Karnataka HC quashes Rs 482.7 crore penalty on ACC, restores mining lease rights
The Karnataka High Court has set aside a Rs 482.70 crore penalty on Adani Group-owned ACC and directed the state to execute its supplementary limestone mining lease deed. The court held the lease remains valid until March 31, 2030, removing a material regulatory overhang for ACC’s Kalaburagi operations.
What happened
ACC Limited · Karnataka High Court quashed a Rs 482.70 crore mining penalty on Adani Group-owned ACC, ordered restoration of portal access and execution of its
Key facts
- Rs 482.70 crore penalty quashed
- Rs 367.51 crore revised royalty demand
- Rs 125 crore previously deposited
- 7.83 million metric tonnes of alleged limestone extraction
- Lease deemed extended until March 31, 2030
What changed
Karnataka High Court quashed a Rs 482.70 crore mining penalty on Adani Group-owned ACC, ordered restoration of portal access and execution of its supplementary lease deed, holding the company’s limestone lease had statutory validity through March 2030.
Why this matters
ACC’s Kalaburagi plant gains secure limestone supply access through March 2030, removing a major disruption risk and supporting production continuity.
What to watch
- Formal execution of the supplementary limestone mining lease deed.
- Any Karnataka government appeal, stay application, or Supreme Court filing.
- ACC disclosure on reversal of provisions, contingent liabilities, or cash-flow impact from the Rs 482.7 crore penalty.
- Kalaburagi production, clinker utilization, and cement dispatch trends over the next two quarters.
- Changes in Karnataka mining royalty demands, environmental approvals, or additional notices affecting the lease.