What impact does illegal mining have on the economy as shown in recent events in U.P.
Discuss the ED's attachment of assets worth ₹4,440 crore in an illegal mining case in Uttar Pradesh.
- Illegal mining undermines the formal economy by avoiding taxes and royalties that could have been collected by the government, leading to revenue loss.
- It distorts the market by flooding it with cheaply acquired minerals, which can drive down prices and profitability for legitimate mining operations.
- It damages the environment through illegal land clearing, deforestation, pollution, and habitat destruction, impacting local ecosystems and communities.
- The Enforcement Directorate's attachment of assets worth ₹4,440 crore serves as a significant deterrent against illegal mining activities, sending a strong message to potential violators.
- Such actions help in curbing the illegal mining activities, protecting the environment, and ensuring fair competition in the mining sector for sustainable economic growth.
Answered
11 months ago