Tata Steel High Court rules on ₹4313 Cr mining demands

Tata Steel challenged two demand letters from the Deputy Director of Mines, Jajpur, totaling ₹4313.62 crore (₹1902.72 Cr and ₹2410.89 Cr). These demands were for alleged shortfalls in chromite dispatch from its Sukinda Chromite Block for the 4th and 5th years of the Mine Development and Production Agreement, citing violations of Rule 12A of MCR 2016. The Hon'ble High Court of Orissa pronounced judgment on April 20, 2026, disposing of both writ petitions. The Court upheld the constitutional validity of Rule 12A(1) and its subsequent amendments. However, it ruled that the penal consequences for non-adherence of minimum dispatch obligations, introduced by sub-rules (1A), (1B), and (1C) of Rule 12A, apply prospectively from July 1, 2021, and cannot be applied retrospectively.