Hemant Soren govt to initiate legal action to recover Rs 1.36 lakh crore dues from Centre: Jharkhand FM

Ranchi: The Jharkhand government will initiate legal action to realise its "Rs 1.36 lakh crore dues" pending with the Centre, Finance Minister Radhakrishna Kishore informed the assembly on Monday.

Kishore made the assertion while presenting the state budget of Rs 1.45 lakh crore in the House.

Earlier, during Question Hour, Excise Minister Yogendra Prasad, however, said that a joint committee has been formed comprising representatives of the Centre and the state to evaluate the exact outstanding amount.

The state government has been claiming for several years that the Centre owes Rs 1.36 lakh crore to the state in lieu of coal mined by entities such as Coal India Ltd.

"A joint committee of the Centre and the state has been formed on March 1 this year. The panel will assess the state's claim of Rs 1.36 lakh crore coal dues and verify the outstanding in every head. We will realise the amount as per the committee report," Prasad said in the assembly in reply to a query.

The government's reply came after JD(U) legislator Saryu Roy sought to know about the government's initiatives to realise the outstanding amount.

Kishore, who also holds the Parliamentary Affairs portfolio, said he had met Union Coal Minister G Kishan Reddy around 10-15 days back in this regard.

The Jharkhand government in December 2024 initiated the process for legal action to realise "Rs 1.36 lakh crore coal dues" from the Centre.

The government issued a notification authorising secretary of the Revenue, Registration and Land Reforms Department to commence the legal procedure to realise the dues.

The development came shortly after the Jharkhand government, in its first cabinet meeting in November last year after the JMM-led coalition's victory in the assembly polls, announced of taking legal action to get its dues.

"Secretary, Revenue, Registration and Land Reforms is nominated as nodal officer to initiate immediate legal action to realise Rs 1.36 lakh crore dues from the Centre.

"In case of obstacles in payments by subsidiaries of Coal India in lieu of washed coal royalty dues, common cause dues etc, steps should be taken to resolve this in consultation with the Advocate General," the notification said.

Chief Minister Hemant Soren, too, after being sworn-in in November, had said that legal action will be initiated to realise the dues.

Earlier, he had requested the Centre "with folded hands" to clear the multi-crore coal dues to the state.

On November 2, he had posted on X, "The PM and the home minister are coming to Jharkhand. I once again request them with folded hands to clear the outstanding (coal dues) of Rs 1.36 lakh crore to Jharkhandis. This amount is crucial for Jharkhand."

"I would also appeal to my BJP colleagues, especially the MPs, to help Jharkhandis in getting our dues," he had added.

Soren emphasised that the dues with central PSUs such as Coal India are "rightful" to the state, and claimed that "non-clearance was causing irreparable harm to Jharkhand's development".

A recent ruling by a nine-judge Supreme Court bench had affirmed the state's right to collect its mining and royalty dues.