IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI
U. DURGA PRASAD RAO, J.
Southern Rocks & Minerals Private Limited – Appellant
Versus
The Government of Andhra Pradesh, Industries & Commerce (Mines-II) Department and Ors. – Respondents
W.P. Nos. 10994, 10996 and 11006 of 2021
Decided On : 23-08-2021
Constitution of India, 1950 - Mines and Minerals (Regulation and Development) Act, 1957 – Section 2, 3(aa), 14, 15 - Granite Conservation and Development Rules, 1999 - Rule 18(2), 19(1), 31(1), 37 and 41 (a) & (b) - APMMC Rules, 1966 - Rule-26 – Illegal mining - Petitioner challenges show cause notice, consequential demand notice and quarry lease determination order passed by 2nd respondent/Director of Mines & Geology - Whether prior intimation/notice is essential before a joint team of officers comprising Vigilance and Enforcement and Mines and Geology embark upon inspection of leasehold mines of petitioner - Whether show cause notices issued by 2nd respondent manifest pre-determined and biased attitude of authorities to somehow proscribe and punish petitioner - Whether principles of natural justice were infracted by 2nd respondent by denying personal hearing to petitioner - Whether availability of alternative remedy is a bar to writ petition – Held, "illegal mining" means any reconnaissance or prospecting or mining operation undertaken by any person or a company in any area without holding a reconnaissance permit or a prospecting license or a mining lease as required under sub-section (1) of Section 4 of MMDR Act, 1957 - Circular Memo relied upon by petitioner relates to illegal mining only - It is essential for notice to specify particular grounds on basis of which an action is proposed to be taken so as to enable noticee to answer case against him - If these conditions are not satisfied, person cannot be said to have been granted any reasonable opportunity of being heard - In lease determination proceedings, except recording that Department officials submitted inspection report finding excess recovery and petitioner's survey details were not considered, 2nd respondent did not give any reason as to correctness or otherwise of petitioner's report - It otherwise amounts to non-consideration of petitioner's report without any plausible reason - 2nd respondent has grossly violated principles of natural justice - In contingencies of enforcement of fundamental rights or where there was a violation of principles of natural justice or where order or proceedings were wholly without jurisdiction or vires of an act is challenged, High Court can exercise writ jurisdiction - Writ Petitions allowed.
ORDER :
U. Durga Prasad Rao, J.
1. The Petitioner company holds three leases for black galaxy granites in respect of (i) 2.729 hectares in S.No. 21/11 to 13, 25P, 26, 27/P & 28/P (concerning to W.P. No. 10994/2021) (ii) 2.223 hectares in S.No. 988/2 (concerning to W.P. No. 10996/2021) and (iii) 2.356 hectares in S.No. 60/P, 101/1P, 102/P (concerning to W.P. No. 11006/2021) of R.L. Puram Village of Chimakurthy Mandal, Prakasam District. All the leases are for 20 years and last till 2028-32. In all the three writ petitions, the petitioner challenges the show cause notice, consequential demand notice and quarry lease determination order passed by the 2nd respondent/Director of Mines & Geology.
2. The petitioner's case succinctly is thus:
(b) Consequent to the above order dated 13.03.2020, the 2nd respondent, who is the Director of Mines & Geology, issued show cause notices Nos. 3304740/Vg/2020-3 dated 17.03.2020 (relating to W.P. No. 10994/2021) No. 3304740/Vg/2020-4 dated 18.03.2020 (relating to W.P. No. 10996/2021) and No. 3304740/Vg/2020-27 dated 18.03.2020 (relating to W.P. No. 11006/2021) to the petitioner. Since all the relevant documents which were relied upon to issue show cause notices were not served on petitioner in compliance of the direction contained in common order dated 13.03.2020 of this Court, and also due to COVID-19 pandemic and consequential lockdown and non-availability of staff, the petitioner sought for time as well as relevant documents to enable it to submit explanation to the aforesaid three show cause notices. In that regard, some letter correspondence took place between the petitioner and office of 2nd respondent. The 2nd respondent furnished only some documents and without waiting for the explanation of the petitioner, issued demand notices Nos. 3304740/Vg/2020-3, 3304740/Vg/2020-4 and 3304740/Vg/2020-27 dated 31.07.2020. Aggrieved, the petitioner filed W.P. Nos. 14298, 14303 & 14401 of 2020 challenging the demand notices dated 31.07.2020. The respondents appeared and sought time for filing counter. When the matter stood thus, instead of filing counters, the responden
Swadeshi Cotton Mills v. Union of India 1981 (1) SCC 664
A.K. Kraipak v. Union of India [1970 (1) SCR 457
Andhra Cements Ltd. v. Government of Andhra Pradesh 2000 (1) ALD 388 : 2000 (1) ALT 266
Gorkha Security Services v. Government (NCT of Delhi) 2014 (9) SCC 105.
Madhya Pradesh Industries Ltd. v. Union of India AIR 1966 SC 671
Mohinder Singh Gill v. Chief Election Commissioner
Nasir Ahmad v. Assistant Custodian General
Patel Engineering Limited v. Union of India 2012 (11) SCC 257.
State of Tamilnadu v. Hind Stone ETC 1981 AIR 711 : 1981 SCR (2) 742 : 1981 SCC (2) 205
UMC Technologies Private Limited v. Food Corporation of India 2021 (2) SCC 551
Point of law: Rule 12 (5) (b) of APMMC Rules, 1966 provides relaxation to the authorities to consider applications on the priority basis, by recording any special reasons
For the purpose of Rule 35-A, if the Government feels that the orders passed by the Assistant Director of Mines and Geology, on 16.10.2018 were not in accordance with the provisions of the Act, the D....
The judgment establishes the principle that the observance of natural justice, including providing an opportunity to be heard and access to relevant documents, is essential before taking any adverse ....
The jurisdiction under Article 226 is not available if alternative remedies exist, and exhausting statutory remedies is mandatory before judicial intervention.
Writ petitions can be maintained against show cause notices if they demonstrate pre-determined conclusions by the authority, constituting a legal mala fide exercise of power.
The main legal point established in the judgment is the importance of observing the principles of natural justice in administrative decisions, and the requirement for authorities to consider relevant....
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