate of Rs 38 per tonne.</p><p align="justify">The draft report states that the directorate didn't include provision in its lease deed to ensure its compliance by the lease holder. &quot;This resulted in loss of Rs 1,492.68 crore in 21 audited districts,&quot; says the draft report. &quot;The department of mines and minerals issues mining licenses for which the forest department had to issue NOCs (no objection certificates). The NOCs issued by the forest department had clearly mentioned the condition but the department of mining did not include the provision in the lease deed to ensure compliance by lease holder,&quot; the report states.</p><p align="justify">Illegal activity was facilitated by misuse of form MM-11 or transit permit, issued in a set of three. The first is an office copy for lease holder while the second is to be submitted at end consumer. The third one is to be shown by the driver at check posts. Auditors have stated that the form was blatantly misused, both directly and indirectly. One set was meant for only one truck-ful quarrying, but it was used for at least three trucks.</p><p align="justify">This gap translates into a loss of royalty at a rate of Rs 5.30 lakh per misuse. For 330-odd leases examined, the amount cumulated to Rs 17.49 crore. The auditors have also calculated the value of loss of reserve due to illegal activity. They estimated that reserve worth Rs 26.50 lakh was lost per lease. This adds upto Rs 87.85 crore for 330 leases. Together, the losses amounted to over Rs 105 crore for 330 leases checked.</p><p align="justify">The report states poor control in issuance of the form led to corruption through fake copies of the document. The auditors examined around 6,000 copies of form MM-11 selected randomly and found that 40% forms were fake. The auditors also noted that more than a crore form MM-11 were issued in five years and said that around 40 lakh forms were fake. This means that net loss of royalty and reserve for 72 districts stands at around Rs 1,270 crore.</p><p align="justify">Even in places where mining was allowed, reserves were blatantly plundered. In Mirzapur, for instance, mining activity of 6000 metric tonnes was allowed in a reserve with 19,583 metric tonnes capacity. But the lease holder extracted 3,10,500 metric tonnes. Similarly, in Jhansi, in a reserve of 59,840 metric tonnes, quarrying of 12,000 metric tonnes was allowed. But the lease holder extracted 1,47,520 metric tones.</p><p align="justify">The draft report cites delay in renewal of licenses of mining as the main reason for illegal activity. Auditors have documented that in Lalitpur, applications were pending for 2-14 years, while in Barabanki, Chandauli and Mathura licences were not renewed after 2007. &quot;In all these cases the possibility of illegal mining cannot be ruled out,&quot; the draft report says. The directorate made negligible efforts to check illegal activity. This is proved by a 95% deficit in targets set under routine inspection. As a result, the mining plan was not followed. Similarly, licenses were granted without obtaining forest department NOCs and environmental clearances.</p><p align="justify">The directorate showed little regard for environment, says report. Different Acts and Rules stress on planned and scientific mining so that environment is protected. But when records with district mining officers (DMO) were examined, it was found that no record of plantation work was maintained. Also, no steps were taken to ensure that the lease holders undertook plantation work. This also led to loss of revenue and opportunity for plantation.</p><p align="justify">In eight test districts, for example, 1,572 leases were issued and no reforestation activity was undertaken. Had the officials followed Section 15 of the Environment Protection Act, 1986 (violation for afforestation is punishable offence with imprisonment upto 5 years, fine of Rs one lakh or both), they would have been able to realize Rs 15.72 crore. The same money could have been used for compensating for loss of green cover.</p><p align="justify">The geology directorate also violated the vehicular load norms prescribed under the Motor Vehicle (MV) Act. The quantity per vehicle allowed by the department was 1.33-3.5 times higher than what was prescribed under the MV Act, auditors observed. For example, MV Act allows a tractor to transport only 5.25 tonnes of weight but the mining department gave the permission for 6-10 tones. Auditors stated that the extra weight allowed was illegal.