2023 Supreme(All) 1130
IN THE HIGH COURT OF ALLAHABAD
SIDDHARTHA VARMA, ARUN KUMAR SINGH DESHWAL, JJ.
Lakshya Infra Power Private Limited – Appellant
Versus
State Of Uttar Pradesh And Others –Respondent
Writ C No.11292 of 2021
Decided on : 19-07-2023
Advocate Appeared:
For the Appellant : Atul Kumar Tiwari
Headnote:
U.P. Minerals (Prevention of Illegal Mining, Transportation and Storage) Rules, 2018 - Rule 10, 7 - Granted a licence for storage - General conditions for grant of Storage licence - Held, order of the District Magistrate and order of appellate court cannot be sustained in the eye of law - Even if it was found that CD was not to satisfaction to authority, there was no finding at all with regard to fact that there was any financial loss to State - Authorities erred in forfeiting security amount - Court uphold the order of District Magistrate and order of Commissioner of appellate court so far as they cancel license of the petitioner, set aside orders to extent they forfeit security amount - Writ petition partly allowed.
JUDGMENT :
1. Heard Sri Nitin Sharma, learned counsel for the petitioner and Sri Rahul Srivastava, learned Standing Counsel for the State.
2. The petitioner was granted a licence for storage under Uttar Pradesh Minerals (Prevention of Illegal Mining, Transportation and Storage) Rules, 2018 (hereinafter referred to as 2018 Rules') for a period starting from 11.06.2020 and ending on 15.10.2020 over Gata no.333 area 0.5990 hectare and Gata no.330 area 0.5307 hectare totaling 1.1257 hectares for the storage of 20,000 cubic meter sand/morang. The 2018 Rules' provides that if a licence is provided under Rule 7, the licensee shall prominently display the sale price at sale points; shall deploy CCTV cameras and shall provide check gates for proper monitoring of the stocks. Licensee shall also maintain a correct and intelligible account of minerals procured and transported daily to different destinations in the format prescribed in e-form 'C'/ Form 'C'/ Form 'G' which will be corresponding to the quality of valid transit pass by which licensee had received the minerals.
3. For convenience, the Rule 7 of the 2018' Rules is reproduced hereinunder;
"7. General conditions for grant of Storage licence. -The licence shall be granted in Form B subject to the following conditions:
(i) The licensee shall prominently display the sale price at the storage point.
(ii) The licensee shall deploy CCTV camera and check gates for proper monitoring of the stocks
(iii) The licensee shall maintain a correct and intelligible account of minerals procured and transported daily to different destinations in the format prescribed in e-Form 'C' / Form 'C' /Form 'G' which will be corresponding to the quantity of valid transit pass by which licensee has received the mineral.
(iv) The licensee shall submit the monthly return in Form 'E' of the accounts maintained under clause (ii) and (iii) respectively for every month within the first week of the succeeding month to the District Officer;
(v) All the reports, returns and registers shall be maintained by the licensee and kept in the place of business and be made available to the inspecting officer;
(vi) The licensee shall not pollute the environment by storing the minerals or while utilizing them in the processing plant or beneficiation' plant or the factory.
(vii) The licensee shall allow the Inspecting Officers of the Directorate of Mines to inspect the store, factory, processing plant, beneficiation plant to verify the stock of minerals and to take samples and extract of records.
(viii) The District Officer may impose such further condition as may be necessary in the interest of the public."
4. The lincensee on 05.09.2020 on the basis of the inspection made on 04.09.2020 got a notice that he had not installed CCTV cameras and had also not displayed the sale price at the storage point.
5. In reply to the notice, on 07.09.2020 the petitioner submitted his reply along with CD of the footages of the CCTV cameras. He had also submitted that display board of sale price was also there at the storage point. Not satisfied with the reply, the petitioner's licence was cancelled under Rule 10 of 2018 Rules' by the District Magistrate on 10.09.2020 after recording a finding that the CD which was supplied by the petitioner did not provide the date and time of the recording. He had also given a finding that no loading and unloading of sand/morang was found and therefore after disbelieving the reply given by the petitioner, the licence of the petitioner was cancelled. Also the security as was deposited by the petitioner of Rs.15,00,000/-was forfeited.
6. Aggrieved by the order dated 10.09.2020, the petitioner filed an appeal under Rule 15 of the 2018 Rules' and upon dismissal of the appeal, the instant writ petition has been filed.
7. Learned counsel for the petitioner has submitted that when the petitioner had submitted the CD of the recording of the CCTV camera which was installed as per the Rule 7 of 2018 Rules' then no punishment ought to