IN THE HIGH COURT OF JHARKHAND AT RANCHI
SANJAYA KUMAR MISHRA, SANJAY KUMAR DWIVEDI, JJ.
Mahadev Enclave Pvt. Ltd. – Petitioner
Versus
The State of Jharkhand – Respondent
W.P. (C) No. 227 of 2022
Decided On : 17-04-2023
Constitution of India,1950 - Article 226 - Jharkhand Minor Mineral Concession Rules, 2004 - Rule 12 – Agreement - Project - Prayed to refund full amount of security deposit – Held, It is also not disputed that he would not operate sand sources because of delay in obtaining environmental clearance - It is also not disputed that amendment that was made to Jharkhand Minor Mineral Concession Rules are applicable prospectively and it does not have any retrospective effect and that is the reason, Court are of opinion that even if petitioner has not made an application in terms of second amendment, as referred to above, petitioner can claim for recovery of money already deposited by him in favour of respondents - Writ application is allowed.
ORDER :
1. By filing the instant writ application under Article 226 of the Constitution of India, the petitioner has prayed for issuance of a writ in the nature of mandamus directing the respondent authorities to refund the full amount of security deposit and 40 % of the bid amount amounting to Rs.30,10,000/-and Rs.1,20,40,000/-, respectively, totaling to Rs. 1,50,50,000/-pertaining to Narottampur Sand Ghat Mining Project on Sundar River, situated at Mouza Narottampur in the district of Godda, having an area of 22.72 acres in view of the fact that the respondent-authorities have never entered into an agreement with the petitioner pertaining to the said sand Ghat and the petitioner was further not allowed to excavate sand from the mining side. It is also prayed for a writ in the nature of mandamus directing the respondent authorities to pay interest @ 18 % per annum on the amount to be refunded to the petitioner towards security deposit amount and other dues, as stated above. The petitioner has confined his prayer to the aforesaid extent.
2. The facts of the case lies in a narrow compass:
It appears that the Respondent-Deputy Commissioner, Godda vide Public Notice dated 30.03.2015 invited applications in terms of Rule 12 of the Jharkhand Minor Mineral Concession Rules, 2004 for allotment/settlement of various Sand Ghats of district of Godda for the financial years 2015-16 to 2017-18. The petitioner participated in the bid and was declared successful pertaining to Narottampur Sand Ghat, having area of 22.72 acres situated at Mouza Narottampur in the district of Godda. Accordingly, the petitioner was issued a Letter of Intent vide letter No. 458/M dated 02.05.2015.
The petitioner in pursuance of the said letter, deposited a sum of Rs. 30,10,000/-being the security deposit with the respondent authority and further an amount of Rs.1,20,40,000/-being the bid amount was further deposited by the petitioner on the same i.e. on 13.05.2015. The petitioner duly intimated the aforesaid fact with respondent authority vide his letter dated 13.05.2015. The petitioner was issued online acknowledgement in evidence of the fact that it has already uploaded its application for grant of environmental clearance, which was uploaded by the petitioner on 30.06.2015.
The petitioner applied for grant of environmental clearance with the competent authority but, there was inordinate delay in processing the application by the concerned authority. Hence, the petitioner intimated regarding filing of application for grant of environmental clearance and duly intimated the aforesaid fact to the respondent authority vide its letter dated 22.08.2015.
The petitioner applied afresh before the State Environment Level Impact Assessment Authority (‘SEIAA’ in short) for grant of environmental clearance and pursuant to the said application, the petitioner was granted environmental clearance on 31.08.2018. The Deputy Commissioner, Godda vide letter dated 06.02.2019 sought clarification from respondent no. 1-Secretary, Department of Mines and Geology, Ranchi seeking clarification regarding execution of agreement in favour of the petitioner. The petitioner filed repeated reminders before respondent i.e. the Deputy Commissioner, Godda vide its representations dated 13.07.2019 and 30.07.2019 to execute the agreement with the petitioner for carrying out the work of excavation of sand. However, the petitioner’s prayer did not yield any result. On 14.10.2020, the petitioner again filed representation before the respondent authority requesting the authority to execute the agreement in question with the petitioner. Despite such representation being filed by the petitioner, no step was taken by the respondents in execution of the agreement of the petitioner.
On 02.03.2017, the provisions of the Jharkhand Minor Mineral Concession Rules, 2004 was amended vide Jharkhand Minor Mineral Concession (Amendment) Rules, 2017, wherein Rule 9(1)(e) was inserted and by virtue of such amendment, it was
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SupremeToday
Petitioners entitled to seek refund of Earnest Money and Security Deposit due to State's alleged delays in environmental clearance processing.
The government's decision must conform to the principles of reasonableness and be free from arbitrariness, bias, and mala-fides. The order of forfeiture of security deposit cannot be passed in violat....
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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