Case Note & Summary
The petitioner, M/s. Robo Silicon Ltd., was granted a stone crusher licence under the Karnataka Regulation of Stone Crushers Act, 2011 on 19 March 2015, valid for five years until 31 March 2019. On 1 January 2019, the petitioner applied for renewal of the licence. However, on 28 March 2019, the second respondent (Deputy Director, Mines and Geology) cancelled the mining licence. The petitioner challenged this cancellation in a previous writ petition, and by order dated 25 April 2019, the cancellation was set aside. Despite this, on 24 May 2019, the second respondent again cancelled the licence. The petitioner then filed the present writ petition under Articles 226 and 227 of the Constitution of India, seeking a direction to the respondents to consider the renewal application dated 1 January 2019 and the application dated 14 June 2019 for renewal of C-Form. The court heard the parties on 19 August 2019. The court noted that the cancellation order dated 24 May 2019 was passed without notice to the petitioner and without considering the renewal application. The court held that the cancellation was unsustainable and set it aside. The court directed the respondents to consider the renewal application afresh, after giving the petitioner an opportunity of hearing, and to pass a reasoned order within four weeks. The writ petition was disposed of accordingly.
Headnote
A) Administrative Law - Natural Justice - Cancellation of Licence - Karnataka Regulation of Stone Crushers Act, 2011, Section 5 - The petitioner's licence was cancelled without notice or opportunity of hearing, and the renewal application was not considered. The court held that the cancellation order was unsustainable and directed the respondents to consider the renewal application afresh after giving the petitioner a hearing. (Paras 2-4)
Issue of Consideration
Whether the respondents were justified in cancelling the petitioner's stone crusher licence without considering the renewal application and without affording an opportunity of hearing.
Final Decision
The writ petition is allowed. The impugned order dated 24 May 2019 passed by the second respondent is quashed. The respondents are directed to consider the petitioner's application for renewal of licence dated 1 January 2019 afresh, after giving the petitioner an opportunity of hearing, and pass a reasoned order within four weeks from the date of receipt of a copy of this order.
Law Points
- Renewal of licence
- Natural justice
- Cancellation without notice
- Section 5 of Karnataka Regulation of Stone Crushers Act
- 2011
Case Details
2019 LawText (KAR) (08) 9
Writ Petition No.28148 of 2019 (GM-MM-S)
Abhay S. Oka, Chief Justice, Mohammad Nawaz, Justice
Shri K.N. Phaneendra, Senior Counsel for Shri S. Rajashekar, Advocate (for petitioner); Shri Vikram Huilgol, HCGP (for respondents)
State of Karnataka, Department of Mines and Geology; The Deputy Director, Mines and Geology; The Deputy Commissioner, Mangalore
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Nature of Litigation
Writ petition under Articles 226 and 227 of the Constitution of India challenging cancellation of stone crusher licence and seeking direction to consider renewal application.
Remedy Sought
Direction to respondents to consider the application dated 01.01.2019 for renewal of stone crusher licence and application dated 14.06.2019 for renewal of C-Form.
Filing Reason
The petitioner's licence was cancelled without notice and without considering the renewal application, despite a previous court order setting aside an earlier cancellation.
Previous Decisions
On 25 April 2019, the High Court set aside an earlier cancellation order dated 28 March 2019. However, on 24 May 2019, the second respondent again cancelled the licence.
Issues
Whether the cancellation of the petitioner's stone crusher licence without notice and without considering the renewal application is sustainable in law.
Whether the respondents are bound to consider the renewal application in accordance with the provisions of the Karnataka Regulation of Stone Crushers Act, 2011.
Submissions/Arguments
The petitioner argued that the cancellation order dated 24 May 2019 was passed without any notice or opportunity of hearing, and the renewal application was pending.
The respondents argued through the High Court Government Pleader, but the judgment does not detail their submissions.
Ratio Decidendi
A licence cannot be cancelled without affording the licensee an opportunity of hearing, especially when a renewal application is pending. The authority must consider the renewal application on its merits and pass a reasoned order.
Judgment Excerpts
The factual controversy is very brief.
The licence was granted on 19th March 2015 for a period of five years in terms of Section 5 of the said Act of 2011.
On 1st January 2019, the petitioner applied for the renewal of licence.
On 28th March 2019, the second respondent cancelled the mining licence granted to the petitioner.
By the order dated 25th April 2019 passed in the writ petition filed by the petitioner, the said order was set aside.
On 24th May 2019, the second respondent proceeded to cancel the licence granted to the petitioner.
The impugned order dated 24th May 2019 is unsustainable.
We direct the respondents to consider the application for renewal of licence dated 1st January 2019 afresh, after giving an opportunity of hearing to the petitioner, and pass a reasoned order within a period of four weeks from the date of receipt of a copy of this order.
Procedural History
The petitioner was granted a licence on 19 March 2015 valid till 31 March 2019. On 1 January 2019, the petitioner applied for renewal. On 28 March 2019, the second respondent cancelled the licence. The petitioner filed a writ petition, and on 25 April 2019, the cancellation was set aside. On 24 May 2019, the second respondent again cancelled the licence. The petitioner then filed the present writ petition on an unspecified date. The court heard the parties on 19 August 2019 and passed the order on 21 August 2019.
Acts & Sections
- Karnataka Regulation of Stone Crushers Act, 2011: Section 5
- Constitution of India: Articles 226, 227
