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  1. Home/
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  3. High Court Of Jharkhand/
  4. 2024/
  5. April

Grands Mining Through Its Partner Bhupendra Kumar Singh vs. the State of Jharkhand Through the Secretary Department of Mines and Geology

Decided on 30 April 2024• Citation: WPC/847/2024• High Court of Jharkhand
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                   IN THE  HIGH   COURT   OF JHARKHAND    AT  RANCHI                
                                  (Civil Writ Jurisdiction)                         
                                  W.P.(C) No. 845 of 2024                           
               GRANDS   MINING  (A Partnership Firm), having its office at GE/16, City
                          -                                                         
               Centre, Sector 4, Bokaro Steel City, P.O. and P.S. Bokaro, District Bokaro;
               through its Partner Bhupendra Kumar Singh, aged about 49 years, son of
               Late Ram Janam Singh, resident of Bhagwati Colony, Jodhadih More, Chas,
               P.O. and P.S. Chas, District Bokaro (Jharkhand)   ....Petitioner     
                                             Versus                                 
               1.   The State of Jharkhand, through the Secretary, Department of Mines
               and Geology, having its office at Yojna Bhawan (Nepal House), P.O. and P.S.
               Doranda, District Ranchi, Jharkhand, PIN 834002.                     
               2.   The Commissioner, Department of Mines and Geology, having its   
               office at Yojna Bhawan (Nepal House), P.O. and P.S. Doranda, District
               Ranchi, Jharkhand, PIN 834002.                                       
               3.   The Director of Mines, Department of Mines and Geology, having its
               office at Yojna Bhawan (Nepal House), P.O. and P.S. Doranda, District
               Ranchi, Jharkhand, PIN 834002.                                       
                                      -   -                                         
               4.   Deputy Commissioner cum District Magistrate, Pakur having its   
               office at District Collectorate, Pakur, P.O. and P.S. Pakur, District Pakur
               (Jharkhand).                                                         
               5.   District Mining Officer, Pakur having its office at District Collectorate,
               Pakur, P.O. and P.S. Pakur, District Pakur (Jharkhand).              
                                                               ...Respondents       
                                             With                                   
                                     W.P. (C) No. 847 of 2024                       
               GRANDS   MINING  (A Partnership Firm), having its office at GE/16, City
                          -                                                         
               Centre, Sector 4, Bokaro Steel City, P.O. and P.S. Bokaro, District Bokaro,
               through its Partner Bhupendra Kumar Singh, aged about 49 years, son of
               Late Ram Janam Singh, resident of Bhagwati Colony, Jodhadih More, P.O.
               and P.S. Chas, District Bokaro (Jharkhand)       ....Petitioner      
                                          Versus                                    
               1.   The State of Jharkhand, through the Secretary, Department of Mines
               and Geology, having its office at Yojna Bhawan (Nepal House), P.O. and P.S.
               Doranda, District Ranchi, Jharkhand, PIN 834002.                     
               2.   The Commissioner, Department of Mines and Geology, having its   
               office at Yojna Bhawan (Nepal House), P.O. and P.S. Doranda, District
               Ranchi, Jharkhand, PIN 834002.                                       
               3.   The Director of Mines, Department of Mines and Geology, having its
               office at Yojna Bhawan (Nepal House), P.O. and P.S. Doranda, District
               Ranchi, Jharkhand, PIN 834002.                                       
                                      -   -                                         
               4.   Deputy Commissioner cum District Magistrate, Pakur having its   
               office at District Collectorate, Pakur, P.O. and P.S. Pakur, District Pakur
               (Jharkhand).                                                         

               5.   District Mining Officer, Pakur having its office at District Collectorate,
               Pakur, P.O. and P.S. Pakur, District Pakur (Jharkhand).              
                                                               ...Respondents       
                                          With                                      
                                   W.P. (C) No. 853 of 2024                         
               GRANDS   MINING  (A Partnership Firm), having its office at GE/16, City
                          -                                                         
               Centre, Sector 4, Bokaro Steel City, P.O. and P.S. Bokaro, District Bokaro,
               through its Partner Bhupendra Kumar Singh, aged about 49 years, son of
               Late Ram Janam Singh, resident of Bhagwati Colony, Jodhadih More, Chas,
               P.O. and P.S. Chas, District Bokaro (Jharkhand)  ....Petitioner      
                                             Versus                                 
               1.   The State of Jharkhand, through the Secretary, Department of Mines
               and Geology, having its office at Yojna Bhawan (Nepal House), P.O. and P.S.
