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Tata Steel has secured interim protection from the Orissa High Court in the Sukinda Chromite Block litigation, shielding it from coercive action over demands up to ₹24.1 billion. The extension lasts until December 3, 2025, as the company challenges alleged violations under the Minerals Concession Rules, 2016.
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Tata Steel Ltd has received a significant reprieve in its ongoing litigation concerning the Sukinda Chromite Block. The Orissa High Court has extended interim protection until December 3, 2025, shielding the company from coercive action related to a substantial demand raised by mining authorities.
Key Highlights
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Court Order: The High Court’s extension provides Tata Steel with continued protection while the matter undergoes judicial review.
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Litigation Background: The dispute stems from a demand letter issued by the Office of the Deputy Director of Mines, Jajpur, citing alleged violations under the Minerals Concession Rules, 2016.
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Financial Impact: Authorities had raised demands ranging from ₹1,902.72 crore to ₹24.1 billion, linked to alleged shortfalls in chrome ore dispatch and compliance issues.
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Company Response: Tata Steel filed a writ petition challenging the demand, arguing that the claims were excessive and inconsistent with contractual obligations.
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Next Steps: The case has been tagged with similar matters, and the next hearing is scheduled for December 3, 2025, when further directions are expected.
This interim relief underscores Tata Steel’s ability to safeguard operations while navigating complex regulatory challenges in India’s mining sector.
Sources: InvestyWise, FilingReader, ScanX Trade
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