</p><p align="justify"><em>A mine of scam</em></p><p align="justify">- Records from 21 districts including Mirzapur, Sonbhadra, Varanasi, Lalitpur and Bundelkhad were examined. The auditors covered a period of 6 years starting 2005</p><p align="justify">- The report was submitted by CAG in December but it is reportedly gathering dust in the office of &quot;a powerful bureaucrat in CM's secretariat&quot;</p><p align="justify">- It is feared that the document is being used to milk money for elections</p><p align="justify"><em>Concerns:</em></p><p align="justify">Illegal mining is not the only cause of concern in UP</p><p align="justify">Bigger concern is that mining directorate facilitates illegal activity</p><p align="justify">Mining directorate flouts provisions on overloading under the Motor Vehicle Act</p><p align="justify">Extent of overloading was 1.33-3.5 times higher than the prescribed norms</p><p align="justify">95% deficit in target set for routine inspection</p><p align="justify">Report blames delay in issuance or licences for illegal work</p><p align="justify">At many places, legal lease holders extracted 50 times more than the permitted quantity</p><p align="justify"><em>General Gaps:</em></p><p align="justify">- Lease issued without relevant NOCs and environmental clearances</p><p align="justify">- Plantation activity not undertaken</p><p align="justify">- Mining plan not followed</p><p align="justify"><em>Financial losses:</em></p><p align="justify">- Rs 1,492cr: due to non-realisation of transit fee</p><p align="justify">- Rs 1,270cr: due to loss of royalty and resource due to misuse of form mm-11</p><p align="justify">- Rs 15.72cr: due to non-realization of penalty for holding afforestation</p>                                                           
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    <br><a href="http://timesofindia.indiatimes.com/india/UP-lost-Rs-1400-crore-to-illegal-mining-CAG-says/articleshow/21905819.cms" class="re" target="_blank">The Times of India, 19 August, 2013, http://timesofindia.indiatimes.com/india/UP-lost-Rs-1400-crore-to-illegal-mining-CAG-says/articleshow/21905819.cms</a><div class="clear"></div>
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    <h1 class="cat-box-title">UP lost Rs 1,400 crore to illegal mining, CAG says -Shailvee Sharda</h1>
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                            <div align="justify">-The Times of India</div><p align="justify"><br /><em>LUCKNOW: </em>Illegal mining in Uttar Pradesh between 2005-11 caused a loss of Rs 1,400 crore to the exchequer, says a draft report of the comptroller &amp; auditor general. The report, prepared on the activities of state geology and mining directorate, belies state government's claims on checking illegal mining and indicates that illegal mining is widespread. It reveals several procedural gaps in legal quarrying as well.</p><p align="justify">The auditors, who covered 21 districts including Mirzapur, Sonbhadra, Varanasi, Lalitpur and Bundelkhad, have held the mining directorate responsible for monetary and reserve losses. The CAG report was submitted to state government in December 2012 but is reportedly gathering dust in the office of &quot;a powerful bureaucrat&quot;.</p><p align="justify">Political parties allege the report is being used to milk money for elections. Officials in the mining department, however, defend themselves saying the findings aren't final as it is a &quot;draft report&quot;, said one of them.</p><p align="justify">The report states the geology and mines directorate caused the hefty loss by ignoring the existing laws and rules. The loss is attributed to directorate's laxity in helping realization of transit fee. As per rules 3 and 5 of UP Timber and Other Forest Produce Rules, 1978, a transit fee is levied on forest produce such as peat, surface soil, rock and mineral including lime stone, laterite, mineral oils and all products of mines and quarries. The transit fee was to be levied at a rate of Rs 38 per tonne.</p><p align="justify">The draft report states that the directorate didn't include provision in its lease deed to ensure its compliance by the lease holder. &quot;This resulted in loss of Rs 1,492.68 crore in 21 audited districts,&quot; says the draft report. &quot;The department of mines and minerals issues mining licenses for which the forest department had to issue NOCs (no objection certificates). The NOCs issued by the forest department had clearly mentioned the condition but the department of mining did not include the provision in the lease deed to ensure compliance by lease holder,&quot; the report states.