               Doranda, District Ranchi, Jharkhand, PIN 834002.                     
               2.   The Commissioner, Department of Mines and Geology, having its   
               office at Yojna Bhawan (Nepal House), P.O. and P.S. Doranda, District
               Ranchi, Jharkhand, PIN 834002.                                       
               3.   The Director of Mines, Department of Mines and Geology, having its
               office at Yojna Bhawan (Nepal House), P.O. and P.S. Doranda, District
               Ranchi, Jharkhand, PIN 834002.                                       
                                      -   -                                         
               4.   Deputy Commissioner cum District Magistrate, Pakur having its   
               office at District Collectorate, Pakur, P.O. and P.S. Pakur, District Pakur
               (Jharkhand).                                                         
               5.   District Mining Officer, Pakur having its office at District Collectorate,
               Pakur, P.O. and P.S. Pakur, District Pakur (Jharkhand).              
                                                               ...Respondents       
                                        ---------------                             
               CORAM:   HON'BLE  THE ACTING  CHIEF  JUSTICE                         
                        HON'BLE  MR. JUSTICE  NAVNEET  KUMAR                        
               For the Petitioner       : Mr. Sumeet Gadodia, Advocate              
               For the State            : Mr. M.K. Dubey, AC to AG                  
                                                                -                   
                                         Mr. Aditya Raman, AC to GA III             
                                      ---------------                               
                                                             th                     
                                                           30  April 2024           
               Per, Shree Chandrashekhar, A.C.J.                                    
                         This batch of writ petitions seeks to challenge the order contained
                              th                                                    
               in Memo  dated 6 February 2024 passed by the Deputy Commissioner     
                                   -                                                
               declining to execute lease deed on the ground of lack of power and jurisdiction
               under the Jharkhand Minor Mineral Concession Rules, 2004 as amended by the
                                            2                                       
                                                        W.P.(C) No. 845 of 2024 & Ors.

               Rules of 2019.                                                       
               2.        This is admitted at the Bar that the facts in these writ petitions and
               the point of law formulated therein are identical.                   
               3.        For the sake of convenience, we shall reproduce the prayer clause
               in WP(C) No. 845 of 2024 hereinbelow:                                
                   (i)   For issuance of an appropriate writ/order/direction for    
                                                                -                   
                   quashing/setting aside the order passed by Respondent No.4 Deputy
                            -   -                                                   
                   Commissioner cum District Magistrate, Pakur, as contained in Memo No.
                                              -                  -                  
                   208/M, dated 06.02.2024 (Annexure 10), wherein Respondent Deputy 
                   Commissioner, without any due application of mind, has held that it has no
                   jurisdiction to consider the grant of mining lease in favour of the Petitioner
                   and, after recording the said fact, has rejected the mining lease application of
                   the Petitioner pertaining to Stone Boulder at Mauza Golpur, Mouza No. 85,
                   Plot No. 382/P, Thana Pakuria, District Pakur, having an area of 12.94 Acres
                   of 5.24 Hectares, in a most illegal and arbitrary manner.        
                   (ii)  For issuance of further appropriate writ/order/direction, including
                                               -              -  -                  
                   Writ of Mandamus, directing, Respondent Deputy Commission cum District
                   Magistrate, Pakur to grant mining lease in favour of the Petitioner pertaining
                   to Stone Boulder, situated at Mauza Golpur, Mouza No. 85, Plot No. 382/P,
                   Thana Pakuria, District Pakur, having an area of 12.94 Acres of 5.24
                   Hectares; especially because Letter of Intent, contained in Letter No. 99/M
                                       -                                            
                   dated 19.01.2017 (Annexure 1) has already been issued in favour of the
                   Petitioner, and, also in view of the fact that Petitioner has already obtained
                   necessary statutory clearances, including Environmental Clearance, for grant
                   of mining lease in its favour.                                   
