BIHAR MINES LIMITED Vs. UNION OF INDIA

JUDGEMENT

(1.) These three appeals, by special leave, are directed against the orders of the Central Government dated January 18, 1962, on applications for revision under R. 7 of the Mining Leases (Modification of Terms) Rules, 1956, hereinafter called the 1956 rules, in respect of the orders passed by the Controller of Mining Leases, Nagpur, on July 1, 1961, in Cases Nos. H-317, H-317A and H-317B.

(2.) The appeals arise thus. On August 11, 1928, Raja Ban Bahadur Singh of Palganj, in Bihar, executed a lease with respect to a certain area of his estate in favour of Babu Tribang Murani Chakravarti of Asansol for a period of 49 years for the purpose of carrying out mining operations in the said area for soap stone, kaoline etc. Chakravarti, the head lessee, executed a sub-lease in favour of Deoji Jairam Solanki on May 18, 1933. Solanki, in his turn, granted a sub-lease in respect of the same area in favour of M/s. Hirji Premji Parmar and Brothers on May 18, 1934. On October 18, 1954, M/s. Hirji Premji Parmar and Brothers, assigned their right, title and interest in the said area in favour of the appellants, the Bihar Mines Ltd., Calcutta, for a period of 19 years and 7 months expiring on May 17, 1974.

(3.) The Bihar Land Reforms Act, 1950 (Act XXX of 1950), hereinafter called the Reforms Act, came in to force on September 25, 1952. On July 13, 1952, the Government of Bihar issued a notification under sub-s. (1) of S. 3 declaring that the estate of Palganj passed to and became vested in the State. On January 26, 1955, the State Government issued notification under S. 3A of the Reforms Act declaring that the intermediary interests of all intermediaries in the whole estate had passed to and become vested in the State. Clrakravarti's mining rights in the area comprised in the lease became subject to the provisions of S. 10 of the Reforms Act.