GHANSHYAMDAS VYAS Vs. UNION OF INDIA

JUDGEMENT

(1.) BOTH the writ petitions have been directed to be heard together. Facts emanating from the pleading of W. P. No. 5462/99 are being narrated hereinafter for disposal of both the writ petitions. 1-a. Petitioner applied for grant of prospecting licence in respect of an area measuring 44. 82 hectares in village Sendmuda and Motrapara on 26-7-1998. He further filed application for grant of prospecting licence on 11-7-1989 for an area measuring 45. 17 hectares in village Latapara. Third application filed by the petitioner for grant for prospecting licence over an area of 95. 954 hectares at village Jangra was on 24-9-1990. These villages are in the district of Raipur. Aforesaid applications of the petitioner suffered deemed rejection, as the matter was not decided within the prescribed period and aggrieved by the same, petitioner preferred revision before the Central Government under Rule 54 of the Mineral Concessions Rules, 1960. The revisional authority set aside the deemed rejection and remitted the matter back to the State Government to decide the application preferred by the petitioner within 200 days from the date of communication of the order. The State Government however, rejected the prayer of the petitioner for grant of prospecting licence on the ground that it has decided to lease out whole of the area in Raipur District having deposits of precious minerals to the M. P. State Mineral Development Corporation. Petitioner, once again preferred revision before the Central Government against the order of rejection of his prayer for grant of prospecting licence. Revisional Authority, by order dated 19-5-1995, set aside the order of the State Government refusing to grant prospecting licence to the petitioner and remitted the matter back to the State Government to pass fresh order on his application on merits, in accordance with law. When no decision was taken by the State Government; in spite of directions of the Central Government, petitioner filed W. P. No. 2310/96 before this Court and the said writ petition was disposed of by order dated 28-6-1996 directing the State Government to take final decision, in pursuance of the order of the Central Govt. dated 19-5-1995 within six weeks from the date of receipt of copy of that order.

(2.) THEREAFTER, in exercise of powers conferred by Rule 75 of the Mineral Concession Rules, 1960, by notification dated 20th November, 1996, State Govt. appointed the M. P. State Mineral Development Corporation Limited (hereinafter referred to as the 'mineral Corporation') as the agent of the State Govt. to explore and exploit gold and diamond resources in various districts including the District of Raipur. Eventually, by order dated 30-4-1997, the State Govt. rejected the prayer of the petitioner for grant of prospecting licence for Topaz and other same precious stones. Prayer of the petitioners for grant of prospecting licence was rejected on the ground that by notification dated 20-11-1996, the State Government has appointed Mineral Corporation as its agent to explore and exploit gold and diamond resources in the District of Raipur. As the petitioners' prayer for grant of prospecting licence was rejected, in view of the decision of the State Government to appoint the Mineral Corporation as its agent in exercise of power conferred by Rule 75 of the Mineral Concession Rules, petitioners filed W. P. No. 1081/97 before this Court challenging the validity of the said notification. The Mineral Corporation, in order to form a Joint Venture Company (hereinafter referred to as the 'jvc') to undertake survey, exploration, evaluation and subsequent exploitation and marketing of diamonds in 11 blocks located in the District of Raipur and other districts, issued advertisement inviting applications for the said purpose. Aforesaid notice inviting offers for formation of the JVC was published during the pendency of the aforesaid writ petition and the attempt of the Mineral Corporation to form the JVC was questioned in the said writ petition. The Secretary to the Government of Madhya Pradesh in the Mineral Resources Department submitted an undertaking on 25-3-1998 in which he had inter alia stated that with the change of policy, the State Government has taken a decision not to act upon the notification dated 20-11-1996. He had further given an undertaking that the State Government has taken a decision to form a JVC by adopting a transparent policy through invitation of offers and as and when a JVC is formed, that shall apply and obtain a prospecting licence or mining lease, as the case may be, in accordance with the provisions of Mines and Mineral (Regulation and Development) Act, 1957 (hereinafter referred to as the 'mmrd Act') and Rules made there under. In view of the aforesaid undertaking, W. P. No. 1081/97 filed by the petitioner was dismissed as infructuous.

(3.) AGAINST the rejection of prayer of the petitioner for grant for prospecting licence by the State Government by its order dated 5-5-1997, petitioner preferred revision before the Central Government. In the said revision, application filed before the Central Government, State Government filed reply in which the facts regarding formation of a JVC with respondent No. 5 M/s. B. Vijay Kumar and Company was mentioned in detail, The Central Government, by order dated 11-8-1999, set aside the order of the State Government and the case was remitted back for decision on merits in accordance with law. While setting aside the order, revisional authority held as follows:-" 20. The case was heard on 29-5-1999. The petitioner, State Government and the impleaded party were represented. Accordingly, by the impugned order, the prospecting lease of the petitioner has been rejected on the ground that area was reserved for the M. P. State Mineral Development Corporation vide notification dated 20-11-1996 published in the State Gazette on 22-11-1996. However, according to Rule 75 (A) (2) of the Mines and Mineral (Regulation and Development) Act, 1957, the approval of the Central Government is necessary before the State Government can reserve an area for prospecting/mining operations. The approval of the Central Govt. was not taken before the notification dated 20-11-1996 was published in the State Gazette. Moreover, in the Writ Petition No. 1981/97, the State Government informed that it would take no action on the basis of notification dated 20-11-1996. "