                   (iii) For issuance of any other appropriate writ(s)/order(s)/ direction(s) as
                   Your Lordships may deem fit and proper in the facts and circumstances of the
                   case.                                                            
                                                                         -          
               4.        Briefly stated, M/s Grands Mining which is a partnership Firm
               constituting Narendra Singh, Bhupendra Kumar Singh and Basant Soren made
                               nd                                                   
               an application on 22 December 2016 for the allotment of mining lease and a
                                                                            th      
               Letter of Intent (in short, LoI) was issued vide letter no. 99/M dated 19
               January 2017 for award of a mining lease spread over 12.94 acres in Plot
               No. 382/P under Mouza No. 85 within village Golpur of Pakuria PS in the
               district of Pakur. While the final execution of mining lease was pending, Rule
               9(1)(e) of the Jharkhand Minor Mineral Concession Rules, 2004 (in short,
                                                             nd                     
               JMMC  Rules) was amended through a notification dated 22 February 2017 by
               the Amendment No. 149 of 2017. In the meantime, the State Level Environment
               Impact Assessment Authority, Jharkhand granted Environmental Clearance (in
                                            3                                       
                                                        W.P.(C) No. 845 of 2024 & Ors.

                                                                            -       
                                                      th                            
               short, EC) for “Golpur Stone Mines Project” on 5 June 2018 to the petitioner
                                                                   th               
               Firm. However, the Deputy Commissioner by an order dated 17 September
               2019 declined the application for mining lease in view of the amended Rule
               9(1)(e) of the JMMC Rules. To challenge the said order, Revision Case No. 88
                                             -                                      
               of 2018 was instituted by the petitioner Firm and the revisional Authority noted
                             -                                                      
                                                              st                    
               that the petitioner Firm had the Mining Plan approved on 1 June 2017 and it
                                       th                                   th      
               made application for EC on 14 November 2017 which was duly issued on 5
                                                                th                  
               June 2018. The revisional Authority vide order dated 4 January 2022  
               remanded the matter back to the Deputy Commissioner, Pakur to examine the
               matter afresh and pass an order as per the JMMC Rules. On remand by the
               Mines Commissioner, the Deputy Commissioner made a communication to the
               Secretary, Mines and Geology Department seeking guidelines in view of the
                                     th                                             
               Gazette Notification dated 8 March 2019 under which the maximum area for
               mining lease for stone is restricted to 3 Hectares.                  
               5.        Aggrieved by the delay in taking a decision by the Deputy  
                                     -                                              
               Commissioner, the petitioner Firm approached this Court in WP(C) No. 6043 of
               2023 with a prayer for a direction to the Secretary, Department of Mines and
               Geology to provide appropriate guidelines to the Deputy Commissioner or in
               the alternative to direct the Deputy Commissioner, Pakur to grant mining lease
                                   -                                                
               in favour of the petitioner Firm. In the proceeding of WP(C) No. 6043 of 2023,
               an undertaking was tendered by the learned State counsel on behalf of the
               Deputy Commissioner to the effect that he shall be taking up the matter on
                                                                            th      
               merits and would pass an order within next four weeks. The order dated 18
               November 2023 passed in WP(C) No. 6043 of 2023 is extracted as under:
                         “                                                          
                          By filing this writ petition, the petitioner has prayed for the
                   following reliefs:                                               
                      (i) For the issuance of an appropriate writ/order/direction including Writ
                      of Mandamus directing Respondent No.1 Secretary, Department of
                      Mines and Geology, to provide appropriate guidelines to Deputy
                      Commissioner, Pakur as sought for by the said Officer vide Letter
                                                 -                                  
                      No.282/M dated 23.02.2022 (Annexure 6) for the purpose of grant of
                      mining lease of Stone Boulders in favour of the Petitioner, for which
                      Letter of Intent, contained in Letter No. 99/M dated 19.01.2017
                             -                                                      
                      (Annexure 1) has already been issued to the Petitioner for allotment of
                      mining lease situated at Mouza Golpur, Mouza No. 85, Plot No. 382(P),
                      Thana Pakuria, District Pakur, having an area of 12.94 Acres. 
                                            4                                       
                                                        W.P.(C) No. 845 of 2024 & Ors.

