Case Note & Summary
A batch of writ petitions was filed before the Nagpur Bench of the Bombay High Court by several stone crusher operators. They challenged the refusal of the Additional Collector, Buldhana, to grant short term permits for extraction of minor minerals under the Maharashtra Minor Mineral Extraction (Development and Regulation) Rules, 2013. The Additional Collector had relied on a Government Resolution dated 23.01.2019 and held that such permits could be granted only through e-auction. The petitioners contended that under Rule 59 of the 2013 Rules, short term permits could be granted on a simple application without any auction. They highlighted that Rule 59 contains a non obstante clause and was not amended even when Rule 9 was substituted in 2018 to mandate public auction for quarry leases. The State argued that the same auction modality should apply to short term permits and that the Government Resolution prescribed the auction process. The High Court examined the statutory provisions, including definitions in Rules 2(s) and 2(t), the procedure for quarry leases under Rule 9 (as amended), and the specific provision for short term permits under Rule 59. The Court noted the clear distinction between quarry leases and quarry permits, and that Rule 59 explicitly allows grant on an application with a non obstante clause overriding other rules. It held that the amendment to Rule 9 did not affect Rule 59, and a Government Resolution cannot override the statutory rule. Consequently, the impugned orders were set aside and the respondents were directed to consider the petitioners' applications for short term permits in accordance with Rule 59.
Headnote
A) Mines and Minerals - Short Term Permits for Minor Minerals - Application-Based Grant Versus Public Auction - Maharashtra Minor Mineral Extraction (Development and Regulation) Rules, 2013, Rule 59, Rule 9, and Mines and Minerals (Development and Regulation) Act, 1957, Section 15 - The core issue was whether short term permits under Rule 59 required a public auction as mandated for quarry leases under amended Rule 9, or could be granted on a simple application. The Court analyzed the statutory scheme, noting that Rule 59 contains a non obstante clause and does not stipulate auction, while Rule 9 was specifically amended to require auction for quarry leases. The amendment did not extend to Rule 59, and a Government Resolution cannot alter the statutory rule. Held that short term permits for minor minerals can be granted on application without auction (Paras 6-7).
Issue of Consideration
Whether grant of short term permit for minor minerals under Rule 59 of the Maharashtra Minor Mineral Extraction (Development and Regulation) Rules, 2013 must be preceded by holding public auction or whether such short term permit can be granted on the basis of an application made to the Competent Authority?
Final Decision
The High Court held that on a conjoint reading of the Rules, Rule 59 specifically provides for grant of short term permits on an application without any requirement of public auction. The non obstante clause in Rule 59 overrides other rules including amended Rule 9. The amendment to Rule 9 did not affect Rule 59. Impugned orders refusing short term permits were set aside and respondents directed to consider petitioners' applications in accordance with Rule 59.
Law Points
- Legal points not extracted
- Minor minerals
- short term permit
- quarry lease
- quarry permit
- Rule 59 of Maharashtra Minor Mineral Extraction (Development and Regulation) Rules
- 2013
- non obstante clause
- public auction
- e-auction
- Government Resolution dated 23.01.2019
- Mines and Minerals (Development and Regulation) Act
- 1957
- application-based grant
Case Details
2022 LawText (BOM) (03) 99
WRIT PETITION NO. 4588 OF 2019 with connected WP Nos. 4589, 4590, 4591, 4592 of 2019
A.S. Chandurkar, J., Smt. M.S. Jawalkar, J.
Shantanu Khedkar, V.B. Bhise, R.D. Dhande for petitioners; N. P. Mehta, Assistant Government Pleader for respondents
Shrikrupa Stone Crusher through its Partner Avinash Madhukar Tayde; Jai Gajanan Stone Crusher through its Partner Namdeo Ananda Bhonde; Shrikrushna Stone Crusher through its Partner Vinayak Pandurang Mukund; Durga Stone Crusher through its Partner Shri Rajesh Panditrao Ekade; Shri Swami Samarth Stone Crusher through its Proprietor Sunil Mahadeo Girhe
The State of Maharashtra through its Secretary, Revenue and Forest Department; Additional Collector, Buldhana; Sub-Divisional Officer (Revenue), Khamgaon; Tahsildar, Khamgaon
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Nature of Litigation
Writ petitions under Article 226 of the Constitution of India challenging the refusal of short term permits for extraction of minor minerals.
Remedy Sought
Petitioners sought a direction to the respondents to issue short term permits for extraction of minor minerals and to set aside the impugned orders of the Additional Collector.
Filing Reason
The Additional Collector refused to grant short term permits on the ground that as per Government Resolution dated 23.01.2019, grant of short term permit was permissible only through e-auction, whereas the petitioners had only made applications without auction.
Previous Decisions
Previous decisions not referenced
Issues
Whether grant of short term permit for minor minerals under Rule 59 of the Maharashtra Minor Mineral Extraction (Development and Regulation) Rules, 2013 must be preceded by holding public auction or whether such short term permit can be granted on the basis of an application made to the Competent Authority?
Submissions/Arguments
Petitioners argued that Rule 59 has a non obstante clause and only requires an application; Rule 9 amendment mandating auction for quarry leases did not amend Rule 59; Government Resolution cannot override statutory rules; reliance placed on Laxmi Devi vs. State of Bihar.
Respondents argued that under Section 15 of the MMDR Act, the State Government framed Rules; Rule 9 requires auction for quarry lease, and same modality should apply for short term permits; Government Resolution dated 23.01.2019 prescribes e-auction.
Ratio Decidendi
Rule 59 of the Maharashtra Minor Mineral Extraction (Development and Regulation) Rules, 2013, which contains a non obstante clause, independently provides for grant of short term permits for minor minerals solely on an application to the Competent Authority, and does not require a public auction. The amendment to Rule 9 mandating public auction for quarry leases does not impliedly extend to short term permits under Rule 59, as the latter remains unamended and is a separate procedure. A Government Resolution cannot override the statutory rule.
Judgment Excerpts
The question that arises in this batch of writ petitions is whether grant of short term permit for minor minerals under Rule 59 of the Maharashtra Minor Mineral Extraction (Development and Regulation) Rules, 2013 (for short, the Rules of 2013) ought to be preceded by holding public auction or whether such short term permit can be granted on the basis of an application made to the Competent Authority?
Rule 9. Mode of granting quarry lease : (1) Subject to the provisions of these rules, mineral concessions for quarry lease on any land vested in the Government or any public authority may be granted by the Competent Authority by way of public auction.
Rule 59. Grant of short term permits for minor minerals. (1) Not-withstanding anything contained in the foregoing rules, the Competent Officer, on an application made to him may grant a quarry permit...
Procedural History
Writ petitions filed before the High Court challenging the Additional Collector's orders refusing short term permits. Court heard arguments and reserved judgment; no previous litigation mentioned.
Acts & Sections
- Mines and Minerals (Development and Regulation) Act, 1957: 15
- Maharashtra Minor Mineral Extraction (Development and Regulation) Rules, 2013: 2(s), 2(t), 9, 11, 15, 46-57, 59, 68, 70
