NMDC seeks stay on State's move to grant mining lease

  “The Supreme Court is already seized of the matter and issued notice to the State of Karnataka in the presence of their counsel, the State government ought to have desisted itself from proceeding any further since the order of issuance of  notice would tantamount to stay of all further proceeding,” the application submitted.

The NMDC, (National Minerals Development Corporation) functioning under the Union Steel Ministry, had sought grant of lease for area of 4.5 and 15.95 square kms . Its applications have been pending before the state government even previous to the notifications.

The fresh application filed by advocate Sridhar Pota Raju sought the apex Court to stay the proceedings relating to the notification issued by B S Yeddyurappa government on April 23, last year inviting parties for grant of mining lease in the area.

The company had already filed the special leave petition (SLP) in the apex court challenging a Karnataka High Court order, passed on March 12, 2009 declaring that the state government did not have the power to reserve any area for exploration under the Mineral Concession Rules, 1960.

He also sought the apex court to direct the State government to recall the recent order.
The Company further claimed that it had all the clearances from the State government for setting up of an integrated Steel Plant in Bellary. The the mineral/iron ore in the lease hold area would used in the proposed steel plant, it claimed.

The plea, filed by the NMDC, also alleged the State government had not taken any permission from the apex Court before issuing notification despite the fact that the matter was pending.