PALLAVA GRANITES INDUSTRIES INDIA (P) LTD.versusGOVERNMENT OF ANDHRA PRADESH AND ORS.
- Citation
- 1997 INSC 284
- Decided
- 17 March 1997
- Disposal
- Dismissed
Holding
Consent of the landlord is necessary for the grant of a mining lease; without it, the lease is invalid.
Summary
The petitioner applied for a 15‑year mining lease over 12.08 acres of private land in Prakasam district, Andhra Pradesh. The Director initially granted a six‑month lease, but the landowners challenged the grant and the High Court ordered that any lease could be issued only with the owners' consent. Despite this direction, a lease was executed on 5 January 1995 without consent, leading to a series of writ petitions and orders. The petitioner appealed to the Supreme Court, contending that earlier case law obviated the need for landlord consent. The Court held that the right to excavate minerals on private land is subject to the landowner’s agreement and that consent is indispensable. Accordingly, the special leave petitions were dismissed.
Issues considered
- Whether the consent of a private landowner is required for the grant of a mining lease to excavate minerals beneath the land.
Subjects
Judgment
PALLAVA GRANITES INDUSTRIES INDIA (P) LTD. A
- v.
GOVERNMENT OF ANDHRA PRADESH AND ORS.
MARCH 17, 1997
(K. RAMASWAMY AND G.T. NANAVATI, JJ.] B
Lease:
Mining Lease-Grant of-Right to excavate mines from lands of private
owner-Consent of land owner-Held, is necessary-The right to excavate the C
mines from die land of private owner is based on the agreement: unless the
lessor gives his consent, 110 lessee has a right to enter upon his land and ca17)'
on mining operations-The right to grant mining lease to excavate the mines
beneath the surface is subject to the agreement of the land owners-Therefore,
with a view to ensure that there will not be any obstruction in the working of
the mining lease and also for the peaceful operation of the excavation of die D
mines, insistence 011 the consent of the landlord is 11ecesswy-Mi11es and
Minerals.
CIVIL APPELLATE JURISDICTION : Special Leave Petition (C)
Nos. 3146-47 of 1997.
E
From the Judgment and Order dated 11.11.96 of the Andhra Pradesh
High Court in W.A. No. 1191/96 and W.P. No. 19865 of 1996.
Soli J. Sorabjee, K. Ramakrishna Reddy and K.K. Mani for the
Petitioner.
F
D.D. Thakur, G. Ramakrishna Prasad, V.S. Reddy and S. U.K. Sagar
for the Respondents.
The following Order of the Court was delivered:
These special leave petitions arise from the Judgment of the Division G
Bench of the Andhra Pradesh High Court, made on 11.11.1996 in Writ
Appeal No. 1196/96 and Writ petition No. 19865/96. The petitioner had
applied for grant of a lease of land from the owners thereof, respondents
4-7 on August 22, 1991 for a period of 15 years to win over black granite
over an extent of 12.08 acres of land in S. Nos. 105/1, 2, 3 of R.I. Puram H
1173
1174 SUPREME COURT REPORTS (1997] 2,S.C.R.
A village, Chimakkurthy Mana!, Prakasam District in Andhra Pradesh. The
Director gr;mtcd the mining lease for six months on· August 11, 1994,
pending further proceedings. Aggrieved thereby, the respondent-owner
filed writ Petition No. 15615/94 challenging the grant of lease without their
consent. The writ petition was disposed of on 7.10.1994 with a direction
that the lease could be granted only with consent of the respondent-owners.
B However, without obtaining their consent, lease was executed on January
5,1995 for 15 years. Notice was issued by the respondent- landlords on
January 5, 1996 requesting the petitioner-lessee to handover the land by
July 7, 1996 after the expiry of the initial lease. Thereafter there was
exchange of the notices etc. and the petitioner filed a writ petition and the
c High Court directed the authorities to extend the period of lease in terms
of the lease granted by the Industries and Mining Department. W.P. No.
13147/96_ was disposed of with a direction to the Industries to dispose of
the application in accordance with the Rules applicable to them within
eight weeks. The order dismissing the writ petition came to be passed on
D July 10, 1996. The Director granted mining lease again on August 28, 1996.
Writ Petition No. 13147/96 was dismissed on the ground of res judicata.
Writ Petition No. 19865/96 filed by the petitioner to grant mining lease
without reference to the consent of the landlords was dismissed on
19.9.1996. Writ Appeal No. 1191/96 was filed by the petitioner against the
order dated 23.8.1996 in Writ Petition No. 13147/96. Both came to be
E dismissed by the Division Bench. Thus, this special leave petition.
The primary contention raised before us by Shri Soli J. Sorabjee,
learned senior counsel, is that there was an earlier judgment of the High
Court wherein it was held that there was no need to obtain the consent of
the landlords before grant of _mining lease and, therefore, the direction
F
issued by the Division Bench on the ground of the prevailing practice is
not correct in law.
We find no force in the contention. The right to excavate the mines
from a land of private owner is based on the· agreement; unless the lessor
G gives his consent, no lessee has a right to enter upon his land and carry on
mining operations. The right to grant mining lease to excavate the mines
beneath the surface is subject to the agreement of the land owners. There-
fore, with a view to ensure that there will not be any obstruction in the
working of the mining lease and _aho for the peaceful operation of the
H excavation of the mines, insistence on the consent of the landlord is
r PALLAVAGRANITESINDUSTRIESIN~IA(P)LTDv. GOVf. OFA.P. 1175
necessary. Therefore, we do not find any illegality in the view taken by the A
High Court warranting interference.
-- R.P.
The special leave petitions are accordingly dismissed.
Petitions dismissed.
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