The Wall Street Journal reported Tuesday that the steel giant, which operates three iron ore mines in the Orissa state in eastern India, contends that it operates "with strict conformity with the existing laws," the company said in a statement.
Deepak Kumar Mohanty, the state's director of mines also said there were fines levied on other mining companies, as well.
"Yes, we have sent notices to mining companies. Representatives of the companies are free to appeal to the state government if they want to," he said.
He did not identify which other companies had been fined, the Journal reported.
The $1 billion fine is one of the largest ever imposed on a mining company in the country, the Journal reported.