                      (ii) In alternative to prayer (i) above, Petitioner prays for issuance of
                      further appropriate writ/order/direction, including Writ of Mandamus,
                                     -                                              
                      directing Respondent Deputy Commissioner, Pakur to grant mining
                      lease in favour of the Petitioner pertaining to Stone Boulder, situated at
                      Mouza Golpur, Mouza No. 85, Plot No.385(P), Thana Pakuria, District
                      Pakur, having an area of 12.94 Acres; especially because Letter of Intent,
                                                                  -                 
                      contained in Letter No. 99/M dated 19.01.2017 (Annexure 1) has
                      already been issued in favour of the Petitioner, and, also in view of the
                      fact that Petitioner has already obtained necessary statutory clearances,
                      including Environmental Clearance, for grant of mining lease in its
                      favour.”                                                      
                                                                  -                 
                         Mr. Chitresh, learned counsel appearing for the respondents State,
                   would submit that he has received instructions to the effect that the Deputy
                   Commissioner, Pakur, will take up the matter on merits and dispose of the
                   same within four weeks.                                          
                         In that view of the matter, this writ petition is disposed of directing
                   the Deputy Commissioner, Pakur (respondent No.4) to consider the case upon
                   demand by the revisional court as per the directions given therein, within a
                   period of four weeks hence. Since an undertaking has been given in this case,
                     -                                                              
                                                         ”                          
                   non compliance of the order would invite civil contempt.         
                                                                 -                  
               6.        Now taking a leaf from the aforesaid order that non compliance of
                                                                   -                
               the writ Court’s order would invite civil contempt, the petitioner Firm laid a
               proceeding under the Contempt of Court’s Act, 1971 alleging willful and
               intentional violation of this Court’s order.                         
               7.        Contempt Case (Civil) No. 1041 of 2023 alongwith other two 
               contempt cases were dismissed as withdrawn on a statement made by the State
               counsel that the Deputy Commissioner, Pakur has taken a decision and passed
                                                                    th              
               an order as directed by this Court. In the impugned order dated 6 February
               2024, the Deputy Commissioner expressed his opinion that he is not the
               competent Authority.                                                 
               8.        In the background of the aforementioned facts, Mr. Sumeet  
                                                     -                              
               Gadodia, the learned counsel for the petitioner Firm submits that before the
               amendments in JMMC Rules when a vested right accrued in favour of the
                      -                                                             
               petitioner Firm the Deputy Commissioner was the competent authority and he
               shall still be the competent Authority under Rule 9(1)(a). On the other hand,
               Mr. M.K. Dubey, the learned State counsel seeks to raise an objection on the
               ground that these writ petitions are premature inasmuch as a decision as regards
                                                        -                           
               execution of mining lease in favour of the petitioner Firm can be taken by the
               Mines Commissioner who is the Authority under Rule 9(1)(a) to conduct
                                            5                                       
                                                        W.P.(C) No. 845 of 2024 & Ors.

               auction for the mines.                                               
                                    -                                               
                                                                   nd               
               9.        The petitioner Firm had made an application on 22 December 
                                                                     th             
               2016 for a mining lease and, in respect thereto, LoI was issued on 19 January
               2017. The amendment in Rule 9 of JMMC Rules was brought into effect on
                 nd                                                                 
               22  February 2017 through the Amendment No. 149 of 2017. Under clause (e)
               to Rule 9(1), a mining lease for an area exceeding 5 Hectares can be granted
                                                                            -       
               provided the EC was submitted within 180 days of the LoI. The petitioner
               Firm’s application was rejected with reference to this amended provision.
               10.       The relevant portions of the amended JMMC Rules which were 
                                           nd                                       
               published vide Notification dated 22 February 2017 read as under:    
                         JHARKHAND MINOR MINERAL CONCESSION RULES, 2004             
                            (as Amended Vide Notification No. 149 dated 22.02.2017 )
                                               -                                    
                   (iv) Rule 9(1)(a) is substituted as follows:                     
                   Mining lease of minor minerals less than 05.00 hectare area of raiyat land of
                         -                                                          
                   Schedule 2 shall be approved by the Deputy Commissioner.         
                   Provided that the approval of mining lease on area above 05.00 hectare of
                   minor minerals of raiyat area and mining lease of Batru Mineral, Granite,
                   Marble, Sandstone and Ornamental Stone will be as per Jharkhand Minor
                   Mineral Auction Rules (which will be defined and issued separately). Under
                   the stated provisions, this will be done through electronic auction by the
                   Director of Mines. But the State Government can also authorize the Deputy
                   Commissioner for auction as per requirement.                     
