Supreme Court issues notice to companies for non-compliance of its orders

NEW DELHI: The Supreme Court today issued notices to several companies on a government plea to initiate contempt proceedings for willful disobedience and non- compliance of its orders to deposit a levy on coal extracted by them to compensate for the financial loss to the exchequer by illegal and arbitrary allotment of coal blocks.

The court had directed the allottees of coal blocks to pay within three months an additional levy of Rs 295 per metric ton (MT) of coal extracted in three months from the cancellation of coal blocks allocation in September last year.

Government had moved the petition alleging that the firms have not complied with the apex court's judgement of September 24, 2014 cancelling all such allotments, with a direction to make compensatory payment and coal extracted till March 31, 2015 will also attract the additional levy of Rs 295 per MT.

A bench headed by Justice M B Lokur sought response of the companies within two weeks on the government's plea seeking to summon their CMDs and directors for alleged disobedience of the apex court directions.

"Let them appear and respond," Attorney General Mukul Rohatgi submitted before the bench, also comprising Justices Kurian Joseph and A K Sikri.

The Centre said the order of this Court was specific as to the quantum of compensation as well as the time limit within which the respondents/contemnors were required to comply with the same.

It said the act of the contemnor was a clear case of undermining the dignity and the authority of the apex court.

The Centre in its petition has named WBPDCL, the Durgapur Projects Ltd through and Bengal Emta Coal Mines Limited through their Directors as respondents.

The contempt proceedings have also been sought against Mumbai-based BLA Industries Pvt Ltd, Arunachal Pradesh Mineral Development & Trading Corporation Ltd Itanagar, West Bengal Mineral Development and Trading Corporation Limited through their Directors and Damodar Valley Corporation through its Chairman.