CENTRAL COALFIELDS LTD Vs. STATE OF BIHAR

JUDGEMENT

(1.) HEARD counsel for the parties.

(2.) THE question, which has arisen for determination is this case, is as to whether the petitioner/lessee is liable to pay royalty only on extraction of mineral or only when the same is removed from the lease hold area.

(3.) THE short facts, giving rise to this application, are as follows : - A certificate case, being Certificate Case no. 13/1982 -83 was filed against the petitioner for realisation of a sum of Rs. 10,826/ - as royalty. Pursuant to the notice under section 7 of the Bihar and Orissa Public Demands Recovery Act, the petitioner filed his objection under section 9 of the said Act stating therein, inter alia, that the difference in opening and closing balance is due to the fact that the coal was not lifted by the contractors and after joint measutement of saleable coal by C.I.L. and C. C. Ltd. the figure of 16, 271 Mts. of different grades of coal was shown in the opening balance of 1996 and as such the difference was bound to be there between the figure of actual raising and despatch, and, accordingly, the assessment of the District Mining Officer was not correct and, there fore, the petitioner was not liable to pay royalty as demanded by the certificate holder.