BANWARILAL NEWATIA Vs. STATE OF ORISSA

JUDGEMENT

(1.) When the appeal came up for admission it was taken up for final hearing and disposal, with the consent of counsel for the parties. Counsel on all the sides were heard in detail.

(2.) The appellant on 6-4-1981 applied for the grant of a prospecting licence under the Mineral Concession Rules, 1960 (hereinafter referred to as the 'Rules') over an area of 332 acres in villages Dalimpur, Salarpenth etc. in the district of Keonjhar. On 29-4-1981, he made another application for the grant of Mining Lease for the said area. That application for mining lease was not disposed of within a period of twelve months as prescribed by the Statute with the result that it was deemed that that application stood rejected. The appellant challenged that deemed rejection before the Central Government by way of a revision under S. 30 of the Mines and Minerals (Regulation and Development) Act, 1957 (hereinafter referred to as the 'Act'). On 30-6-1982, the Central Government allowed that revision to the extent of remanding the application for mining licence made by the appellant to the State Government directing the State government to re-consider the application on merits within 200 days of the communication of that order. On 3-2-1983, the State Government passed an order rejecting the application for mining lease made by the applicant on the ground that the said area was close to Gandha Mardan Iron Ore Project of M/s Orissa Mining Corporation Ltd. and the same may be required by that Corporation. The appellant accepted this Stand adopted by the State Government and did not immediately pursue his claim for mining lease by filing a revision before the Central Government within the time prescribed by Rule 54 of the rules.

(3.) On 26-12-1984, respondent No.3 in this appeal filed an application for grant of a mining lease before the collector, Keonjhar in respect of a portion of the same piece of land. That application was allegedly pending before the state Government without any orders being passed. Going by the Rule applied to the writ petitioner it must be taken to have been rejected on expiry of 12 months from the date of the application. On 9-10-1987, the appellant wrote a letter to the Secretary, Mining and Geology Department, Bhubaneswar, claiming that he had a preferential claim for the lease in respect of the said area and praying that the application for mining lease made by the respondent No.3 may be rejected. Nothing happened thereafter for another seven years or so. On 6-12-1994, the State Government, presumably on the basis of the application made by respondent No.3 on 26-12-1984, granted a prospecting licence to respondent No.3. A deed of licence dated 29-6-1995 was also executed by the parties in that behalf. According to the respondent No.3, he thereafter took over possession of the area in question and started prospecting the area for ascertaining the availability of mineral deposits. On 18-9-1995, the appellant filed O.J.C. No. 6563 of 1995 before this Court praying for the issue of a direction that he may be permitted to file a revision under S. 30 of the Act before the appropriate authority, though there was some delay, on the allegation that he came to know about grant of a prospecting licence to respondent No.3 only in August, 1995. On 25-9-1995, a Bench of this Court disposed of the said writ petition by granting liberty to the appellant to file a revision before the Central Government within the time fixed in that judgment and suggesting that the delay in filing the revision should be condoned and the revision should be dealt with on merits. On 4-10-1995, the appellant filed a revision before the Central Government in terms of that direction.