SEC pulls up State over notifying ore fund trust

Team Herald

PANJIM: The Supreme Court-appointed Central Empowered Committee (CEC) has pulled up the Goa Government over its decision to notify the much-delayed ‘Goa Mineral Ore Permanent Fund Trust Scheme’ without prior approval of the Apex Court.

Almost six year after the Apex Court ordered the creation of a permanent fund for the protection of intergenerational equity through the sale of iron ore, the State government on July 1, this year, notified setting up the Goa Mineral Ore Permanent Fund Trust, wherein 10 per cent of the sale proceeds of minerals sold by e-auction and pit mouth sale value will be deposited towards the welfare of the people from the mining belt as well as for restoration of the affected areas..

“It is seen that the State of Goa have formally notified the Goa Mineral Ore Permanent Fund Trust Scheme in Gazatte dated 01.07.2021. This should not have been done without first obtaining the approval of this Court to the Scheme,” read the CEC report dated September 8.

The CEC said the state government had submitted the notification through an affidavit in the Supreme Court.

However, the CEC suggested that the court may approve the “draft of the Goa Mineral Ore Permanent Fund Trust Scheme” with a condition that no changes be undertaken without the Court permission.

“Court may consider granting approval to the draft of the ‘Goa Mineral Ore Permanent Fund Trust Scheme’ subject to the condition that as and when any changes in the Scheme become necessary prior approval of this Court will be obtained,” states the report.

“The CEC is in agreement with this revised Draft Scheme ‘Goa Mineral Ore Permanent Fund Trust Scheme’,” it added further. 

The State government, while notifying the scheme, clarified that no amount of the fund will be utilised for any purpose other than towards the welfare of the affected people and areas, and also said that the 10 per cent of the balance fund can be used in case of disaster emanating from mining related activities or any unforeseen disaster such as pandemic, epidemic and any natural calamity.

A Governing Body under the chairmanship of the Chief Minister has been formed to manage the affairs of the trust, while an Executive Committee under the Chief Secretary will assist the Governing Body.