IDIO CONSTRUCTION AND INDUSTRY (INDIA) LTD. Vs. UNION OF INDIA THROUGH THE JOINT SECRETARY, DEPARTMENT OF MINES, GOVERNMENT OF INDIA

JUDGEMENT

(1.) By the present writ application, the petitioner has sought the quashing of the order of the State Government dated 28.01.2008 by which the State Government has prematurely cancelled the mining lease of the petitioner which order has not been interfered with by the Central Government which has dismissed the petitioner's revision by order dated 16.09.2008. Petitioner's mining lease for mining major minerals for a period of 30 years granted on 28.03.2001 has, thus, been prematurely cancelled.

(2.) As pleadings are complete, with consent of parties, the writ petition has been taken up for final disposal at this stage itseif.

(3.) The facts are not in dispute. On 08.03.1994, petitioner-Company applied for mining lease for mining quartz and quartzite (silica stone) at Mouza - Bishunpur, District - Lakhisarai in respect of an area of about 48.92 acres. The District Magistrate -cum- Collector considered the application and after due enquiry recommended the same to the State. Because of certain reasons, which are not relevant, ultimately State, after undue delay, communicated its approval for grant of mining lease to the petitioner on 19.10.2000 having already got the approval from the State Cabinet in this regard. It asked the petitioner to submit a detailed mining plan from Indian Bureau of Mines (IBM) which was submitted to the State by the petitioner. IBM, in its detailed report in respect of the petitioner, clearly stated that out of the mineral, the mining for which is sought for, almost 40% would be rejects being low grade. This is noticed because of the importance of this low grade mineral in respect of this litigation. Quartz and quartzite (silica stone), if found to be of low grade, is used for building activities, road construction and such usage and it is this usage that makes this mineral a minor mineral but if it is of high grade then, not being a minor mineral in terms of the Mines and Mineral (Development and Regulation) Act 1957, it is a major mineral for which the mining lease was sought for by the petitioner. The mineral remains quarts and quartzite (silica stone) but depending upon the end user, it changes its character from minor mineral to major mineral.