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TMI Blog1977 (3) TMI 178X X X X Extracts X X X X X X X X Extracts X X X X ..... h Rule 27(5) framed by the Central Government in exercise of its powers under Section 13. 3. Right at the outset we may re-produce the relevant rule: Rule 27(5) If the lessee makes default in payment of royalty as required by Section 9 or commits a breath of any of the conditions other than those referred to in sub para (4), the State Government shall give notice to the lessee requiring him to pay the royalty or remedy the breach, as the case may be, within sixty days from the date of the receipt of the notice and if the royalty is not paid or the breach is not remedied within such period, the State Government may, without prejudice to any proceeding that may be taken against him, determine the lease and forfeit the whole or part of t ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... arding weighment machine, we feel the same is beyond our means in the commitments, but we regret. The prayer was that the breach be condoned as a special case. Although the Collector has the power to issue the notice contemplated by the rule, the State Government has to take the decision regarding cancellation or otherwise. The Government, however, passed an order, dated May 21, 1974 cancelling the contract and forfeiting the security deposit, in exercise of its powers under Rule 27(5) of the Mineral Concession Rules (for short, the rules) set out earlier. This, in one sense, determined the lease but a little complication which has formed the foundation of an argument, was created by the Collector concerned issuing a notice dated May, 22, 1 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... application. Thereupon a writ petition was filed in the High Court wherein the present appellant urged a case of waiver of the first notice on account of the insurance of the second notice. It was also contended that the lessee had not been given a reasonable opportunity to explain why his lease should not be cancelled. The High Court dismissed the writ petition and in the appeal that has followed, counsel has substantially repeated what has quite often been urged before the High Court but with the addition that there was no application of the mind by the State Government and that the Central Government had, in disposing of the revision, mixed up the breaches set out in the two notices, although the revision was only against the order pass ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... cutive powers'. Generally a State is not subject to an estoppel to the same extent as an individual or a private corporation. Otherwise, it might be rendered helpless to assert its powers in government. Therefore as a general rule the doctrine of estoppel will not be applied against the State in its governmental, public or sovereign capacity (American Jurisprudence, II Edn, Paragraph 123. p. 783). It is enough for our purposes in the present case to say that there is no case made out of intentional relinquishment of a known right by the State Government. Absent such voluntary and intentional abandonment of a known advantage or benefit, waiver cannot be postulated. In this view, we reject the plea of waiver. 8. Nor are we impressed wi ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ow cause notice from the State Government. Moreover, no prejudice has been suffered by the appellant, on a fair reading of the Central Government's order. The breach is admitted. The plea is one for excuse, and the discretion has been exercised. It is not within the normal province of the Court to demolish dictionary exercise of power in the absence of special vitiating features. There are none here. We conclude by dismissing the appeal. However, we fell that the consequences are serious especially in the context of the comparatively less serious breaches. It is but appropriate therefore that even though we affirm the orders of the State Government, the Central Government and the High Court, we leave it open to the appellant to move the ..... X X X X Extracts X X X X X X X X Extracts X X X X
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