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TMI Blog2012 (3) TMI 711X X X X Extracts X X X X X X X X Extracts X X X X ..... of the Petitioner. The further prayer is for issuance of a direction to Opp. Parties 2 3 to renew stone quarry lease in question with respect to Stone Quarry No. 03/2007 in village Banjipali to ensure speedy supply of raw-materials to run the Crusher unit of the Petitioner. Petitioner's case in a nutshell is that the Petitioner owns a small industry of stone crusher for this purpose he obtained registration certificate from the District Industries Centre (for short, 'DIC'). Opp. Party No. 1 -Collector, Bolangir also granted certificate in favour of the Petitioner to install the stone crusher unit over an area of Ac.4.88 decimals of Mouza: Agalpali. The Petitioner applied for a loan of Rs. 19.00 lakhs from Bolangir Anchalika Gramya Bank/Utkal Gramya Bank, Chhatamkhana to run its crusher unit. Petitioner applied for lease of stone quarry bearing No. 3 of 2007 in village Banjipalli after complying all the requirements Opp. Parties 1 2 granted lease in favour of the Petitioner for three years with effect from 06.05.2008 up to 05.05.2011. On the basis of the lease granted for the aforesaid, quarry, the Petitioner has obtained blasting licence to make the stone to sma ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... as no separate provisions specifying minor minerals to be put to auction in any Schedule under Chapter-IV of the said Rules. Unless the impugned orders under Annexures-5 6 are quashed Opp. Parties are directed to grant/renew the lease in question in favour of the Petitioner, induction of Rules, 2004 by specifying the minor minerals to be auctioned out of the whole lot of minor minerals defined under the Rules, 2004 coming under Chapter-VI becomes completely redundant as the same is contrary to the aims objectives of the law makers while incorporating the said Chapter in the Rules, 2004. Quarry lease granted applied for renewal by the Petitioner is not for any of the minerals mentioned in item 1 (i) of Schedule- III referred to under Chapter-VI of Rule 35 of the Rules, 2004 meant for auction. The quarry lease applied by the Petitioner is with respect to stone other than the decorative stone minor minerals stipulated in Item No. 1 (i) of Schedule-III. This is a stone quarry available over the land described to be Pathar Chatan over plot No. 91 of Village: Banjipali. The same. are to be blasted made it transportable pieces to transport to the crusher machine for crushing ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... he stone quarry, If the same is not leased out to the Petitioner, the quarry unit would be closed. If the said source is put to auction that will lead the Petitioner to uncertainty. Rule 26 of Rules, 2004 is applicable to the case of the Petitioner. The Petitioner has been availing the facilities of quarry permit as provided under Rule 30 of the Rules, 2004 on payment of due amount from time to time, during pendency of the, application made under Rule 26. 5. The Petitioner has established his Crusher unit in the most backward area like Bolangir, Koraput (undivided districts) which are recognized as the most backward districts of the country by taking loan of Rs. 40.00 lakhs. On one hand, Government is encouraging industries in the said backward area on the other; the Petitioner is facing several obstacles because of the Notification issued by the Government in different Departments. The action of Opp. Parties is hit by Articles 14 21 of the Constitution of India. No valid reason is there to justify as to why the provisions of Rules 26 30 of Rules, 2004 would not be adhered to the said sources shall be put to auction as provided under Rule 35 of the said Rules. 6. Mr. ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ease basis. Chapter-VI specifically deals with minor minerals which shall be sold disposed of in public auction. Section 35 of the Rules, 2004, which is coming under Chapter-VI, provides for auction of minor minerals specified in Item 1(i) of Schedule-III; notwithstanding anything mentioned in the Rules, 2004. 10. Petitioner's specific case is that the item leased out to him is not coming under the minor minerals specified under Item-1(i) of Schedule- III. Therefore, Opp. Parties are not justified to refuse renewal of the said item which should have been leased out in his favour following procedure as provided under Chapter-IV of the Rules. Vide Circular No. 14728 dated 10.04.1997, the Government of Orissa in Revenue Department had decided that all the sources should be put to auction at the first instance in case of failure of the process the long term lease of the sources was to be resorted to as per Rules, 1990, which was in force at that time. Being aggrieved, Rourkela Quarry Owners Association other persons of Sundargarh district filed O.J.C. No. 6208 of 1999 before this Court challenging the above Circular of the Government. This Court, vide Order Dated 21.03.200 ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... umentality of the State should' be granted only by public auction or by inviting tenders, after advertising the same in well known newspapers having wide circulation, so that all eligible persons will have an opportunity to bid in the auction, there is total transparency. In our opinion, this is an essential requirement in a democracy, where the people are supreme, all official acts must be actuated by the public interest, should inspire public confidence. 