A group of economists, rights activists and politicians have demanded a judicial inquiry into the West Bengal Power Development Corporation (WBPDCL) basalt mining project in Deucha Pachami – one of the largest coal reserves of the country in West Bengal.

Prasenjit Bose, an economist and activist, along with Jai Kisan Andolan leader Avik Saha, CPI(M) leader Goutam Ghosh, Congress state general secretary Ali Imran Ramz and tribal residents from the area have alleged numerous legal and financial irregularities, raising questions about the project’s legitimacy and the transparency of its tender process. 

The allegations directly contradict an announcement made by chief minister Mamata Banerjee on February 5, 2025, during the Bengal Global Business Summit, where she declared that mining activities were set to begin. A ‘bhumi puja’ was organised the following day, February 6, which was met with protests from local residents, including tribal women. According to the activists, the state government has not yet submitted the mining lease application for the DPDH coal block, which was due in 2021.

“The state government has not yet applied for the mining lease. There is no coal mine at Deocha Pachami Dewanganj Harinsinga (DPDH) yet. Of the total 3,400 acres in the project, 431 acres are for the basalt mining project. A global Expression of Interest (EOI) to pick a coal mine developer was issued in December 2024 and extended to April 2025. The outcome is unknown. The Union Ministry of Coal is aware of all the irregularities but remains silent,” says Bose.

The state cabinet cleared basalt extraction over 431.47 acres (≈174 ha) – an “A-category” scale requiring Central Environmental Appraisal Committee and mandatory public consultation. Approvals later sought were 44 acres and finally 12 acres (4.856 ha), processed as Category B2, which carries no public hearing. The State Environment Impact Assessment Authority (SEIAA) granted clearance for only 12 acres (4.856 hectares) in October 2024, categorising it as a “B2 category” project to avoid mandatory public hearings required for projects above 5 hectares. 

This, activists claim, was done to circumvent mandatory environmental safeguards through what experts term as “salami slicing” – breaking down a large project into smaller phases to avoid stringent clearance requirements.

“Out of the 431 acres, only 13 acres have received environmental clearance. If a larger area were involved, a public hearing would be required, so the project’s category is being manipulated,” Bose explains.

The West Bengal Power Development Corporation Limited (WBPDCL) awarded the Mine Developer and Operator (MDO) contract to a consortium formed by Trancemarine and Confreight Logistics Pvt Ltd and Abhinna Mining Pvt. Ltd. in March 2024, based on the maximum revenue share of 71.5% for the state government. Trancemarine had no mining experience, Rs 6.65 crore net worth, and solely handled logistics. Its consortium partner, Abhinna Mining Pvt Ltd, has a net worth of only Rs 3.25 lakh and a debt-to-equity ratio of 77.42, which can be characterised as “extremely over-leveraged.”

Himadri Speciality Chemical Ltd, a Kolkata-based chemical conglomerate, acquired 60% of Trancemarine in April 2025. Sturdy Niketan Pvt Ltd, incorporated in February 2023 with a paid-up capital of only Rs 20,000 and zero operational revenue, became central to the scheme. Despite having no business activity, Himadri committed Rs 150 crore in loans to this dormant entity for “royalty payments related to mineral extraction.” This acquisition directly contravened the tender conditions, which explicitly prohibited any change in consortium composition during the bidding process or after project award without prior written permission from WBPDCL.

The tender document clearly stated: “No change in the composition of the Consortium shall be permitted during the bidding process and after the award of the project.” Despite this, Himadri’s acquisition proceeded without disclosure to WBPDCL, raising serious questions about the legitimacy of the contract.

“A cabinet note stated that a basalt mine on 430 acres would generate a profit of 5,600 crore rupees. The extraction work contract was awarded to Trancemarine and Confreight Logistics Pvt Ltd, with the condition that ownership could not be changed. However, the ownership was changed. There is clear irregularity here,” Bose claims.

Abhinna Investments, the parent company of Abhinna Mining, also owns GD Sports Ventures, which runs the Harbour Diamonds cricket team. Former Indian cricketer and current Trinamool Congress minister of state for Sports and Youth, Manoj Tiwary, is associated with the team.

“There is a series of strange coincidences and secrecy surrounding this project. The opaqueness of the tender process and subsequent acquisition of the consortium indicate links with the top political family in the state,” alleges Avik Saha, national convenor, Jai Kisan Andolan.

Local tribal communities and villagers continue to protest against the project, citing concerns about displacement, environmental damage and lack of transparent consultation. However, the district administration and police have reportedly clamped down on peaceful protests, with allegations of intimidation and violence against protesters.

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