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2025 Supreme(Cal) 552

IN THE HIGH COURT AT CALCUTTA
PARTHA SARATHI SEN, J.
M/s. Todi Minerals Private Limited – Appellant 
Versus
The State of West Bengal and Others – Respondents
WPA Nos. 12080, 12082 of 2025
Decided On : 04-07-2025

Advocates Appeared:
For the Appellants : Sagar Bandyopadhyay, Satadru Lahiri, Syed Wasim Faruque
For the Respondents: Sk. Md. Galib, Priyamvada Singh, Jahar Lal De, Sourav Choudhury

Administrative authority must follow procedural fairness and apply statutory rules accurately when determining license renewals.

Headnote:(A) Mines and Minerals (Development and Regulation) Act, 1957 - Section 15; West Bengal Minor Minerals Rules, 2002; West Bengal Minor Mineral Concession Rules, 2016 - Renewal of mining leases - Petitioners challenged the Memo issuing authority's refusal to renew leases, citing procedural impropriety and misinterpretation of applicable rules - Court reveals the necessity for proper considerations under Rules of 1999 and 2016 - Petitioners' request for renewal must be assessed afresh with a hearing opportunity granted. (Paras 3, 9, 22, 25, 29)

(B) Writ Jurisdiction - Judicial review grounds - Authority must consider regular procedural fairness and apply relevant legal provisions appropriately - The renewal of mining leases is subject to legislative conditions that were not addressed adequately by the authority. (Paras 12, 14, 24)

Facts of the case:
The petitioners contested the refusal to renew mining leases by the authority without a fair hearing, arguing that the refusal contradicts the provisions of applicable rules and renewal clauses contained in prior lease agreements.

Findings of Court:
The court sets aside the contested memorandum, directing a fresh consideration of the renewal request with due process followed, including giving notice of hearing to the petitioners.

Issues: Whether the renewal of mining leases was denied in contravention of established rules and without fair opportunity for the petitioners to present their case.

Ratio Decidendi: The court reaffirmed the principle that administrative authorities must follow procedural fairness and carefully apply relevant statutory rules when determining lease renewals.

Result: The contested memo is set aside; the authority must reconsider the renewal request with due process, including a fair hearing.

Table of Content
1. common judgments for similar facts and issues. (Para 1 , 2)
2. challenge to mining lease renewal based on a contested memo. (Para 3 , 5 , 6)
3. renewal of lease requests should consider statutory conditions. (Para 4 , 7)
4. claims surrounding due process and statutory requirements. (Para 8 , 9)
5. proper construction of rules is necessary for lease management. (Para 10 , 22)
6. opposition to the petitioner's claims reflected in the government's defense. (Para 11 , 12 , 15)
7. authority's decisions must adhere to procedural propriety. (Para 14)
8. court's directive for reconsideration of the renewal application. (Para 24 , 25)
9. the court's ruling on lease renewal is to be respected. (Para 29 , 31)

JUDGMENT :

PARTHA SARATHI SEN, J.

1. Since identical questions of facts and laws are involved in the instant two petitions, this court proposes to dispose of two instant writ petitions by a common judgment.

2. In both the writ petitions, the writ petitioner and the respondent State are represented by their respective learned advocates.

3. The subject matter of challenge in the instant two writ petitions is the Memo dated 05.05.2025 as issued by the respondent no.3/authority whereby and whereunder the respondent no.3/authority declined to renew the two mining leases as executed in favour of the writ petitioner on the basis of the representation dated 27.12.2024.

4. At the time of hearing, Mr. Bandyopadhyay, learned senior advocate appearing on behalf of the writ petitioner, at the very outset draws attention of this court to page no.34 of WPA 12080 of 2025 being a copy of grant dated 15.12.2004 as issued in favour of the writ petitioner for long term mining lease for exploitation of granite. It is submitted by Mr. Bandyopadhyay that similar such grant was executed in connection with the matter involved in WPA 12082 of 2025.

5. At this juncture, Mr. Bandyopadhyay draws attention of this court to page no.39 onwards of WPA 12080 of 2025 being a copy of lease dated 28.07.2005. It is submitted that in respect of WPA 12082 of 2025, similar such deed of lease was executed on the same date. It is further submitted by Mr. Bandyopadhyay that the said two lease deed contains a ‘renewal clause’.

6. Drawing attention of this court to the copy of the grant order dated 15.12.2004, it is further submitted by Mr. Bandyopadhyay that in the said grant, in the ‘terms and conditions’, it has been categorically mentioned by the respondent authorities that the terms and conditions of the mining lease as mentioned in Rule 21 of the West Bengal Minor Minerals Rules, 2002 (hereinafter referred to as ‘the said Rules of 2002’ in short) would apply mutatis mutandis, wherever they are applicable in respect of the instant mining lease and it has been further mentioned that the other general conditions as envisaged in the Granite Conservation and Development Rules, 1999 (hereinafter referred to as ‘the said Rules of 1999’ in short), such have to be abided by the lessee.

7. At this juncture, Mr. Bandyopadhyay took me to Rule 52 of the said Rules of 1999, which deals with the applicability of the provisions of the West Bengal Minor Minerals Concession Rules, 2016 (hereinafter referred to as ‘the said Rules of 2016’ in short), framed by the State Government in granite quarry leases.

8. It is further submitted by Mr. Bandyopadhyay that in the event Rule 52 of the said Rules of 1999 is properly construed, it would reveal that keeping in mind the provision of Rule 52 of the said Rules of 1999, the aforementioned two clauses have been inserted in the grant dated 15.12.2004 under the heading ‘terms and conditions’.

9. At this juncture, Mr. Bandyopadhyay requests me to peruse the Memo dated 05.05.2025 which is under challenge. It is submitted by Mr. Bandyopadhyay that while issuing the Memo dated 05.05.2025, the respondent no.3/authority did not grant any opportunity of hearing to the writ petitioner and on the contrary, the respondent no.3/authority has misconstrued the pr

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