                   Provided that the approval of mining lease in respect of 31 (thirty one)
                   minerals notified through Notification No. 1653/M, Ranchi, dated 6
                   September, 2016, shall be subject to the provisions laid down in the
                   Jharkhand Minor Mineral Auction Rules (which will be defined and issued
                   separately). Under this, it will be done through electronic auction by the
                   Director, Mines.                                                 
                   Provided that in the case of the above 31 (thirty one) minerals and sandstone,
                   granite, marble and ornamental stone, before the auction, the work of
                   identifying the block will be done by checking the availability and quality of
                   the mineral by the Directorate of Geology, Jharkhand or other exploration
                   establishment authorized by the State Government will be done.   
                   For the protection of community property like pool, road, pond, river,
                   building, religious place, cremation ground, mountain etc., security zone will
                   have to be identified as per the rules issued by the State Government and the
                   standards established by the Forest Environment and Climate Change
                   Department, in which minerals There will be no mining work.      
                             -        -                                             
                   (v) After Rule 9(1)(c), Rule 9(1)(d), 9(1)(e), 9(1)(f) and 9(1)(g) are inserted
                          -                                                         
                   as follows :                                                     
                   (d) Before the date of issuance of this notification, applications received for
                   mining on government area and Raiyat area of more than 05.00 hectares will
                   automatically be disqualified.                                   
                   (e) The applications that have been received for government land and Raiyati
                                            6                                       
                                                        W.P.(C) No. 845 of 2024 & Ors.

                   land for more than 05.00 hectare in which Letter of Intent has been issued
                   under Rule 11 of Jharkhand Minor Mineral Grant Rules, 2004 before the date
                   of issue of this notification, environmental clearance and mining plan will
                   have to be compulsorily submitted within 180 days from the date of issue of
                   this notification, otherwise those applications shall be automatically rejected.
                   (f) Those mining leases obtained on government area and rayoti area of more
                   than 05.00 hectare area, which were under renewal and have lapsed due to not
                   receiving of environmental approval/mining plan, the period of their lease is
                   from the date of lease approval and renewal to 31st March. The period will be
                   considered extended till 2020, provided that no order for        
                   rejection/cancellation/expiration of the mining lease has been passed before
                   the date of notification, but no mining can be done on such mining lease until
                   environmental clearance required for mining is obtained.         
                   (g) The period of sanctioned/renewed mining lease on government area and
                   Raiyat area of more than 5.00 hectare area, if approved and, if the renewal
                   period is after March 31, 2020, then their period will remain valid till the
                   period of their acceptance/renewal.                              
               11.       However, before the order of remand was passed by the Mines
               Commissioner, there was another amendment in Rule 9 to the effect that the
               mining lease for 3 Hectares or more shall be granted through auction. The
               amended Rules provided as under:                                     
                       JHARKHAND MINOR MINERAL CONCESSION RULES, 2004               
                         (as Amended Vide Notification No. 218 dated 08.03.2019)    
                   4. Rules 9(1)(a), 9(1)(b) of Jharkhand Minor Mineral Concession Rules, 2004
                   as amended in 2017 are replaced as follows and proviso to 9(1)(f) is added as
                   follows:                                                         
                      -    -                                                        
                   Rule 9(1)(a) Mining lease of stone, morum and clay minor minerals on 03.00
                   hectare area of raiyat land and less area will be approved by the Deputy
                   Commissioner.                                                    
                   Provided that except the areas and minerals mentioned in the proviso to Rule
                   6(b) of Jharkhand Minor Mineral Concessional (Amendment) Rules, 2019,
                   mining lease of all other minor minerals except sand will be sanctioned in
                   terms of the provisions of Jharkhand Minor Mineral Auction Rules, 2017,
                   through electronic auction to be conducted by the Director of Mines.
                   However, the State Government can also authorize the Deputy Commissioner
                   for auction as and when required.                                
