Case Note & Summary
The petitioner, Pravinkumar Gosalia, was a mining lessee of certain lands in Quitol Village, Quepem Taluka, Goa. His father had obtained a mining lease for 30 years from 13.12.1968, which was transferred to the petitioner on 26.4.1991. The petitioner had applied for renewal, which was pending. The Government acquired a vast property for setting up an Industrial Estate/Food Park under the Land Acquisition Act, 1894, by notification dated 4.10.2007. The Land Acquisition Officer passed an award on 1.6.2008 fixing compensation at rates between Rs.11 to Rs.22 per square meter depending on land type. The petitioner claimed Rs.5,50,02,72,051/- as compensation for loss of his mining lease rights, based on a valuation report. The Land Acquisition Officer denied this claim. The petitioner then filed a reference under Section 18 of the Act before the Reference Court (District Judge, Margao), which rejected the reference by order dated 29.4.2009. The petitioner challenged this order by way of a writ petition before the Bombay High Court at Goa. The High Court dismissed the writ petition, holding that the interest of a mining lessee is an interest in land and is already compensated through the market value of the land. No separate compensation is payable for loss of mining rights. The court also noted that the reference was time-barred but did not decide on that ground. The petition was dismissed with no order as to costs.
Headnote
A) Land Acquisition - Compensation - Mining Lease - Separate Compensation - The petitioner, a mining lessee, claimed separate compensation for loss of mining rights over acquired land. The Reference Court rejected the claim. The High Court held that the interest of a lessee is an interest in land and is compensated through the market value of the land. No separate compensation is payable for loss of mining rights as the same is subsumed in the compensation for the land. (Paras 2-10) B) Land Acquisition - Reference - Limitation - Section 18 Land Acquisition Act, 1894 - The petitioner's reference was rejected as time-barred. The High Court noted that the reference was made beyond the period prescribed under Section 18, but did not decide on this point as the petition was dismissed on merits. (Para 2)
Issue of Consideration
Whether the petitioner, as a lessee of mining rights, is entitled to separate compensation for the loss of mining rights over the acquired land, in addition to the compensation awarded to the landowner for the land itself.
Final Decision
The High Court dismissed the writ petition, upholding the order of the Reference Court. The court held that the petitioner, as a lessee of mining rights, is not entitled to separate compensation for loss of mining rights as the same is subsumed in the compensation for the land. No order as to costs.
Law Points
- Land Acquisition
- Compensation
- Mining Lease
- Market Value
- Reference Court
- Section 18 Land Acquisition Act 1894
- Section 4 Land Acquisition Act 1894
- Section 9 Land Acquisition Act 1894
- Section 10 Land Acquisition Act 1894