</p><p align="justify">Illegal activity was facilitated by misuse of form MM-11 or transit permit, issued in a set of three. The first is an office copy for lease holder while the second is to be submitted at end consumer. The third one is to be shown by the driver at check posts. Auditors have stated that the form was blatantly misused, both directly and indirectly. One set was meant for only one truck-ful quarrying, but it was used for at least three trucks.</p><p align="justify">This gap translates into a loss of royalty at a rate of Rs 5.30 lakh per misuse. For 330-odd leases examined, the amount cumulated to Rs 17.49 crore. The auditors have also calculated the value of loss of reserve due to illegal activity. They estimated that reserve worth Rs 26.50 lakh was lost per lease. This adds upto Rs 87.85 crore for 330 leases. Together, the losses amounted to over Rs 105 crore for 330 leases checked.</p><p align="justify">The report states poor control in issuance of the form led to corruption through fake copies of the document. The auditors examined around 6,000 copies of form MM-11 selected randomly and found that 40% forms were fake. The auditors also noted that more than a crore form MM-11 were issued in five years and said that around 40 lakh forms were fake. This means that net loss of royalty and reserve for 72 districts stands at around Rs 1,270 crore.</p><p align="justify">Even in places where mining was allowed, reserves were blatantly plundered. In Mirzapur, for instance, mining activity of 6000 metric tonnes was allowed in a reserve with 19,583 metric tonnes capacity. But the lease holder extracted 3,10,500 metric tonnes. Similarly, in Jhansi, in a reserve of 59,840 metric tonnes, quarrying of 12,000 metric tonnes was allowed. But the lease holder extracted 1,47,520 metric tones.</p><p align="justify">The draft report cites delay in renewal of licenses of mining as the main reason for illegal activity. Auditors have documented that in Lalitpur, applications were pending for 2-14 years, while in Barabanki, Chandauli and Mathura licences were not renewed after 2007. &quot;In all these cases the possibility of illegal mining cannot be ruled out,&quot; the draft report says. The directorate made negligible efforts to check illegal activity. This is proved by a 95% deficit in targets set under routine inspection. As a result, the mining plan was not followed. Similarly, licenses were granted without obtaining forest department NOCs and environmental clearances.</p><p align="justify">The directorate showed little regard for environment, says report. Different Acts and Rules stress on planned and scientific mining so that environment is protected. But when records with district mining officers (DMO) were examined, it was found that no record of plantation work was maintained. Also, no steps were taken to ensure that the lease holders undertook plantation work. This also led to loss of revenue and opportunity for plantation.</p><p align="justify">In eight test districts, for example, 1,572 leases were issued and no reforestation activity was undertaken. Had the officials followed Section 15 of the Environment Protection Act, 1986 (violation for afforestation is punishable offence with imprisonment upto 5 years, fine of Rs one lakh or both), they would have been able to realize Rs 15.72 crore. The same money could have been used for compensating for loss of green cover.</p><p align="justify">The geology directorate also violated the vehicular load norms prescribed under the Motor Vehicle (MV) Act. The quantity per vehicle allowed by the department was 1.33-3.5 times higher than what was prescribed under the MV Act, auditors observed. For example, MV Act allows a tractor to transport only 5.25 tonnes of weight but the mining department gave the permission for 6-10 tones. Auditors stated that the extra weight allowed was illegal.