RAJESH PATHAK Vs. STATE OF MADHYA PRADESH

JUDGEMENT

(1.) This petition, under Article 226 of the Constitution, is directed against the order dated 30.6.2011, Annexure P12, passed by respondent no.3 Mining Officer, Balaghat, on behalf of respondent no.2 Collector, Balaghat, whereby petitioner's auction bid has been cancelled with a direction of forfeiture of the security amount deposited by him.

(2.) The petitioner is a mining contractor. Respondent no.2 issued a notice for auction of quarry of sand, which is a minor mineral. The area mentioned in the auction notice was 3.037 hectares bearing Khasra no. 232 situated at village Khairi, Tahsil Khairlanji, District Balaghat. The allotment of quarry of sand by auction is made as per the procedure prescribed in Chapter VI of the Madhya Pradesh Minor Mineral Rules, 1996 (in short, "the Rules").

(3.) Under Rule 36(2) of the Rules notice of auction is required to be published at the notice board or in conspicuous place by way of fixing a copy of such notice thereon in the office of concerned Gram Panchayat, Janpad Panchayat, Zila Panchayat, Development Block, Tahsil and Collectorate and the village where the quarry is situated. This is mainly for giving an opportunity to the concerned villagers for making objections or suggestions, if any, with regard to grant of trade quarry because they are directly affected by the mining. Since the petitioner was interested in the auction, he executed an agreement to bid in the prescribed form XVI as provided under Rule 36(3). After the auction, respondent no.3 declared the petitioner as successful bidder vide memo dated 11.11.2010, Annexure P1. The petitioner was therefore required, as per Rule 37 and Clause 6 of the agreement to bid, to execute a contract-agreement within a period of 30 days from the date of receipt of approval of the contract failing which the earnest money and the security deposited by him were liable to be forfeited.