IN THE HIGH COURT OF ORISSA AT CUTTACK
B.R. Sarangi, G. Satapathy, JJ.
Sgs Mines And Industries Pvt. Ltd, Jharkhand & Anr. – Appellants
Versus
State of Odisha & Ors. – Respondents
W.P(C) No. 4504 of 2017 (In the matter of an application under Articles 226 and 227 of the Constitution of India.)
Decided On : 21-09-2022
JUDGMENT
Dr. B.R. Sarangi, J. - This is a writ petition, by means of which, a direction has been sought to the opposite parties to grant prospecting license to the petitioner-company for decorative stone (granite) over an area 19.90 Hectare in village-Gunthapada in the district of Ganjam, by declaring Rule-4(12) of the Odisha Minor Mineral Concession Rules , 2016 (OMMC Rules, 2016) as ultra vires to the provisions of Mines & Minerals (Development & Regulation) Act, 1957 (MMDR Act, 1957) and Article 19(1)(g) of the Constitution of India, so far as it relates to grant of prospecting license for Granite field under the provisions of Odisha Minor Mineral Concession Rules , 2004 read with Granite Conservation and Development Rules, 1999 (GCD Rules, 1999), and by further declaring Rule 4(4) of the OMMC Rules, 2016 as inconsistent with and repugnant to Rule-4 of the GCD Rules, 1999, so far as it prescribes reconnaissance permit prior to grant of prospecting license and Rule-4(12) renders applications for prospecting license prior to commencement of the Rules as ineligible, being ultra vires to Articles-14, 19(1)(g) and 21 of the Constitution of India.
2. To succinctly put, the factual matrix of the case, is that petitioner no.1 is a company incorporated under the Companies Act, 1956 and is engaged in the business of production of granite. Petitioner no.2 is Director of the petitioner-company and representing it in this writ petition. The petitioner-company filed an application for grant of prospecting license for granite over an area 19.90 Hectare in village-Gunthapada of district-Ganjam in prescribed Form 'A' under Rule-9 of the OMMC Rules, 2004 before the Director of Mines- Opposite Party No.2, along with application fees of Rs.1000/-, as stipulated in the OMMC Rules, 2004, which was also duly received by the department and receipt of acknowledgement was issued in prescribed Form 'C'. On receipt of the said application, the Mining Officer, Ganjam Circle, Berhampur, on 20.04.2016, requested to the Tahasildar, Aska and Divisional Forest Officer, Ghumusara, Bhanjanagar to submit their report with regard to nature of land involved. Whereafter, the Tahasildar, Aska and DFO, Ghumusara in turn directed their subordinates, namely, Revenue Inspector and Range Officer respectively to furnish the details of the land. On 12.08.2016, the Range Officer furnished a report to its superior and in turn the same was forwarded to the Mining Officer for further action. On 22.08.2016, the Revenue Inspector and Range Officer furnished the details of the land. The DFO, Ghumusara, South Division, vide letter dated 28.09.2016, submitted his report in respect of the subject land. Although the Revenue and Forest authorities furnished their respective reports, from revenue point of view and forest point of view, the law requires that if upon directions to submit report the same are not received within a period of two months, it shall be deemed that the concerned authorities do not have any objection. Therefore, despite lapse of two months, even though the concerned authorities did not furnish their reports, but still the petitioner-company's application was not forwarded for further action, it is deemed that the said authorities did not have any objection.
2.1 It appears that the entire exercise has been taken up by the Department in active consideration of the application of the petitioner-company under the provisions of OMMC Rules, 2004 and had the application been processed strictly in accordance with the time frame prescribed under the OMMC Rules, 2004, the petitioner could have been granted the lease much prior to commencement of the OMMC Rules, 2016. When the application dated 08.04.2016 of the petitioner- company for grant of prospecting license was under active consideration, the State of Odisha in the Department of Steel and Mines, in exercise of powers conferred under Section 15 of the MMDR Act, 1957 and in supersession of the provisions contained u
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The jurisdiction under Article 226 is not available if alternative remedies exist, and exhausting statutory remedies is mandatory before judicial intervention.
The court ruled that amendments rendering pending applications ineligible violate constitutional rights, highlighting arbitrary treatment of applicants and the State's responsibility for delays.
The main legal point established in this judgment is that the State Government does not have the jurisdiction to frame rules regarding payment of differential royalty on minerals, as it falls under t....
Merely because Rule 15(1) and its proviso of 2017 Rules was mentioned in the order of the Commissioner would not make the Rule applicable. Wrong mention of a provision cannot make the provision appli....
Rights under mining law cannot be claimed without compliance to submission procedures; failure to submit in required format negates any accrued rights.
The Granite Rules, 1999 prevail over the Andhra Pradesh Minor Mineral Concession Rules, 1996 and the Andhra Pradesh Minor Mineral Auction Rules, 2022 in the event of repugnancy.
The court ruled that a recommendation by the State does not constitute a vested right or letter of intent under the MMDR Act, and the amended provisions apply prospectively.
Point of law : If there are any of disqualifications attached to any of these applicants, the same will have to be considered by the State Government. The factual inquiries as above cannot be appropr....
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