New Delhi, Aug 30 (IANS) The central environment ministry has decided to widen the scope of an investigation panel probing violation of laws by South Korean steel major POSCO’s $12 billion project by asking it to review compliance with environmental protection and coastal zone regulations.

The four-member central panel led by former environment and forests department secretary Meena Gupta Sunday completed its three-day visit to the proposed POSCO site in Orissa’s Jagatsighpur district to check if there was any violation of law.

‘There is a partial modification in terms of reference for the committee. The committee will now review compliance with Environmental Protection Act, Coastal Regulation Zone and other clearances and approvals granted to the project,’ said a statement issued by the ministry Monday.

Besides, the committee will review compliance with statutory provisions, approvals, clearances and permissions under various statutes, rules and notifications.

The ministry has also extended the date of submission of committee’s report from Aug 28 to Sep 30.

The ministry set up the Meena Gupta panel last month after the Orissa government opposed the report by a previous panel led by National Advisory Council member and former bureaucrat N.C. Saxena.

The panel led by Saxena had recommended stoppage of all work at the project site pointing to various violations including of the Forest Rights Act.

Based on this report, the ministry Aug 5 asked the state government to halt all work related to the project.

The South Korean firm POSCO (Pohang Iron and Steel Company) had signed a deal with the Orissa government in 2005 to set up the project near the port town of Paradip, some 100 km from state capital Bhubaneswar, by 2016.

POSCO requires about 4,004 acres, mostly government land, for the project, of which 2,900 acres is forest land.

Thousands of villagers have been protesting against the project, saying it will displace them from their homeland and ruin their betel leaf farms.

POSCO and the state government however maintain that the project will bring prosperity and employment to the impoverished region.