High Court of Karnataka Quashes Suspension of Stone Quarrying Licence for Violation of Natural Justice — Licence Suspended Without Show Cause Notice, Order Set Aside

High Court: Karnataka High Court Bench: BENGALURU In Favour of Accused
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Case Note & Summary

The petitioner, Sri D. Shankar, held a stone quarrying licence valid until 15 March 2023. On 26 March 2018, the Deputy Conservator of Forests (third respondent) directed the Director of Mines and Geology (fourth respondent) to take steps for cancellation of the licence. Subsequently, on 27 June 2019, the Senior Geologist (second respondent) passed an order suspending the licence. The petitioner challenged this suspension order dated 22 August 2019 by way of a writ petition under Articles 226 and 227 of the Constitution of India. The court heard the learned counsel for the petitioner and the learned Additional Government Advocate for the respondents. The court found that the impugned order of suspension was passed without issuing any show cause notice to the petitioner, thereby violating the principles of natural justice. The court held that such an order cannot be sustained and accordingly quashed the suspension order. The court directed the respondents to pass a fresh order after giving an opportunity of hearing to the petitioner. The writ petition was allowed in those terms.

Headnote

A) Administrative Law - Natural Justice - Audi Alteram Partem - Suspension of Licence - The State Government suspended the petitioner's stone quarrying licence without issuing any show cause notice or affording an opportunity of hearing. The court held that such an order is in gross violation of principles of natural justice and cannot be sustained. (Paras 2-4)

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Issue of Consideration

Whether the suspension of a stone quarrying licence without issuing a show cause notice to the licensee violates principles of natural justice.

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Final Decision

The writ petition is allowed. The impugned order dated 22.8.2019 suspending the petitioner's stone quarrying licence is quashed. The respondents are directed to pass a fresh order after giving an opportunity of hearing to the petitioner.

Law Points

  • Natural justice
  • audi alteram partem
  • suspension of licence without show cause notice
  • violation of principles of natural justice
  • writ jurisdiction under Article 226
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Case Details

2019 LawText (KAR) (11) 42

W.P. No. 49880 of 2019 (GM-MM-S)

2019-11-07

Abhay S Oka, Chief Justice, S R. Krishna Kumar, Justice

Shri A V Amarnathan (for petitioner), Shri V.G. Bhanuprakash, AGA (for respondents)

Sri D. Shankar

State of Karnataka, Senior Geologist (Mineral), Deputy Conservator of Forest, Director of Mines and Geological Department

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Nature of Litigation

Writ petition challenging suspension of stone quarrying licence

Remedy Sought

Quashing of the suspension order dated 22.8.2019 issued by the second respondent

Filing Reason

Suspension of licence without show cause notice, violating principles of natural justice

Issues

Whether the suspension of stone quarrying licence without show cause notice violates principles of natural justice

Submissions/Arguments

Petitioner argued that the suspension order was passed without any show cause notice, violating natural justice. Respondents argued through the Additional Government Advocate.

Ratio Decidendi

An order suspending a licence without issuing a show cause notice is in gross violation of principles of natural justice and cannot be sustained.

Judgment Excerpts

By this petition filed under Article 226 of the Constitution of India, the petitioner has challenged the order passed by the State Government on 22nd August, 2019 by which the State Government suspended the stone quarrying licence granted to the petitioner. The stone quarrying licence granted to the petitioner is valid till 15th March, 2023. The impugned order of suspension has been passed without issuing any show cause notice to the petitioner. Therefore, the impugned order is in gross violation of principles of natural justice.

Procedural History

The petitioner filed a writ petition under Articles 226 and 227 of the Constitution of India challenging the suspension order dated 22.8.2019. The court heard the matter on 7.11.2019 and allowed the petition.

Acts & Sections

  • Constitution of India: Articles 226, 227
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