JUDGMENT :

Purnendu Singh, J.

Heard Mr. Suraj Samdarshi alongside Jai Vardhan Narayan, learned counsel appearing on behalf of the petitioner, Mr. Gyan Prakash Ojha, learned GA-7 appearing on behalf of the State and Mr. Naresh Dixit, learned Spl. P.P appearing on behalf of Mines Department.

2. The petitioner has prayed for following relief(s) in paragraph no. 1 of the writ petition:

“I. Issuance of directions, orders or writs in the nature of certiorari setting aside the order dated 14.07.2023 passed by the Mines Commissioner, Department of Mines and Geology, Bihar in Appeal No. 01/2023 whereby and whereunder the Appeal filed by the petitioner against the order dated 23.01.2023 passed by the Collector, Sheikhpura was rejected and the order passed by the Collector, Sheikhpura was upheld cancelling the principal approval vis a vis Letter of Intent (LOI) for stone Block No. 27 situated at Mauza Hazaratpur Mandro Chandi, Thana Sheikhpura, District-Sheikhpura in an utmost arbitrary manner against the spirit of Rule 28 of the Bihar Minerals (Concession, Prevention of Illegal Mining, Transportation & Storage) Rules, 2019 without appreciating the fact that the petitioner had taken all necessary steps for grant of Environmental Clearance and is not responsible for delay in execution of the formal lease and a security deposit in the tune of Rs. 2,90,00,000/-(Two Crore Ninety Lakh) has also been ordered to be forfeited and the Collector, Sheikhpura has further been directed to take necessary steps for re-auction of the Stone Block No. 27 situated at Mauza Hazaratpur Mandro Chandi, Thana Sheikhpura, District-Sheikhpura as per the present applicable rules and regulations.

II. Issuance of directions, orders or writs in the nature of mandamus directing the respondents not to annul the settlement of Block Stone of the petitioner firm by cancelling the Principal Approval vis a vis Letter of Intent (LOI) for Stone Block No. 27 situated at Mauza Hazaratpur Mandro Chandi, Thana Sheikhpura, District-Sheikhpura and allow the petitioner to submit the environmental clearance, payment of instalments and other payments and all other necessary documents so that Form B be executed in between the Petitioner and the Respondent in accordance with law.

III. Any other relief or reliefs for which the petitioner may be deemed entitled to.”

BRIEF FACTS

3. The petitioner is a proprietorship firm registered under the Ministry of Micro, Small and Medium Enterprises having (Registration No. UDYAM-BR-08-0002321) and is running in the name of M/s Balaji Enterprises.

4. Pursuant to a Notice Inviting Tender (NIT) issued under the seal and sign of the District Magistrate, Sheikhpura for settlement of 9 Stone Blocks, the petitioner had participated in the auction proceeding conducted on 18.03.2017, in which, he was declared the highest bidder for Stone Block No. 27, situated at Mauza Hajratpur, Mandro Chandi appertaining to Khata no. 296 and Plot No. 2068 (P) areas 12.50 acres at District Sheikhpura, at a highest bidding amount of 29 crores.

5. A Letter of Intent (LOI) vide Letter No. 783 dated 21.09.2017, was issued in favour of the petitioner by the District Magistrate, Sheikhpura. As per the terms and conditions of the Letter of Intent (LOI), the Stone Block was settled in favour of petitioner for 5 years from the date of execution of lease deed. Further, the petitioner was required to make payment of 10% of the bid amount as security deposit, submission of Form B within 120 days from the date of LOI, mining plan, environmental clearance and other payments as per the LOI (Annexure -P2). However, Environmental Clearance could not be granted due to non submission of DSR.

6. It is the specific case of the petitioner that the District Magistrate, Sheikhpura has passed order contained in Memo No. 73 dated 23.01.2023, annulling the “In Principal Approval” granted in favour of the petitioner for Stone Block No. 27 situated at Mauza Hajratpur, Mandro Chandi appertaining to Khata no. 296 P