Bengaluru: Leader of the Opposition in the Legislative Council K.S. Eshwarappa accused the government of renewing mining licences of six companies without ‘auctioning’ themin violation of norms. He also demanded a probe by the Central Bureau of Investigation. He said that this was a violation of the ordinance recently promulgated.  Janata Dal (Secular) State president H.D. Kumaraswamy also joined the BJP in taking on the government.

He accused the government of bypassing the Supreme Court guidelines on auctioning.

The BJP’s allegation was that the government had renewed six leases and given fresh leases to two “questionable” companies, in violation of the ordinance promulgated by the Union government to amend Mines and Minerals (Development and Regulation) Act, 1957 in January 2015.

Mr. Siddaramaiah, meanwhile, is taking shelter under the recommendations of the Indian Bureau of Mines (IBM).  He asserted that the State government had the powers to renew mining leases under Section 8 (3) of the MMDR Act and the ordinance did not touch this section. Mr. Siddaramaiah also cited shortage of iron ore as the reason for the government’s decision.

Interestingly, mining giant Sesa Sterlite — which secured all necessary clearances from the State and Union governments — is set to start mining operations from March, say sources.