                   Provided that in the case of 31 (thirty one) minerals notified vide Notification
                   No. 1653/M, Ranchi, dated September 06, 2016, availability and quality of
                   minerals before auction of mineral like granite stone mineral, marble,
                   sandstone and ornamental stone etc. would be done. The work of identifying
                   the block after investigation will be done by the Geology Directorate,
                   Jharkhand or other exploration establishment authorized by the state
                   government.                                                      
                   For the safety of community property such as bridges, roads, ponds, rivers,
                   buildings, religious places, cremation grounds, mountains etc., security zones
                   will have to be marked as per the rules issued by the State Government and
                   the parameters established by the Forest Environment and Climate Change
                   Department, where there will be no mining of minerals.           
                                            7                                       
                                                        W.P.(C) No. 845 of 2024 & Ors.

                      -    -                                                        
                   Rule 9(1)(b) Approval of prospecting license and mining leases for granite
                   mineral will be done by the State Government through electronic auction
                   under the provisions of Jharkhand State Minor Mineral Rules.     
                   Provided that prospecting license, acceptance of mining lease and
                   conservation and development of granite mineral will be in accordance with
                   the provisions of The Granite Conservation and Development Rules, 1999.
                      -    -                                                        
                   Rule 9(1)(f): Provided that in case of extension/renewal of the  
                   pending/expired mining lease of granite mineral, the minimum period of the
                   mining lease will be in accordance with the provisions of The Granite
                   Conservation and Development Rules, 1999.                        
                   Provided that all pending cases for granite mineral will have to be
                   extended/renewed within 06 months from the date of notification, provided
                   all statutory clearances/approvals have been obtained by such applicants.
                                             -                                      
               12.       On behalf of the petitioner Firm, it is contended that the rights of a
               litigant concretise on the date of seeking relief and an adjudication thereon
               should be made on the basis of the law existing on that day. In “Beg Raj Singh
               v. State of U.P. & Ors.” (2003) 1 SCC 726, the Hon’ble Supreme Court 
               observed that the ordinary rule of litigation is that the rights of the parties stand
               crystalised on the date of commencement of litigation and the right to relief
               should be decided by reference to the date on which the petitioner entered the
               province of the Court. Mr. Sumeet Gadodia, the learned counsel for the
                      -                                                             
               petitioner Firm submits that the revisional Authority condoned the delay in
                                                           -                        
               submission of the EC and as of that date, the petitioner Firm was eligible and
               fulfilled all necessary conditions for grant of subject mining leases.
               13.       In “Beg Raj Singh”, the Hon’ble Supreme Court contemplated two
               situations whereunder relief may be declined to the aggrieved party. First, there
               may be a situation where on account of subsequent or intervening events the
               aggrieved party may be denied relief in equity. Secondly, the relief to which the
               aggrieved party was entitled may have been rendered redundant by lapse of
               time or incapable of being granted. In a situation which is presented in this
                                           -                                        
               batch of writ petitions, the petitioner Firm may justifiably be declined the relief.
               However, the State Government’s action in granting approvals to mining leases
               for minor mineral executed even recently cannot be overlooked. For a similar
               reason, as to the jurisdiction of the Deputy Commissioner to execute mining
               lease beyond 3 Hectares, we may indicate that the State Government seems to
               have approved the lease deeds executed by the Deputy Commissioners in other
                                            8                                       
                                                        W.P.(C) No. 845 of 2024 & Ors.

               districts. We are definitely not criticizing the incumbent Deputy Commissioner,
               Pakur and have formed an opinion to entertain these writ petitions only for this
               reason that the Departmental Secretary did not put up his stand and the State
               Government seems to have approved mining leases exceeding 3 Hectares 
               executed by the Deputy Commissioners in the recent past. This is also bearing
               in our mind that for whatsoever reason the State Government did not put up a
               serious challenge in the previous proceedings and almost conceded to the stand
                                                         th                         
               taken in the writ petition/contempt petition. Now, in 4 round of litigation, this
                              -                                                     
               Court should not re open the whole issue and ignore the previous orders passed
               between the parties.                                                 
               14.       Therefore, these writ petitions are allowed.               
               15.       On full and all statutory payments, the Deputy Commissioner shall
               execute the subject mining leases within four weeks, upon verification of other
               conditions, if any.                                                  
                                             (Shree Chandrashekhar, A.C.J.)         
                                                  (Navneet Kumar, J.)               
               R.K./Nishant                                                         
               N.AFR                                                                
                                            9                                       
                                                        W.P.(C) No. 845 of 2024 & Ors.