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2019 Supreme(Raj) 2426

IN THE HIGH COURT OF RAJASTHAN
Sangeet Lodha and Dinesh Mehta, JJ.
Rana Marble And Mines, Bhakharo Ki Dhani, Makrana, District And Others - Appellant
Versus
State Of Rajasthan And Others - Respondent
Civil Writ No. 5305 of 2017 Connected With Civil Writ Nos. 8274, 9772, 9774, 9796, 9800, 10257, 10281, 13101, 13103, 13757 of 2017, 56, 643, 671, 1219, 2892, 1392, 2894, 2901, 3719, 3775, 9086, 9101, 14320, 14324 of 2018
Decided On : 16-04-2019

Advocates Appeared:
Mr. Vikas Balia with Mr. Dinesh Pal Singh, Mr. B.M. Bohra with Mr. Kuldeep Vaishnav, Mr. D.D. Thanvi with Mr. Amit Vyas and Mr. Arvind Shrimali, Advocates, for the Appellants; Mr. Rajesh Panwar, AAG with Mr. Ayush Gehlot, Mr. Sandeep Shah, AAG with Mr. Abhimanyu Singh, Mr. Utkarsh Singh and Ms. Aarohi Ojha for Mr. Sanjeet Purohit, Advocates, for the Respondents

Headnote:

MINERAL CONCESSION - RULES - VALIDITY - RULE 5 AND RULE 89 OF RAJASTHAN MINOR MINERAL CONCESSION RULES, 2017 - CHALLENGE - Vires of Rule 5 and Rule 89 of Rajasthan Minor Mineral Concession Rules, 2017 challenged - Petitioners are Letter of Intent (LoI) holders, under the Rajasthan Minor Mineral Concession Rules, 1986 - Petitioners challenged the legality of communication of the Assistant Mining Engineer, whereby they are informed that the applications preferred by them for grant of mining lease of free hold strip land are deemed to be rejected under Rule 89 being not covered by Rule 4 and 5 of the Rules of 2017 - HELD, the issuance of LoIs in favour of the petitioners expressing the intention of the State to grant mining lease in their favour on fulfillment of the conditions within the time frame does not create any vested right in their favour, which could be said to be adversely affected on account of deemed rejection of the application by virtue of provisions of Rule 89 of the Rules of 2017 - Petitions dismissed.

Fact of the Case:

Petitioners are Letter of Intent (LoI) holders, under the Rajasthan Minor Mineral Concession Rules, 1986 - Petitioners challenged the legality of communication of the Assistant Mining Engineer, whereby they are informed that the applications preferred by them for grant of mining lease of free hold strip land are deemed to be rejected under Rule 89 being not covered by Rule 4 and 5 of the Rules of 2017.

Finding of the Court:

The issuance of LoIs in favour of the petitioners expressing the intention of the State to grant mining lease in their favour on fulfillment of the conditions within the time frame does not create any vested right in their favour, which could be said to be adversely affected on account of deemed rejection of the application by virtue of provisions of Rule 89 of the Rules of 2017.

Issues: Whether Rule 5 and Rule 89 of Rajasthan Minor Mineral Concession Rules, 2017 are valid?

Ratio Decidendi: The issuance of LoIs in favour of the petitioners expressing the intention of the State to grant mining lease in their favour on fulfillment of the conditions within the time frame does not create any vested right in their favour, which could be said to be adversely affected on account of deemed rejection of the application by virtue of provisions of Rule 89 of the Rules of 2017.

Final Decision: Petitions dismissed.

JUDGMENT

Sangeet Lodha, J. - By way of these writ petitions, the petitioners have challenged the vires of Rule 5 and Rule 89 of Rajasthan Minor Mineral Concession Rules, 2017 (for short "the Rules of 2017"). Some of the petitioners, who are Letter of Intent (LoI) holders, under the Rajasthan Minor Mineral Concession Rules, 1986 (for short "the Rules of 1986"), have also challenged the legality of communication of the Assistant Mining Engineer, whereby they are informed that the applications preferred by them for grant of mining lease of free hold strip land are deemed to be rejected under Rule 89 being not covered by Rule 4 and 5 of the Rules of 2017.

2. The petitions involving the common issues, were heard together and are being decided by this common judgment.

3. For appreciation of the controversy raised, it would be appropriate to notice the essential facts giving rise to filing of the present petitions by the petitioners. For this purpose, we take up D.B.C. Writ Petition No. 13757/2017, which was argued before us as lead case.

4. The grant of quarry licenses, mining leases and other mineral concessions in respect of minor minerals in the State of Rajasthan were governed by Rajasthan Minor Mineral Concession Rules, 1986 (for short "the Rules of 1986"), framed by the State Government in exercise of power conferred by Section 15 of the Mines and Minerals (Development & Regulation) Act, 1957 (for short "the Act of 1957").

5. Initially mining lease No. 285/1991 ad measuring 1 hectare situated near Village & Tehsil-Savar, District-Ajmer, for excavation of mineral marble was granted in favour of Shri Ramesh Chandra s/o Shanker Lal for a period of 10 years, vide order dated 12.12.91, which was later transferred in favour of the petitioner- Rajendra Agarwal vide order dated 14.3.95 for the remaining period of time. A lease deed executed in his favour on 4.4.95 was registered on 10.4.95. The period of lease was further extended vide order dated 23.4.99 for a period of 10 years and thereafter, vide order dated 17.2.12, it was further extended for a period of 10 years and thus, the lease deed executed is valid upto 3.3.2022.

6. The State Government by way of Rajasthan Minor Mineral Concession (Amendment) Rules, 2011 inserted fourth proviso to sub-rule (1) of Rule 11 of the Rules of 1986, whereby it was provided that 30 meter wide strip of Government land shall be kept reserved around the existing mining lease for allotment to adjoining lessees to enhance size of lease for scientific and safe mining. The area of strip was proposed to be allotted on an application submitted by the lessee to the Mining Engineer/Assistant Mining Engineer concerned. The existing lessee in whose lease the strip is added was required to pay premium equivalent to four times of dead rent of the area to be added, in addition to the dead rent as per the rules.

7. The petitioner made an application dated 26.12.14 for the grant of 30 meter free hold strip land to be added in his existing mining lease as per fourth proviso to Rule 11 of the Rules of 1986 and deposited the prescribed fees and necessary documents. The application preferred by the petitioner was forwarded by the Assistant Mining Engineer to the Director, Mines, Government of Rajasthan on 25.5.15, which was duly approved by the Director, Mines, vide order dated 27.7.15.

8. On 20.7.15, the petitioner made yet another application before the Assistant Mining Engineer, Department of Mines, Savar for granting another 10 meter free hold strip land for excavation of mineral marble as per fourth proviso to Rule 11 of the Rules of 1986. The said proposal was also forwarded to the Director, Mines, who granted the approval vide communication dated 4.8.15.

9. Pursuant to the approval granted as aforesaid, formal approval letters dated 27.7.15 and 4.8.15 were issued in favour of the petitioner by the Superintending Mining Engineer, Ajmer Circle, Ajmer directing him to submit modified mining plan and environmental clearance

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