Non-collection of Water Tax causing colossal loss of Rs.3400 crores to State Exchequer

Non-collection of Water Tax causing colossal  loss of Rs.3400 crores to State Exchequer due to unholy alliance of Chief Minister with Companies, Exposed under RTI

Dear friends

Water Tax is the major source of revenue of the state.  A number of companies have been allocated water from various   rivers like Mahandi and its tributaries. From 2010 to 2017, a total quantity of 1229.857 cusecs of water has been allocated to 113 companies from various rivers more particularly from Mahanadi. But Water Resources Department which has been under control of Chief Minister since last 15 years  has miserably failed to collect water tax from these  Companies due to nexus of Chief Minister with these Companies.   Many of the Companies have brought stay order  on imposition of water tax  from High Court  since 2000 , year of Nabin Patnaik being elected as Chief Minister of Odisha.  The Minister, Officers and Engineers are so inefficient  that  they could not be able to vacate  State Order in High Court within period of 18 years.  Non-payment of water tax  by the Companies  has caused  a colossal loss of 3400 crore rupees  to state exchequer. If interest against pending amount is charged, it will be more than Rs. 5000 crore revenue loss to state exchequer. It is learn that Ministers, officers and Engineers are hand in gloves with these defaulting Companies and have been bribed heavily for not getting stay order vacated.   Steps taken by the Dept. to collect  water tax from the Companies  has remained  just eye wash exercise since 18 years.  

RTI Application was filed to the PIO, Dept. of Water Resources seeking information about water tax pending against companies in the State and steps taken to recover them. On 21.2.18, the PIO , office of EIC, Water Resources has supplied the following information.

1.       Total no. of 287 Companies have not paid water tax  to State Govt.

2.       Total outstanding of water tax against these Companies is Rs. 3411 crore.

3.       Major  companies  which  have deliberately not paid water tax for years together is as follows.

Sl.No.	Name of Company	Amount pending ( In crores)  as on 31.12.17	Arrear pending
1	Ballarpur Industries, Choudwar	255.21	30.5.2000
2	Arati Steel	40.07	March, 2013
3	Maheswary Ispat Limited	23.66	Nov. 20111
4	S.E.Railway, Jharsuguda	211.32	1.4.2000
5	Orient Paper Mills, Brajaraj Nagar	129.15	1.4.1999
6	M/s Bhusan Ltd.	50.26	Dec. 2004
7	Tata Refactories Ltd., Belapahad	39.08	1.4.1999
8	M/s  Shyam DRI  Pvt. Ltd.	62.24	Sept.2006
9	Rathi Steel & Power Ltd.	20.74
10	M/s ESPL Ltd.	13.68	Oct.2006
11	Sree Mahavir Ferro Alloys , Jiabahal	34.15	March, 2012
12	Adhunik Metaliks	29.72	Sept.2013
13	Vedanta Allumini Ltd.	10.86
14	Jindal Steel and Power Ltd.	39.50
15	NALCO, Angul	655.46	1.4.1999
16	Reliance Industries, Dhenkanal	26.52	1.4.1993
17	Bhusan Steel Limited	33.02
18	BRG Iron &Steel Co. Khuntuni	11.63	Oct.2010
19	Tata Steels, Joda	93.61	Jan., 1996
20	J.K.Corporation Limited, J.K.Pur	16.24	26.9.1994
21	Esar Steels India, Pvt. Ltd., Keonjhar	10.59
22	Sewa Paper Mill, Jeypore	443.83	2000
23	NALCO, Damanjodi	147.35	1.10.1999

2. Though many of the Companies  have brought stay order  from High Court against arbitrary imposition of Water Tax , the State Govt. have miserably failed to vacate stay order  and collect water tax  from the Companies  since 20 years.   It has been possible because of nexus of Chief Minister, top bureaucrats and Engineers of the Department.  Total No. of 23 Companies  have obtained stay order from High Court  and not paying water Tax. The details of Stary order obtained by the Companies from the High Court is as follows.

Sl.No.	Name of Industry	Court Case No.	Stay order /Decision, if any
1	Tata Steel	WP( C) No. 4602/2006	Stay is in force which is issued by High Court  on 4.9.2006
2	Bellarpur Industries , Choudwar	OJC No. 2120/1996 OJC No. 3885/1997 OJC No. 2554/2000	Stay order issued by High Court on 30.5.2000 and still in force
3	Bellarpur Industries, jeypore	OJC No. 1899/1996 & ojc No. 6503/2000	Court directed  on dated 9.8.2000 not to take  any coercive action  and stay in force
4	Tata Refractory Ltd.	OJC No. 1903/1995	Stay order issued by High Court  on 14.2.1995 and still in force
5	NALCO, Damanjodi	OJC No. 2083/1995	Stay On 23.8.2006, still in force
6	J.K.Corporation	OJC No. 6348/1995 & a new case WP (C ) No. 4199/2016	Stay since 26.9.94 and is still in force
7	NALCO, Angul	OJC No. 3783/1994 & OJC  No. 1149/1995	Stay granted on 23.6.1994 and still in force
8	Jindal Steel and Power Limited	WP( C) 18971/2015
9	Sri Arati Steels	WP (C ) No. 11955/2013 & 18581 of 2013
10	M/S Ganesh Sponge Pvt. Ltd.	WP( C ) 18907/2014
11	Orient Paper Mill, Brajaraj Nagar	OJC No. 4861/1994 OJC No. 2597/1995 OJC No.- 2078/1999
12	Odisha Synthetic, Baulapur( Reliance Industries Ltd.)	OJC No. 4075/1994	Stay from 12.8.1996 and further on 6.3.2003, still in force

Pradip Pradhan

M-9937843482

Date-3.3.18