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Tata Steel Gets Interim Relief on ₹1,755 Crore Coal Demand
Tata Steel wins interim protection from coercive action on a ₹1,755 crore Jharkhand coal mining demand. The Revisional Authority admitted its challenge but the dispute remains pending.
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Tata Steel won interim protection from a ₹1,755 crore demand raised by the Jharkhand government over alleged excess coal extraction. The Revisional Authority under the Ministry of Coal directed state authorities not to take coercive action while the company's challenge is pending.
The dispute dates back to coal mining at Tata Steel's West Bokaro Colliery in Jharkhand between FY2000-01 and FY2006-07. The District Mining Office in Ramgarh issued a demand notice on March 30, 2026, seeking ₹1,755.10 crore. Tata Steel received the notice on April 3.
The DMO alleged that Tata Steel extracted about 1.62 crore metric tonnes of coal beyond permissible limits during that seven-year period. The demand was raised on grounds similar to those cited by the Supreme Court in the Common Cause vs Union of India case.
Tata Steel disputed the demand, saying it "lacks justification and substantive basis." The company filed a Revision Application before the Revisional Authority on April 24. The State of Jharkhand, through its Secretary of Mines and Geology, and the District Mining Officer, Ramgarh, are the respondents.