IN THE HIGH COURT AT CALCUTTA
BIBEK CHAUDHURI, J.
Shyamali Hazra – Petitioner
Versus
State of West Bengal and Others – Respondents
WPA No. 16721 of 2016
Decided On : 20-06-2023
MINING LEASE - RENEWAL - WEST BENGAL MINOR MINERALS CONCESSION RULES, 2016 - RULE 62 - APPLICATION FOR RENEWAL MADE BEFORE RULES CAME INTO EFFECT - ACTION TAKEN BY AUTHORITIES BEFORE AND AFTER COMMENCEMENT OF RULES - SAVED FROM RESTRICTION OF RULES - ACTION TO BE TREATED AS UNDER CONCESSION RULES, 2016.
Fact of the Case:
Petitioner applied for renewal of long term mining lease for extraction of sand. His prayer was kept in abeyance till disposal of a mandamus appeal filed by the State Government. Later, petitioner's prayer was allowed by the Administrative Authority following a decision in a similar case. However, the authorities relied on the West Bengal Minor Minerals Concession Rules, 2016, which came into force after the petitioner's application was made, and contended that renewal was not permissible under the new rules.
Finding of the Court:
The court held that the petitioner had taken steps for renewal of the mining lease and deposited the required amount before the West Bengal Minor Minerals Concession Rules, 2016 came into force. The authorities had also acted on the application after the commencement of the new rules. Therefore, the action taken by the authorities was saved from the restriction of the new rules and was to be treated as action under the Concession Rules, 2016.
Issues: Whether the petitioner's application for renewal of mining lease was subject to the West Bengal Minor Minerals Concession Rules, 2016, which came into force after the application was made.
Ratio Decidendi: The court relied on Rule 62 of the West Bengal Minor Minerals Concession Rules, 2016, which provides that anything done or action taken before the repeal of the previous rules shall be deemed to have been validly done or taken under the corresponding provisions of the new rules. The court held that the authorities had already taken action on the petitioner's application before and after the commencement of the new rules, and therefore, the action was saved from the restriction of the new rules.
Final Decision: The court directed the authorities to decide and dispose of the petitioner's application for renewal of mining lease within 60 days from the date of communication of the order, after giving due opportunity to the petitioner for hearing.
JUDGMENT :
BIBEK CHAUDHURI, J.
1. The petitioner applied for a long term mining lease for extraction of sand in Mouza - Mirchoba under the Police Station and District - Purba Burdwan. Initially, the lease was granted for a period of five years on 28th December, 2006. The deed of lease was executed on 26th April, 2007 for a period of five years. Subsequently, the said lease was extended for a period of further five years on 23rd July, 2012. Before expiry of the extended period the petitioner by a letter dated 8th February, 2016 applied for renewal of the said lease which was scheduled to be expired on 28th August, 2016. By a letter dated 22nd February, 2016 issued by the Additional District Magistrate and District Land and Land Reforms Officer, Burdwan his prayer for renewal of lease was kept in abeyance till the disposal of a mandamus appeal filed by the State Government being MAT 2037/2014.
2. The petitioner has annexed an order sheet of a proceeding initiated in respect of the prayer for renewal of mining lease on the basis of an order passed in WP No. 24290 (W) of 2013 in the matter of Payel Chowdhury vs. State of West Bengal. In the aforesaid writ petition a Coordinate Bench of this Court vide order dated 20th August, 2014 directed the respondent to decide and dispose of the application for long term mining lease by six weeks upon giving opportunity of hearing to the petitioner or his authorized representatives and to pass reasoned order and to communicate the same within two weeks from the date of passing of the order. Finally, vide order dated 7th July, 2015 long term lease was renewed in favour of the said Payel Chowdhury, petitioner of WP No. 24290 (W) of 2013 on the following grounds:
| Date of registration of lease deed | 25.04.2008 |
| Date of Handing over of possession | 01.07.2008 |
| Date of expiry of lease deed | 30.06.2013 |
On the other hand, in another appeal vide MAT No. 947 of 2014 with CAN No. 6863 of 2014 in the matter of Smt. Mallika Biswas vs. State of West Bengal and Others the Hon’ble High Court, Calcutta held that “until the order passed by the writ Court declaring these two provisions as ultra-vires is set aside by the Hon’ble Appeal Court, the law which has been laid down by the Writ Court in the said decision will be the law of the land and the rights of the parties at large will be governed by the principles as laid down by the Writ Court in the order dated 4th July, 2014 passed in W.P. No. 16526(W) of 2013. It may also be kept on record that though such an appeal was filed but no interim order has yet been passed by the Hon’ble Appeal Court staying the operation of the order by which these two amended provision of West Bengal Minor Mineral Rules, were declared as ultra-vires.”
In instant Writ Petition being Writ Petition No. 24290 (W) of 2013 the Hon’ble High Court directed the concerned respondents to decide and dispose of the application for long term minin
Action taken by the authorities on an application for renewal of mining lease before and after the commencement of the West Bengal Minor Minerals Concession Rules, 2016, is saved from the restriction....
The court held that the appellant's application became ineligible under Rule-61 of the 2016 Rules, and the appellant had no vested right to obtain a mining lease under the old Rules of 2002.
Writ petition dismissed as application for renewal of mining lease was properly denied under relevant legislative rules due to lack of actionable provisions.
Administrative authority must follow procedural fairness and apply statutory rules accurately when determining license renewals.
Mining authorities cannot refuse lease extensions based on policy when statutory provisions support such extension, especially if the delay was not the lessee’s fault.
The renewal clause in a mining lease deed provides a vested right to renewal, independent of the rules' repeal, and the doctrine of frustration is not applicable to concluded transfers.
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