JAIPUR: In a major crackdown on irregularities, the mining department cancelled auctions for 22 sand blocks in the state after companies failed to deposit bid amounts. Fresh tenders were floated, and proposals submitted to the Directorate of Mines and Geology (DMG) to curb illegal practices and streamline the process.
An official source said sand mafias are allegedly using unconventional tactics to disrupt the auction process. In previous cases, some companies placed high bids but failed to pay the full amounts, leading to the forfeiture of their money. This incomplete auction process has created loopholes, allowing illegal sand mining to thrive.
An official said, “With the annulment of the previous auctions, new tenders are being issued to ensure proper allocation of sand blocks. Proposals for the same have already been sent to the DMG, aiming to streamline the process and address the challenges faced in previous auctions.”
Citing an example, the official said that in the Bhilwara, Jahazpur, and Bijolia areas, there was not a single legal lease for sand mining in the Banas River. To address this issue and provide affordable sand to the public, the mining department has initiated auctions for three dozen blocks. However, only 13 blocks received letters of intent, while the remaining 22 blocks were awarded to companies that placed exorbitant bids but failed to pay the bid amounts.
“Four blocks received bids as high as Rs 150 crore each. However, the bidders failed to deposit the amounts. Following this, the department confiscated their earnest money deposits, totalling Rs 8.80 crore. While this added revenue to the govt, it did not address the issue of providing affordable sand to the public,” the official added.
The auctioned blocks include areas such as Jawasiya, Sayla, Bararod, Kherabad, and Kanyakhedi in Hamirgarh; Gegaka Kheda, Kared, Bhakliyan, and Sopura in Sawai Pur; Kesarpura, Bharanikalan, Rawatkheda, and Shakkarpura in Jahazpur; and Ramgarh, Gendliyan, and Hurda. “Two companies dominated the bidding, with bids of Rs 150 crore for four blocks,” the official said.
The department has also issued letters of intent for 13 blocks, but agreements have not been finalised due to the lack of environmental clearance (EC). Once EC is granted, sand mining can commence, potentially making affordable sand available to the public.