(1.) The State Government of Madhya Pradesh ordered that a lease for twenty years be granted to Trivedi Brothers, Mining Proprietors of Balaghat for exploiting manganese ore over 47.73 acres in village Manegaon and 6.44 acres in village Ramrama. Both these villages are situated in Balaghat District. On the review application of E. P. Byramji and Company the Central Government by order dated 1-2-1954 cancelled the order of the State Government and granted lease to the Company over the entire area in village Manegaon given previously to Trivedi Brothers and over 4.22 out of 6.44 acres in village Ramrama. Trivedi Brothers dissatisfied with this order have filed this petition under Article 226 of the Constitution challenging the validity of the orders of the Central Government on various grounds.
(2.) The facts relevant for the decision of this petition are not in dispute. Byramjee & Company has been carrying on the business of mining since 1905. It was granted mining lease for manganese ore over 34.63 acres in village Manegaon and over additional area of 13.10 acres in 1928. On renewals the lease of the Company over 47.73 acres continued till 1943. Similarly in 1912 they were given 30 years' lease over 52.36 acres in village Ramrama and in 1927 additional area of 2,29 acres in the same village was given to the firm. It is alleged that before the expiry of these leases the lessees applied for their renewals but their applications were refected in view of the Government's order dated 7-10-1940 which prohibited grant of mining leases in this area. On 8-4-1947 the respondents again applied for renewal of these leases or for grant of fresh leases if and when these areas are thrown open. The then Provincial Government in letter dated 28-7-1947 stated that the application will be taken into consideration when these areas are thrown open for regrant of lease.
(3.) The Central Legislature then enacted the Mines find Minerals (Regulation and Development) Act, 1948. It came into force with effect from 8-9-1948, The Central Government then framed rules under Section 5 of the Act which came into force on 18-10-1949. Under these statutory provisions it became necessary for all those who carried on mining business to obtain certificate of approval. Byramjee and Company obtained this certificate on 26-6-1950.