</p><p align="justify"><em>A mine of scam</em></p><p align="justify">- Records from 21 districts including Mirzapur, Sonbhadra, Varanasi, Lalitpur and Bundelkhad were examined. The auditors covered a period of 6 years starting 2005</p><p align="justify">- The report was submitted by CAG in December but it is reportedly gathering dust in the office of &quot;a powerful bureaucrat in CM's secretariat&quot;</p><p align="justify">- It is feared that the document is being used to milk money for elections</p><p align="justify"><em>Concerns:</em></p><p align="justify">Illegal mining is not the only cause of concern in UP</p><p align="justify">Bigger concern is that mining directorate facilitates illegal activity</p><p align="justify">Mining directorate flouts provisions on overloading under the Motor Vehicle Act</p><p align="justify">Extent of overloading was 1.33-3.5 times higher than the prescribed norms</p><p align="justify">95% deficit in target set for routine inspection</p><p align="justify">Report blames delay in issuance or licences for illegal work</p><p align="justify">At many places, legal lease holders extracted 50 times more than the permitted quantity</p><p align="justify"><em>General Gaps:</em></p><p align="justify">- Lease issued without relevant NOCs and environmental clearances</p><p align="justify">- Plantation activity not undertaken</p><p align="justify">- Mining plan not followed</p><p align="justify"><em>Financial losses:</em></p><p align="justify">- Rs 1,492cr: due to non-realisation of transit fee</p><p align="justify">- Rs 1,270cr: due to loss of royalty and resource due to misuse of form mm-11</p><p align="justify">- Rs 15.72cr: due to non-realization of penalty for holding afforestation</p>                                                           
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    <br><a href="http://timesofindia.indiatimes.com/india/UP-lost-Rs-1400-crore-to-illegal-mining-CAG-says/articleshow/21905819.cms" class="re" target="_blank">The Times of India, 19 August, 2013, http://timesofindia.indiatimes.com/india/UP-lost-Rs-1400-crore-to-illegal-mining-CAG-says/articleshow/21905819.cms</a><div class="clear"></div>
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Home हिन्दी

UP lost Rs 1,400 crore to illegal mining, CAG says -Shailvee Sharda

Published on Aug 19, 2013   Modified on Aug 19, 2013

-The Times of India LUCKNOW: Illegal mining in Uttar Pradesh between 2005-11 caused a loss of Rs 1,400 crore to the exchequer, says a draft report of the comptroller & auditor general. The report, prepared on the activities of state geology and mining directorate, belies state government's claims on checking illegal mining and indicates that illegal mining is widespread. It reveals several procedural gaps in legal quarrying as well. The auditors, who covered 21 districts including Mirzapur, Sonbhadra, Varanasi, Lalitpur and Bundelkhad, have held the mining directorate responsible for monetary and reserve losses. The CAG report was submitted to state government in December 2012 but is reportedly gathering dust in the office of "a powerful bureaucrat". Political parties allege the report is being used to milk money for elections. Officials in the mining department, however, defend themselves saying the findings aren't final as it is a "draft report", said one of them. The report states the geology and mines directorate caused the hefty loss by ignoring the existing laws and rules. The loss is attributed to directorate's laxity in helping realization of transit fee. As per rules 3 and 5 of UP Timber and Other Forest Produce Rules, 1978, a transit fee is levied on forest produce such as peat, surface soil, rock and mineral including lime stone, laterite, mineral oils and all products of mines and quarries. The transit fee was to be levied at a rate of Rs 38 per tonne. The draft report states that the directorate didn't include provision in its lease deed to ensure its compliance by the lease holder. "This resulted in loss of Rs 1,492.68 crore in 21 audited districts," says the draft report. "The department of mines and minerals issues mining licenses for which the forest department had to issue NOCs (no objection certificates). The NOCs issued by the forest department had clearly mentioned the condition but the department of mining did not include the provision in the lease deed to ensure compliance by lease holder," the report states. Illegal activity was facilitated by misuse of form MM-11 or transit permit, issued in a set of three. The first is an office copy for lease holder while the second is to be submitted at end consumer. The third one is to be shown by the driver at check posts. Auditors have stated that the form was blatantly misused, both directly and indirectly. One set was meant for only one truck-ful quarrying, but it was used for at least three trucks. This gap translates into a loss of royalty at a rate of Rs 5.30 lakh per misuse. For 330-odd leases examined, the amount cumulated to Rs 17.49 crore. The auditors have also calculated the value of loss of reserve due to illegal activity. They