SC Lifts Ban on Sale of Iron Ore from Mines in Karnataka

Supreme Court Advocates LAW INSIDER

Shivani Thakur

Published on: May 20, 2022 at 16:54 IST

The Supreme Court lifted the curbs on iron ore sale in Karnataka and allowed the export of the ore subject to the terms and conditions of the Government of India.

The Bench comprising Chief Justice of India NV Ramana, Justice Krishna Murari and Justice Hima Kohli passed the order on a batch of Petitions filed by mine operators seeking the lifting of restrictions on sale and export of iron ore from Karnataka, imposed in 2011 after finding rampant violations.

The Courts’ ordered as follow:

We’re in agreement with stand of Union of India that it is necessary for mines in Karnataka to be in level playing field with others in the country. Time has come to review system put in place for iron ore in three districts.”

“Ever since E-auction has been only option, and has worked so far. The situation has now changed for better. As regards course of correction for environmental damage, we are of opinion that the order dated 23/9/2011 deserves to be relaxed.”

“Its submitted that consecutive E-auctions have been receiving poor response. Looking at over all change, restrictions on sale of ore and restrictions on prices need to be removed.”

“We grant Appellants permission to sell already excavated iron ore stock etc in 3 Karnataka Districts & permission granted to allocate iron ore by entering into direct contracts without resorting to E-auction.

Permission granted to applicant to export iron ore produced in Karnataka to countries abroad but in terms of Government of India policies.”

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