Audit Reports
Chhattisgarh
Report No. 03 of 2023 - Performance Audit of Mining of minor minerals with emphasis on illegal mining operations, Government of Chhattisgarh
Overview
Minerals are finite and non-renewable, and their exploitation is guided by long term national goals, perspectives, and global economic scenario. The lucrative demand for minerals has led to illegal mining in the recent past, especially in quarrying of minor minerals.Considering the effects of mining activities on local people, Government of India made a provision for establishment of District Mineral Foundation Trusts (DMFTs), and accordingly the Government of Chhattisgarh established (December 2015) DMFTs in all 27 districts of Chhattisgarh with the objective of safeguarding the interest and benefits of persons and areas affected by mining related operations.
The performance audit was conducted to ascertain whether the State Government has developed a robust mechanism to prevent, detect and curb illegal mining activities and extending due benefits to areas and persons affected by mining or mining related operations as anticipated from establishment of DMFTs. During the audit, records of office of the Director, Geology and Mining and District Mining Offices in nine districts along with DMFTs for the period 2015-16 to 2020-21 were scrutinized.
The Report contains five Chapters of Performance Audit on Mining of minor minerals with emphasis on illegal mining operations in Chhattisgarh. Chapter-I gives an introduction about the Mineral Resources Department, its management and organizational set-up and trends of revenue receipts as well as contains description of Audit objectives, criteria, scope and methodology, Chapter-II consist of findings related to compliance against the system and controls measures prescribed to curb illegal mining activities while Chapter-III deals with adoption of advanced technologies to curb illegal mining. Chapter-IV is regarding control over leakage of revenue in sand mining; and Chapter-V is about the functioning of District Mineral Foundation Trusts (DMFT) and delivery of intended benefits to mining affected areas and communities.
The audit has been conducted in conformity with the Auditing Standards issued by the Comptroller and Auditor General of India.
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