Back
1994 Supreme(AP) 243
Andhra Pradesh High Court
Judges : A.LAKSHMANA RAO, S.DASARADHA RAMA REDDY
Shambhu Prasad - Appellant
Versus
State OF A.P. - Respondent
Decided On : 06-17-94
The central legal point established in the judgment is the interpretation of the State government's power to levy and collect cess on dead rent in the context of mining leases.
Headnote:
Cess - Mining Leases - State Government's Power to Levy and Collect Cess on Dead Rent - The court allowed the writ petitions questioning the power of the State government to levy and collect cess on dead rent in the context of mining leases.
Fact of the Case:
The petitioners were granted mining leases for extraction of minor minerals, and the State Government executed a lease deed that included the collection of seigniorage fee, dead rent, land assessment, and cesses.
Finding of the Court:
The court allowed the writ petitions, indicating that the State government's power to levy and collect cess on dead rent was questioned and ultimately upheld in favor of the petitioners.
Issues: The main issue was the legality of the State government's authority to impose and collect cess on dead rent in the context of mining leases.
Ratio Decidendi: The court's decision was influenced by the interpretation of the legal provisions related to the State government's power to levy and collect cess on dead rent in the context of mining leases.
Final Decision: The writ petitions were allowed, and no order as to costs was issued.
( 1 ) IN all these writ petitions, the power of the State government to levy and collect cess on dead rent is questioned The petitioners have been granted mining leases for extraction of minor minerals. Pursuant to the grant of lease, a lease deed was executed by the State Government in favour of each of the petitioners. The order granting mining lease in favour of each of the petitioners provides that seigniorage fee, dead rent, land assessment and cesses should be collected. For example, in respect of lime stone, the rates are as follows:
( 21 ) THE writ petitions are accordingly allowed However, there shall be no order as to costs.
