The government has cancelled its earlier permission for the Adani Group's Special Economic Zone (SEZ) over 1,840 hectares (ha) in Mundra (Gujarat), for violation of three rules.

Adani has a larger SEZ project in the same region and this is not affected by the government decision. Sources in the Union ministry of commerce and industry said Adani Ports and SEZ's project in question did not conform to the contiguity norms. And, breached a rule requiring the SEZ site to be vacant before approval was sought for the tax-free zone. Besides, the site was land-locked.