Skip to content

Illegal mining operations linked to BSP MLA Umashankar Singh's companies, according to a CAG report, have led to a revenue loss of approximately ₹60 crores for the Uttar Pradesh government.

Singh's wife's company, Chhatra Shakti Infra-Construction, leased land for mining at a rate of `3,000 per cubic metre. However, they allegedly conducted 33,604 cubic metres of unauthorized mining.

Illicit Mining Operations Tied to BSP MLA Umashankar Singh's Companies Revealed in CAG Report,...
Illicit Mining Operations Tied to BSP MLA Umashankar Singh's Companies Revealed in CAG Report, Resulting in Approximately ₹60 Crore in Revenue Loss for the Uttar Pradesh Government.

Illegal mining operations linked to BSP MLA Umashankar Singh's companies, according to a CAG report, have led to a revenue loss of approximately ₹60 crores for the Uttar Pradesh government.

In a startling revelation, the Comptroller and Auditor General (CAG) has exposed a vast network of illegal mining activities in Uttar Pradesh, implicating firms linked to BSP MLA Umashankar Singh.

According to the CAG report, officials in the state have been imposing penalties at royalty rates instead of auction rates, leading to significant revenue losses for the Uttar Pradesh government. This practice, instead of recovering dues at the auction rate, has resulted in a loss of over ₹60 crore to the state.

The report further highlights collusion between leaseholders and district officials in these illegal mining activities. In one such case, Chhatra Shakti Infra-Construction, a firm linked to Singh's wife, obtained a lease at a rate of ₹3,000 per cubic metre but carried out 33,604 cubic metres of illegal mining. Together with Sai Ram Enterprises, they gained benefits exceeding ₹19 crore from these activities.

Sai Ram Enterprises mined 62,072 cubic metres illegally and settled dues for only ₹5.95 crore, instead of paying the full ₹18.68 crore. Remote sensing through Google Earth has confirmed mining beyond approved lease areas in 16 districts across the state.

The CAG report cites cases across 11 mining offices where 65 leaseholders extracted over 10.9 lakh cubic metres illegally, but only ₹9.18 crore was recovered against an estimated liability of ₹90.28 crore.

Geology and Mining Director Roshan Jacob issued warnings and recommended lease cancellations in July 2023. However, subsequent administrative changes appear to have diluted the action taken against these illegal mining activities.

As of the latest available information, investigations regarding Umashankar Singh, MLA of Rasra, and the alleged illegal mining activities linked to his wife's company Chhatra Shakti Infra-Construction and Sai Ram Enterprises mentioned in the CAG report are ongoing. No public conclusion or charges have been finalized as yet.

Singh, who was elected in 2022, is among Uttar Pradesh's wealthiest legislators, with assets of nearly ₹54 crore. The ongoing investigations into these illegal mining activities promise to shed light on the extent of corruption and mismanagement in the state's mining sector.

Read also: