The report, which pegs Goa's illegal mining scam at approximately Rs.3,500 crore in the last financial year, was Wednesday submitted by PAC Chairman and the Leader of Opposition Manohar Parrikar to the speaker.
"Illegal extraction in survey number 7/1 Ambeli village of Sattari (was being) carried out under the pretext of construction of (a) water pond," the report stated.
"...The committee found the extreme reluctance of the authorities to act, indicating involvement of politicians and officials including those from the police department," the report stated.
The PAC accused the police of being reluctant to investigate the complaint.
Whether the report will be tabled in the two-day monsoon session of Goa assembly - which ends Friday - is doubtful, as Speaker Pratapsingh Rane said he would need "time to examine" it.
Goa exported nearly 54 million tonnes of iron ore in the last fiscal year out of which nearly 7 million tonnes was allegedly extracted illegally.