Ranchi, Nov 1 (UNI) Jharkhand High Court today directed the state government to dispose all the applications given by Kohinoor Steel Ltd in connection with grant of mining lease, and submit the report by December 14.
Justice Amreshwar Sahay passed the order after hearing a writ petition filed by Kohinoor Steel (PVT) Ltd.
Ajit Panja and Amit Kumar Das appearing on behalf of the steel company informed the court that the Jharkhand government invited the business houses to establish their plant in the state.
The government assured the business houses of its help in acquiring land and other raw materials required.
The steel company had accordingly applied for setting up its mini steel plant worth Rs 505 crore.
The Memorandum of Understanding between Kohinoor Steel (PVT) and the government was signed on July 18, 2007, but till date the state government had not granted mining lease to the company, the court was informed.
The company alleged that the government had granted lease to other individuals, who had not invested a single penny in the state and they were enjoying all the benefits.
The steel company had purchased land for the factory on the market rates from the local people of Kutchidih police station in Chandil district of Saraikela.
The petitioner pleaded before the court that if the state government did not grant mining lease to the company, it would collapse.
At present the company was buying iron ore from the traders on a higher price, which was affecting the price of the finished product of the company. The state government had kept the application for grant of mining lease pending before it for a long time, the lawyers of the petitioner added.