2014 Supreme(AP) 378
HIGH COURT OF ANDHRA PRADESH
NOOTY RAMAMOHANA RAO, J.
N. Phani Kumar
Versus
The Government of Andhra Pradesh Rep. by its Principal Secretary to Industries and Commerce
Writ Petition No. 4730 of 2014
Decided on: 18-03-2014
Advocate Appeared
For the Petitioner:Unnam Muralidhar Rao, Advocate.
For the Respondent: Government Pleader for Mines and Geology.
Consent for transfer of a mining lease is neither a mechanical process nor an automatic one. It is a regulated exercise covered by the statutory regime.
Headnote:Mining Laws-Mining Lease-Transfer-Without previous consent of State Government, lessee shall not assign or sublet or in any manner transfer the mining lease held by him---Nor can he transfer any interest in a mining lease in favour of a third party without any such consent of the State Government-Order recognising transfer has to be passed by State Government, duly accepting the proposal---That is not a mere formal act---Consent can be accorded only upon satisfaction of all relevant factors. Till such time an order of transfer is passed, the lease holder retains his status as such and continues to be a lessee. Only after a transfer order is passed, he ceases to be a lessee and a new individual or entity steps into his shoes to function as lessee for the balance un-expired lease period. Till such time an order of transfer is passed, his status as lessee does not get diminished and no third party can step into his shoes as such.
Result-Writ Petition dismissed.
The petitioner herein challenges the order passed by the Director of Mines and Geology through his memo dated 19.12.2013 requiring the Assistant Director of Mines and Geology, Nizamabad to submit proposals on the transfer of mining lease application after obtaining the consent from the legal heir and the present mining lease holder for taking further action in the matter. The petitioner also seeks a consequential direction to the 1st respondent State Government to pass appropriate orders by transferring the un-expired period of mining lease of Quartz over an extent of 3.920 hectares in Sy.No.629/2 of Nandipet village and Sy.Nos.62 and 63 of Chimarajpally village, Nandipet Mandal, Nizamabad District in favour of the petitioner pursuant to the recommendations made by the respondent Nos.2, 3 and 4.
The State Government, the 1st respondent herein passed orders through their G.O.Ms.No.352, Industries and Commerce (M.III) Department dated 17.12.2007 granting mining lease for Quartz over an extent of 3.920 Hectares situated in Sy.No.629/2 of Nandipet Village and Sy.Nos.62 and 63 of Chimarajpally Village of Nandipet Mandal, Nizamabad District for a period of 20 years in favour of M/s Sri Venkateswara Minerals subject to obtaining Consent For Establishment (CFE) from the A.P. Pollution Control Board and subject to satisfaction of Mineral Concession Rules, 1960 (henceforth called Rules) and the Provisions of Mines and Minerals (Development and Regulation) Act, 1957 (for brevity referred to as Act from now on). The State Government passed further orders through their Memo No.1090 dated 11.02.2009, after due consideration of the request of M/s Sri Venkateswara Minerals, granted extension of time for a further period of six months from the last expiry date for execution of lease deed. Accordingly, upon satisfactorily complying with all statutory requirements and other related formalities, a mining lease has been executed on 28.07.2009 for a period of 20 years i.e. up to 27.07.2029, according permission to commence mining operations over the leased extent of land. It appears on 28.10.2009, an application for transfer of the mining lease for the un-expired portion in favour of the writ petitioner has been filed. Sri Mohd.Abdul Hai, the sole proprietor of M/s Sri Venkateswara Minerals signed the transfer application and also filed an affidavit setting out that due to financial and age related problems he desired to transfer the mining lease in favour of the writ petitioner herein for the un-expired lease period up to 27.07.2029. That application has been processed by the Assistant Director of Mines and Geology, Nizamabad, who recommended the transfer to be accorded. The Zonal Joint Director of Mines and Geology, Hyderabad, has also considered the matter and agreed with the recommendations of the Assistant Director of Mines and Geology for transfer of the mining lease in favour of the writ petitioner herein for the unexpired portion. The Director of Mines and Geology, through his communication dated 02.06.2010 required Sri Mohd. Abdul Hai to submit the necessary declaration within 15 days by way of notarized affidavit with regard to the consideration amount received by the transferor from the transferee so as to consider the justification for the transfer proposals and also to make an assessment as to whether the transfer proposal is a speculative one or not. It is the case of the petitioner that Sri Mohd.Abdul Hai has accordingly submitted the notarized affidavit vouching for the fact that he has received an amount of Rs.50,000/-towards consideration for the transfer of the mining lease in favour of the petitioner herein as that was the amount incurred by him towards the preliminary expenditure. Thereafter the proposal for transfer has been processed once again to the Director of Mines and Geology for his consideration.
It appears in the meantime Sri Mohd.Abdul Hai expired on 26.09.2010. Hence his wife, the 5th respondent herein file