03 APRIL 2015AlCircle.com
Nalco owes highest mining dues to the government: CAG report
Edited by : AL CIRCLE
1 min read
The Comptroller and Auditor General of India has accused the Odisha state government of being too lax in their collection of revenue using modes like VAT, Entry Tax, Excise Duty and Mining Receipts causing an estimated loss of INR 4,713.63 crore for FY 2013-14.
The mining dues alone are said to total INR 110.74 crore, payable by companies dealing with mining of iron ore, coal, chromite and bauxite.
National Aluminium Company (Nalco) is the company that owes the highest dues estimated at INR 46.52 crores. According to provisions in mining rules, a company is supposed to pay royalty based on highest alumina content of the excavated mineral whereas Nalco paid royalty at the rate of average alumina content, as per the 2012-13 fiscal report from CAG.
"After audit reported the matter (in July 2014), the government stated (in October 2014) that DDM Koraput raised demand of INR 46.52 crore on the lessee towards differential dues of royalty", the Central auditor said in its report for revenue sector of government published recently.
(1 US Dollar ($) = 62 INR)
The mining dues alone are said to total INR 110.74 crore, payable by companies dealing with mining of iron ore, coal, chromite and bauxite.
National Aluminium Company (Nalco) is the company that owes the highest dues estimated at INR 46.52 crores. According to provisions in mining rules, a company is supposed to pay royalty based on highest alumina content of the excavated mineral whereas Nalco paid royalty at the rate of average alumina content, as per the 2012-13 fiscal report from CAG.
"After audit reported the matter (in July 2014), the government stated (in October 2014) that DDM Koraput raised demand of INR 46.52 crore on the lessee towards differential dues of royalty", the Central auditor said in its report for revenue sector of government published recently.
(1 US Dollar ($) = 62 INR)
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