Tata Steel will contest the Rs 6,000 crore fine imposed
on the company by Odisha government over alleged violation of mining norms in the state.
The Odisha government had on November 5 said it has imposed whopping Rs 67,900 crore penalty on 103 mines so far for excess production of iron ore.
Tata Steel, which
has captive iron ore and manganese mines and dolomite quarries in Odisha, was slapped a fine of about Rs 6,000 crore on charges of "illegal and excess mining" at its iron ore mines.
Acknowledging the receipt of notices, the company in an e-mailed statement said "we are contesting both the number and the cause."
"We are confident of resolving the issue with the government amicably", it said and added "we reiterate our contention that we have always undertaken mining in Odisha and also in other states where we operate with strict conformity with the existing laws."
Noting that recently Mines Ministry had brought out a notification defining irregularity in mining operations and illegal mining, the company also said that "this distinction is an important aspect of the whole issue of the demand put forth by the State Government."
Odisha accounts for a third of country's iron ore - a vital steel making raw material - production. Of late, it has also witnessed several controversies on illegal mining and currently a Centre-appointed Justice M B Shah Commission is probing the cases of illegal mining in the state.
With inputs from PTI 
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