Maharashtra Govt Slaps ₹56 Crore Fine In Sambhajinagar Sand Mining Scam; Officials Suspended

In response to a massive sand mining scam in Chhatrapati Sambhajinagar, the Maharashtra government has taken strict action by imposing a penalty of over ₹56 crore on the company involved. Revenue Minister Chandrashekhar Bawankule informed the Legislative Council on Thursday that government officials found guilty in the case have also been suspended.

The issue was raised through a calling attention motion by MLC Vikram Kale.

According to Minister Bawankule, the Maharashtra Jeevan Pradhikaran (MJP) had awarded a pipeline connection project at Rithighat in Chhatrapati Sambhajinagar to GCKC Project and Work Pvt. Ltd., Jaipur. This company had subcontracted Mahalaxmi Logistics for sand transportation.

Despite having legal permission for excavation, the company illegally extracted an additional 18,489 brass of sand. Moreover, instead of digging to the permitted depth of 1 metre, the excavation went as deep as 15 to 18 feet, raising serious environmental and legal concerns.

Government Action and Penalty

Taking note of the violations, the state government imposed a hefty penalty of ₹56.68 crore on the company on July 15, 2025. Legal action through the police has also been initiated.

Officials Under Scrutiny

Minister Bawankule revealed that officials involved have been suspended for failing to act despite being aware of the illegal activities. He further stated that while the approved rate of sand was ₹600 per brass, the company had quoted ₹4,180 per brass in the estimate, leading to inflated project costs. As a result, MJP has withheld ₹1 crore from the project estimate, and the full penalty amount will be recovered from the contractor.

Attention to SRA Project Irregularities in Vile Parle

The Minister also addressed issues related to the SRA cooperative housing project in Premnagar, Vile Parle, highlighting the involvement of land and slum mafias. He stated that while the slum was approved for redevelopment in 2002, the developer only paid rent for two years and defaulted for the next eight. Despite receiving project extensions between 2014 and 2017, construction was either stalled or left incomplete. The government will soon initiate appropriate action in this matter as well, he assured.