estimated that reserve worth Rs 26.50 lakh was lost per lease. This adds upto Rs 87.85 crore for 330 leases. Together, the losses amounted to over Rs 105 crore for 330 leases checked. The report states poor control in issuance of the form led to corruption through fake copies of the document. The auditors examined around 6,000 copies of form MM-11 selected randomly and found that 40% forms were fake. The auditors also noted that more than a crore form MM-11 were issued in five years and said that around 40 lakh forms were fake. This means that net loss of royalty and reserve for 72 districts stands at around Rs 1,270 crore. Even in places where mining was allowed, reserves were blatantly plundered. In Mirzapur, for instance, mining activity of 6000 metric tonnes was allowed in a reserve with 19,583 metric tonnes capacity. But the lease holder extracted 3,10,500 metric tonnes. Similarly, in Jhansi, in a reserve of 59,840 metric tonnes, quarrying of 12,000 metric tonnes was allowed. But the lease holder extracted 1,47,520 metric tones. The draft report cites delay in renewal of licenses of mining as the main reason for illegal activity. Auditors have documented that in Lalitpur, applications were pending for 2-14 years, while in Barabanki, Chandauli and Mathura licences were not renewed after 2007. "In all these cases the possibility of illegal mining cannot be ruled out," the draft report says. The directorate made negligible efforts to check illegal activity. This is proved by a 95% deficit in targets set under routine inspection. As a result, the mining plan was not followed. Similarly, licenses were granted without obtaining forest department NOCs and environmental clearances. The directorate showed little regard for environment, says report. Different Acts and Rules stress on planned and scientific mining so that environment is protected. But when records with district mining officers (DMO) were examined, it was found that no record of plantation work was maintained. Also, no steps were taken to ensure that the lease holders undertook plantation work. This also led to loss of revenue and opportunity for plantation. In eight test districts, for example, 1,572 leases were issued and no reforestation activity was undertaken. Had the officials followed Section 15 of the Environment Protection Act, 1986 (violation for afforestation is punishable offence with imprisonment upto 5 years, fine of Rs one lakh or both), they would have been able to realize Rs 15.72 crore. The same money could have been used for compensating for loss of green cover. The geology directorate also violated the vehicular load norms prescribed under the Motor Vehicle (MV) Act. The quantity per vehicle allowed by the department was 1.33-3.5 times higher than what was prescribed under the MV Act, auditors observed. For example, MV Act allows a tractor to transport only 5.25 tonnes of weight but the mining department gave the permission for 6-10 tones. Auditors stated that the extra weight allowed was illegal. A mine of scam - Records from 21 districts including Mirzapur, Sonbhadra, Varanasi, Lalitpur and Bundelkhad were examined. The auditors covered a period of 6 years starting 2005 - The report was submitted by CAG in December but it is reportedly gathering dust in the office of "a powerful bureaucrat in CM's secretariat" - It is feared that the document is being used to milk money for elections Concerns: Illegal mining is not the only cause of concern in UP Bigger concern is that mining directorate facilitates illegal activity Mining directorate flouts provisions on overloading under the Motor Vehicle Act Extent of overloading was 1.33-3.5 times higher than the prescribed norms 95% deficit in target set for routine inspection Report blames delay in issuance or licences for illegal work At many places, legal lease holders extracted 50 times more than the permitted quantity General Gaps: - Lease issued without relevant NOCs and environmental clearances - Plantation activity not undertaken - Mining plan not followed Financial losses: - Rs 1,492cr: due to non-realisation of transit fee - Rs 1,270cr: due to loss of royalty and resource due to misuse of form mm-11 - Rs 15.72cr: due to non-realization of penalty for holding afforestation

The Times of India, 19 August, 2013, http://timesofindia.indiatimes.com/india/UP-lost-Rs-1400-crore-to-illegal-mining-CAG-says/articleshow/21905819.cms

Tagged with: illegal mining Mining CAG Comptroller and Auditor-General

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