IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI
NINALA JAYASURYA, J.
M/s. Priyanka Minerals and M/s. AVI Mines and Minerals - Petitioner
Versus
The State of Andhra Pradesh and Others – Respondents
Writ Petition No.30814 of 2023
Decided On : 23-04-2024
(A) Writ Petition - Security Deposit - The petitioner filed a writ petition seeking refund of security deposits amounting to Rs.31,75,000/- remitted for quarry lease applications after dropping from the lease process due to land encroachment issues - The Mines and Geology Department approved the refund but failed to deposit the amounts - The court directed the respondents to release the security deposit within four weeks. (Paras 1-5)
(B) Judicial Discretion - The court found no justification for granting further time to the respondents to file a counter, emphasizing the need for timely action in refunding the security deposits. (Paras 4-5)
ORDER :
(Ninala Jayasurya, J.)
Aggrieved by the action of the respondents in not refunding the Security Deposit amounts, worth of Rs.31,75,000/-, remitted with each Quarry Lease Application, even after dropping from the lease of quarry, the present Writ Petition is filed.
2. Heard the learned counsel for the petitioner. Also heard learned Assistant Government Pleader for Mines & Geology, appearing for the respondents.
3. Learned counsel for the petitioner while making submissions with reference to the averments made in the writ affidavit, filed in support of the Writ Petition, inter alia, contends that the petitioner submitted applications for the Quarry Leases in Government Lands, situated in various villages of SPSR Nellore District, notified by the Government and the 4th respondent issued receipts for applications for quarry leases to the petitioner viz., M/s Priyanka Minerals and M/s. AVI Mines and Minerals. Learned counsel submits that the petitioner remitted security deposit amounts to a tune of Rs.31,75,000/-, as detailed in para - 6 of the writ affidavit. He further submits that on coming to know that there are few forest lands and issues of encroachment of land of quarries, the petitioner dropped from the quarry lease process and made a representation to refund / return the security deposits remitted with each quarry lease application. It is further submitted that though the Mines and Geology Department has approved the amounts for refund and the challans were prepared, but the same were not deposited in petitioner's account. Hence, the petitioner is constrained to file the present Writ Petition.
4. At the time of considering the matter, the learned Government Pleader for Mines and Geology seeks further time to file counter. However, on perusal of the docket proceedings right from 28.11.2023 and considering the specific averments made in the writ affidavit as also the grievance of the petitioner with regard to non-refund of Security Deposit, which was furnished at the time of submitting applications for Quarry Lease, this Court see no justification to grant further time to the respondents to file counter and their inaction in returning the Securing Deposit amounts cannot be countenanced.
5. In such view of the matter this Writ Petition is disposed of with a direction to the respondents to release the Security Deposit amounts of Rs.31,75,000/-, remitted with each Quarry Lease Application by the petitioner, as expeditiously as possible, at any rate, within a period of four (04) weeks from the date of receipt of a copy of this order. No costs.
6. Consequently, the Miscellaneous Applications pending, if any, shall stand closed.
The court mandated the timely refund of security deposits for quarry leases, emphasizing accountability in administrative actions.
The authority must provide adequate reasons for the complete forfeiture of a security deposit, especially when a lesser penalty has been imposed and already paid.
Judicial consistency demands adherence to prior rulings, ensuring prompt resolution of claims related to security deposits and sand ghat allotments.
The court held that if environment clearance is rejected, the contract becomes impossible, warranting a refund of the security deposit.
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