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Wednesday, November 29, 2017

Madurai Bench of the Madras High Court allowed import of sand from Malaysia and directed the State government to stop sand quarrying within six months Wednesday Nov 29,2017

The Madurai Bench of the Madras High Court on Wednesday Nov 29,2017 allowed import of sand from Malaysia and directed the State government to stop sand quarrying within six months. It has also ruled that no new quarries and mines should be opened in future.

Justice R. Mahadevan observed that the Tamil Nadu Minor Minerals Concession Rules, 1959, and the Tamil Nadu Prevention of Illegal Mining, Transportation and Storage of Minerals and Mineral Dealers Rules, 2011, do not apply to imported sand. Since the importer had paid the customs duty and the appropriate tax (GST) on the consignment, the State had no powers to prevent, seize or take any action in this regard.

The court further directed quarries of granite and other minerals, except jelly, must be closed periodically to maintain ecological balance. The State shall depute a team of experts from the Geological Department to identify and process the import of sand and minerals from countries which permit export. The government shall take a decision on the import of river sand by State-owned corporations to bridge the shortfall in supply, the court observed.

The State, however, was at liberty to bring in enactments or amendments with regard to the regulation and handling of such imported sand, the court observed. It directed the State to establish permanent check-posts to curb and prevent illegal mining and transportation of sand. The officials at the check-post shall maintain a record of the vehicles passing through and CCTV cameras must be installed at the check-posts, which shall be connected to a common server

The judge directed the government to take appropriate action immediately against persons involved in illegal mining, transportation and storage in the State by confiscating and cancelling the registration certificate of the vehicles involved. The State shall constitute a committee to ascertain the loss caused to the government as a result of illegal mining and take steps to recover the loss.

Appropriate action against the companies shall be initiated and the erring government officials should be suspended and action taken. The court directed that a proper record should be maintained of the imported sand, its quality, amount sold and the remaining stock. The records shall be placed before the Mines and Commercial Taxes Department to check tax evasion. The imported sand must be tested for clearance, and in case a quality certificate is not produced by the importer, then appropriate scientific methods can be deployed for the same.

The case pertains to import of sand by M.RM. Ramaiya Enterprises from Malaysia.

The lorries hired for transporting the sand were initially seized by the police in Thoothukudi and later detained at the Thoothukudi Port. Around 50,000 metric tonnes of Malaysian sand are lying in the VOC Port for clearance. In the interim order passed, the court had directed not to collect any charges from the importer.

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