JAGDEV SINGH Vs. STATE OF RAJASTHAN

JUDGEMENT

(1.) A mining lease was granted to the petitioner under an office order dated 19. 12. 90 by the Superintending Engineer, Department of Mines and Geology, Government of Rajasthan, Bikaner. The lease was granted at the annual dead rent of Rs. 21,569/- with a condition that the same shall be revised time to time in accordance with the Rules. As a consequence of the office order dated 19. 12. 90 a lease deed was executed between the parties on 11. 1. 91. In the lease deed also it was mentioned that dead-rent shall be subject to revision as per the Rules and the dead rent may be revised proportionately if there is increase in the rate of royalty. The lease granted to the petitioner was to remain in currency for a period of ten years.

(2.) THE Assistant Mining Engineer, Ganganagar by office order dated 27. 3. 92 enhanced the dead-rent from Rs. 21,569/- per year to Rs. 38,599/- per year. THE dead rent was enhanced as the rates of royalty were increased. THE Assistant Mining Engineer communicated the decision for enhancement of dead rent to the petitioner under a communication on 1. 7. 92. This enhancement in dead-rent is under challenge in the instant petition.

(3.) FROM careful reading of the lease deed I find that the stipulation in the lease deed to the effect that the dead rent will be revised proportionately if there is increase in the rate of royalty is not in contravention of proviso-II to sub-rule 3 of Rule 18. It is required to be read harmoniously with the proviso- II to sub-rule 3 of Rule 18. Meaning thereby the State Government is empowered to enhance the dead rent after a lapse of five years from the date of grant of the lease or its renewal keeping in mind revision of the royalty. This is further fortified from the formula prescribed under the proviso itself which provides that the revised dead-rent shall be determined by adding average excess royalty of the first four years of each span of five years with existing dead-rent and 40% of existing dead-rent. In view of it, it was open for the respondents to make the dead-rent proportionate to the royalty after a period of five years from the date of execution of the lease deed, but not prior to it.