14. The Hon'ble Supreme Court in Aggarwal Modi Enterprises (P) Ltd. Anr. Vs. New Delhi Municipal Council, reported in (2007) 8 SCC 75 held as under:- 22. The mandate of Section 141(2) is that any immovable property belonging to NDMC is to be sold, leased, licensed or transferred on consideration which is not to be less than the value at which such' immovable property could be sold, leased, or transferred in fair competition. The crucial expression is normal fair competition . In other words, NDMC is obligated to adopt the procedure by which it can get maximum possible return/consideration for such immovable property. The methodology which can be adopted for receiving maximum consideration in a norma ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... s well settled that no person has any right of renewal of the Government property. The Hon'ble Supreme Court in the case of State of Tamil Nadu Vs. M/s Hind Stone etc. etc., reported in AIR 1981 SC 711, held that no one has a vested right to the grant or renewal of a lease none can claim a vested right to have an application for the grant or renewal of a lease dealt with in a particular way, by applying particular provision. 17. The best method of disposal of public property is by way of public auction not by private negotiation. The purpose of leasing out different sairats owned by the Government through auction is to get best price. Generation of maximum revenue with a view to secure maximum benefit to the community is in the larger public interest. The Petitioner cannot claim any right to enjoy State largesse in perpetuity, which is contrary to the larger public interest. Thus, auction is the best method to grant lease/licence of the State property in order to make the procedure fair, equitable transparent to generate maximum revenue for the State. In such process, the Petitioner is also getting an opportunity to participate in the auction. 18. In view of the a ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... Reference was also made to the meeting held on 07.07.2009 by the said Core Group which has discussed the impact that may be caused by quarrying/mining of minor minerals on riverbeds ground waters. It was noticed that individual mines of minor minerals being small in size may have insignificant impact; however, their collective impacts taking into consideration various mines on a regional scale, is significantly adverse. thereafter following issues were brought up for consideration: (i) the need to re-look the definition of minor mineral, (ii) minimum size of lease for adopting eco friendly scientific mining practices, (iii) period of lease, (iv) cluster of mine approach for addressing implementing EMP in case of small mines, (v) depth of mining to minimize adverse impact on hydrological regime, (vi) requirement of mine plan for minor minerals, similar to major minerals, (vii) reclamation of mined out area, post, mine land use, progressive mine closure plan etc. The report of Core Group, which is referred to in the order, clearly indicates that portion of mines of minor minerals needs to be subjected to strict regulatory parameters as that of mines ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... ons of the MoEF which are made in consultation with all the State Governments Union Territories. The Model Rules of 2010 issued by the Ministry of Mines are very vital from the environmental, ecological biodiversity point of view. 22. After referring to the above said report recommendations, the Hon'ble Supreme Court felt the necessity to haven effective framework of mining plan further made observation after taking note of those technical, scientific environmental matters, MoEF, Government of India, issued various recommendations in March, 2010 followed by the Model Rules, which is in the spirit of Article 48A, Article 51 A(g) read with Article 21 of the Constitution. Having said so, the Hon'ble Supreme Court at paragraph 17 of the Judgment directed the States Union Territories, MoEF the Ministry of Mines to give effect to the recommendations made by MoEF in its report of March, 2010 the model guidelines framed by the Ministry of Mines, within a period of six months from the date of that Judgment submit their compliance reports. 23. In view of the above said direction, the State Government is required to reframe the Minor Minerals Concession Rules i ..... X X X X Extracts X X X X X X X X Extracts X X X X
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