Punjab sand mines auction: Bidders shy away from depositing security in about 50 per cent of mines

Indications are that the government would be able to make only about Rs 400 crore in this auction and will have to re-auction the rest of the mines

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The bidders had to deposit 50 per cent of the total bid amount and the first instalment till 5 pm on Tuesday. (Source: Express)

In a setback to the Punjab government that was hoping for a revenue of Rs 1,026 crore from auction of sand mines, a number of bidders who had bid for these mines at record high prices did not turn up to deposit the amount on Tuesday. The government had received about Rs 200 crore till the filing of this report as the department of mining was still in the process of compiling data on 89 mines auctioned across the state on Saturday.

The bidders had to deposit 50 per cent of the total bid amount and the first instalment till 5 pm on Tuesday. And as was being feared, in most of the mines where each tipper was costing over Rs 1 lakh, the bidders stayed away from depositing the amount. Sources said out of 89 mines, only about 47 were taken.

Indications are that the government would be able to make only about Rs 400 crore in this auction and will have to re-auction the rest of the mines. The government had announced it would cancel the bids for those mines not taken on Tuesday, besides blacklisting the bidders.

As per available data from the districts, Nawanshahar had recorded the heaviest auction of 12 mines at Rs 238.14 crore. Only three mines were taken on Tuesday and the successful bidders deposited only Rs 27.68 crore. The costliest bid was reported from Begowal where each truck would have cost the miner Rs 10 lakh each.

In Ludhiana, the bidders deposited security for 12 out of 16 mines. Four, including Dupana and Rajapur, were not taken, which were again the most expensive ones. The mines were auctioned at Rs 205.93 crore in Ludhiana, of which and only Rs 82.74 crore was deposited on Tuesday. In Amritsar, seven mines were auctioned at Rs 51.48 crore and only Rs 9.64 crore was deposited on Tuesday.

In Pathankot the auction had promised an amount of Rs 42.20 crore and only Rs 9.51 crore was deposited as security. Out of five mines, only three were auctioned and only one witnessed the contractor to deposit the security amount. Sources said the security was deposited in only those mines where the bids corresponded to the reserved price. Those shying away from depositing the security amount will not only invite action by facing blacklisting but the earnest money deposited by them would also be forfeited.

Kanchan Vasdev

Kanchan Vasdev is a Senior Assistant Editor in The Indian Express’ Punjab bureau. She is a highly experienced journalist with 22 years of expertise covering high-stakes politics, governance, and social issues in Northern India. Professional Background Role: Primary reporter covering the Punjab Chief Minister’s Office (CMO), government policies, and the Aam Aadmi Party (AAP) leadership in the state. Experience: She previously worked with The Tribune and has played a key role in launching various city editions. Special Projects: Abandoned Brides: Authored a monograph on brides abandoned by NRIs as part of the Prabha Dutt Memorial Fellowship. Environment: Worked as a Centre for Science and Environment (CSE) fellow, focusing on the pollution levels in the Satluj river. Recent Notable Articles (Late 2025) Her recent reporting focuses on the legislative strategies and political maneuvers of the Bhagwant Mann-led Punjab government: 1. Legislative & Governance Standoffs "Punjab govt advances special Assembly session to pass resolution against VB-G RAM G Bill" (Dec 20, 2025): Reporting on the state's move to block the Centre's "Viksit Bharat" mission, which the state claims will undermine MGNREGA. "Punjab govt doubles down on special sessions, sixth in January" (Dec 19, 2025): Detailing the AAP government's use of special sessions as a legislative tool amid tensions with the Governor. "Punjab asks 'VIP teachers' working near Chandigarh to go back to border districts" (Dec 16, 2025): Reporting on CM Mann's move to end the practice of influential teachers avoiding postings in remote areas. 2. Political Analysis & Rural Polls "Punjab rural polls: Why Akalis are likened to dinosaurs in Punjab" (Dec 19, 2025): Analyzing CM Bhagwant Mann's rhetoric against the Shiromani Akali Dal (SAD) following local body elections. "AAP claims win in 78% Punjab zila parishads as counting continues" (Dec 18, 2025): Breaking down the results of the 2025 rural elections. "Rahul Gandhi and Sidhu alike, says Bhagwant Mann" (Dec 13, 2025): Covering the CM's critique of the Congress leadership. 3. Law Enforcement & Bureaucracy "Suspended Punjab IPS officer Ravjot Kaur Grewal awaits reinstatement" (Dec 10, 2025): Investigative reporting on the bureaucratic red tape involving the Election Commission and the state government. "Punjab declines to give parole to Amritpal Singh" (Nov 27, 2025): Detailing the state government's refusal to grant parole to the radical preacher and sitting MP. 4. Welfare & Economy "Punjab government's plan to add more freebies to 'atta-dal' scheme hits funds roadblock" (Dec 4, 2024): An analysis of the fiscal challenges facing the state's flagship food security program. "Mann leads Punjab delegation to Japan and South Korea for investor outreach" (Dec 2, 2025). Signature Beat Kanchan Vasdev is known for her insider access to Punjab's political executive. Her writing provides deep insights into how state policies are formulated and the friction points between the state government and central authorities. Her dual expertise in environment and law allows her to report on complex issues like the "Farmhouse Policy" (Dec 18, 2025) and river pollution with a unique policy-oriented lens. X (Twitter): @kanchan99 ... Read More

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