Pune/New Delhi, Jun 11 (IANS): The environment ministry Friday ordered action against Lavasa Corporation Limited for illegal constructions on 681 hectares at its upcoming private hillstation near Pune. The company "welcomed" the move.

In a letter to the Maharashtra government, Bharat Bhushan of the environment ministry said: "During the process of appraisal and also based on the site visit by the committee headed by Naresh Dayal, it was found that constructions/developments in the 681 hectare area was in progress without obtaining prior environmental clearance."

"Request you to initiate necessary action under Environment (Protection) Act, 1986, against violation of the Act," the letter added of the massive lake city project 60 km from Pune.

Reacting to this, Lavasa Corporation said in a terse statement Friday evening: "We welcome the recommendations of the ministry of environment and forests appointed expert appraisal committee."

However, company sources pointed out that the Naresh Dayal Committee, which had inspected the site in January, had recommended clearance for the first phase of the project comprising 2,000 hectares subject to strict compliance of norms and conditions.

On Feb 2, the company submitted its proposal seeking environmental clearance for Phase-I of the project.

The ministry had, Nov 25 last year, slapped a show-cause notice on the company because it had allegedly failed to secure necessary environmental clearances before starting work on its 5,000-plus hectare lake city project coming up in Mulshi sub-district of Pune district, around 200 km from Mumbai.