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2025 DIGILAW 721 (JHR)

Rajhans Refractories Private Limited v. State of Jharkhand

2025-03-03

DEEPAK ROSHAN, M.S.RAMACHANDRA RAO

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JUDGMENT : M.S. Ramachandra Rao, C.J. The issue raised in all these writ petitions is whether the District Mining Officer is empowered to pass an order under Section 21(5) of the Mines & Minerals (Development & Regulation) Act, 1957 and recover from the persons, who have been granted mining leases, price of the mineral or not. 2. Admittedly, the power under Section 21(5) to do so is vested in the State Government. 3. Under Section 26(2) of the said Act, the State Government is enabled by notification in the official gazette to delegate any power exercisable by it under the statute in relation to matters and subject to certain conditions, if any, as may be specified in the notification to its officer or authority subordinate to the State Government as may be specified in the notification. 4. Petitioners contend that there is no such notification published in the Official Gazette delegating the power under Section 21(5) by the State Government to any officer including the District Mining Officer. 5. Counsel for the respondents has produced a proceeding dt. 02.07.2005 issued by the Governor of the State of Jharkhand conferring jurisdiction on the District Mining Officer in regard to assessment of “royalty” and its realization for the purposes of Section 24 of the Statute. There is no reference in this notification to sub-section (5) of Section 21 of the Act or to the delegation of the power conferred on the State Government under that provision to the District Mining Officer. In the absence of such a delegation by the State Government to the District Mining Officer of the power under Section 21(5) of the Act, the District Mining Officer has no jurisdiction to exercise such a power and demand from the petitioners, by invoking Section 21(5), price of the mineral which is said to have been disposed of by the respective petitioners. 6. In this view of the matter, these writ petitions are allowed and the impugned demand notices issued by the respective District Mining Officers to the petitioners under Section 21 (5) of the Act are all set aside. Liberty is however granted to the respondents for demanding and collecting the same through the designated authority under the Statute. 7. 6. In this view of the matter, these writ petitions are allowed and the impugned demand notices issued by the respective District Mining Officers to the petitioners under Section 21 (5) of the Act are all set aside. Liberty is however granted to the respondents for demanding and collecting the same through the designated authority under the Statute. 7. Amounts deposited by the petitioners with the respondents during the pendency of the writ petitions shall be refunded to the petitioners within eight weeks from the date of receipt of copy of this order. 8. The above sums will be refunded by the State Government with the interest rate 7% per annum from the date of making of such deposit till the date of actual refund to the petitioners. 9. All other points raised by the petitioners in the writ petitions are left open.