Government sets up panel on sub-lease of mines

BHUBANESWAR: With allegations of rampant illegal sub-lease of mines to private parties by lease-holders, the State Government has launched an operation to detect such irregularities. The Government has set up a committee, comprising government officials and chartered accountants, to verify violation of Rule 37. Giving sub-lease illegally to private parties amounted to violation of Rule 37 under the Mineral Concession Rules, 1960. Official sources said the committee had so far raided and verified eight mines in two phases. Other mines would also be scrutinised in phases. The Government is likely to cancel lease of the firms found guilty of violating Rule 37 of the Mineral Concession Rules. The process of verification of records is likely to be completed by September. The chartered accountants will verify balance-sheets, audited accounts, tax audit reports, income tax and VAT returns and other documents of mines.