IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 23RD DAY OF OCTOBER 2017 PRESENT THE HON’BLE MR. H.G.RAMESH ACTING CHIEF JUSTICE AND THE HON’BLE MR. JUSTICE P.S.DINESH KUMAR WRIT PETITION NO.11935/2017(GM-MM-S) BETWEEN:
M/S ILC INDUSTRIES LIMITED A COMPANY REGISTERED UNDER THE COMPANIES ACT, 1956 NO. C-30, NEAR INDUSTRIAL ESTATE DAM ROAD, HOSPET – 583 201 REPRESENTED BY ITS DIRECTOR SHRI K. SOMASEKHAR ...PETITIONER (BY SRI L.M.CHIDANANDAYYA, ADVOCATE) AND:
1. STATE OF KARNATAKA REPRESENTED BY ITS SECRETARY TO THE DEPARTMENT OF INDUSTRIES & COMMERCE (SSI, TEXTILES & MINES) VIKASA SOUDHA, BANGALORE – 560 001 2. THE DIRECTOR, DEPARTMENT OF MINES & GEOLOGY,NO.49 KHANIJA BHAVAN, RACE COURSE ROAD BANGALORE – 560 001 3. THE SENIOR GEOLOGIST DEPARTMENT OF MINES & GEOLOGY KOPPAL DISTRICT, KOPPAL – 583 231 4. THE MONITORING COMMITTEE CONSTITUTED BY THE HON’BLE SUPREME COURT OF INDIA C/O DIRECTOR, DEPARTMENT OF MINES & GEOLOGY, KHANIJA BHAVAN RC ROAD, BANGALORE – 560 001 …RESPONDENTS (BY SRI V.G.BHANUPRAKASH, AGA FOR R1 TO R3; SRI M.KESHAVA REDDY, ADVOCATE FOR R4) THIS WRIT PETITION IS FILED UNDER ARTICLES 226 & 227 OF THE CONSTITUTION OF INDIA PRAYING TO DIRECT RESPONDENT NO.4 TO SELL THE IRON ORE MINERAL STOCKED IN THE SCHEDULE PROPERTY IN COMPLIANCE OF DIRECTION DATED 20.04.2012 VIDE ANNEXURE-R1 ISSUED BY THE HON’BLE SUPREME COURT OF INDIA IN SLP (CIVIL APPEAL) NOs.7366- 7367/2010 AND CONNECTED MATTERS ETC.
THIS WRIT PETITION COMING ON FOR PRELIMINARY HEARING, THIS DAY, THE ACTING CHIEF JUSTICE MADE THE FOLLOWING:
O R D E R Ag.CJ (Oral):
1. In this writ petition, the main prayer made by the petitioner namely, ILC Industries Limited reads as follows:
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b) ISSUE an order, direction or Writ in the nature of Mandamus, directing the 4th Respondent to sell the iron ore mineral stocked in the Schedule Property in compliance of direction dated 20.04.2012 vide Annexure-R1 issued by the Hon'ble Supreme Court of India in SLP (Civil Appeal) No.7366-67/2010 and connected matters.”
4th respondent referred in the prayer extracted above is the Monitoring Committee constituted by the Hon’ble Supreme Court of India.
2. In support of the aforesaid prayer, learned Counsel appearing for the petitioner refers to the interim order of the Hon’ble Supreme Court dated 20.04.2012 made in petitions for Special Leave to appeal (Civil) Nos. 7366- 7367/2010. The order reads as follows:
“In continuation of our Order dated 13th April, 2012, as far as Category ‘A’ is concerned, Recommendations made by Central Empowered Committee in Paragraph 14 of it’s Report dated 18th April, 2012, is accepted with a specific clarification that individual Reclamation and Rehabilitation report for each mining lease(s) would specify unbroken forest area. Mining which is to be resumed in appropriate cases falling in Category ‘A’, however, shall not extend to unbroken forest areas. Further, we direct Ministry of Environment and Forests to re-visit the statutory clearances earlier granted by it in the light of Reclamation and Rehabilitation Plan.
Sale of iron ore lying at various cancelled stockyards is permitted through E-auction by Monitoring Committee with the condition that sale proceeds not found to be involved in any illegality will be reimbursed to the respective stockyards.
Report of Central Empowered Committee dated 13th March, 2012, is accepted in respect of ML 2581 of M/s.SMIORE.
Learned counsel appearing in I.A.Nos.47 and 48 submits that these interlocutory applications be dismissed as not pressed. We order accordingly.”
(Underlining supplied) 3. Sri M.Keshava Reddy, learned Counsel appearing for respondent No.4-the Monitoring Committee sought for dismissal of the writ petition by referring to the following in the statement of objections dated 28.06.2017 filed by the Monitoring Committee:
“6. It is submitted that in compliance to the directions of the Hon’ble Supreme Court the monitoring committee has been selling iron ore lying at various stock yards through E-auction. The petitioners stock yard is located in Koppal District and the stock yard is one of the cancelled stock yards.
7. It is submitted that in terms of the Supreme Court order dated 20.04.2012, the sale proceeds are not to be reimbursed for stock yard holder if found involved in illegalities. Sale proceeds cannot be disbursed to the stock yard owner if after examination it is found that iron ore lying at the stock yard is involved in illegalities.
8. It is submitted that in view of the Supreme Court order dated 23.09.2011 and 20.04.2012 if the petitioner/ Stock yard holder is aggrieved in this regard, he has to approach Hon’ble Supreme Court to obtain direction/ clarification in the matter of E-auction. As such on this ground alone the Writ Petition is not maintainable and requires to be dismissed.
WITHOUT PREJUDICE TO THE PRELIMINARY OBJECTIONS REGARDING THE MAINTAINABILITY OF THE WRIT PETITION THE REPLY TO THE WRIT PETITION ON MERITS IS STATED BELOW:
9. It is submitted that the Petitioner has been granted permissions to establish a stock yard by the State Government for stocking the iron ore in Survey No.58/3 at Bevinahalli Village, Koppal District. The said stock yard has been cancelled by the Government by its Order dated 13.08.2010. A notice in this regard has been issued by the Senior Geologist which is herewith produced and marked as ANNEXURE-R5.
10. It is submitted that the Hon’ble Supreme Court by its order dated 20.04.2012 in S.L.P.No.7366-7367/2010 has directed the monitoring committee to sell the iron ore lying at various cancelled stock yards. The relevant portion of the order is extracted below:
“Sale of Iron ore lying at various cancelled stock yard is permitted through e-auction by monitoring committee with the condition that sale proceeds not found to be involved in any illegality will be reimbursed to the respective stock yards.”
11. It is submitted that accordingly the monitoring committee has been e-auctioning the iron ore lying in various cancelled stock yard on the terms and conditions laid down by the Hon’ble Supreme Court. The stock yard of the petitioner is cancelled stock yard located in Koppal District.
12. It is submitted that the monitoring committee by its letter dated 13.02.2017 has requested the Director of Mines and Geology to examine the request of the Petitioner and submit a report. The report is awaited from him. Once the report is received further action will be taken to e-auction the ore as per the orders of the Hon’ble Supreme Court dated 20.04.2012.
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18. It is respectfully submitted that the monitoring committee will take up the e-auction of the ore of the petitioner in compliance with the order of the Hon’ble Supreme Court dated 20.04.2012 in W.P.No.562/2012 subject to that:
1) There is no objection for sale of iron ore from any of the Court/Special Investigation Team/C.B.I or any other agency.
2) A proposal comes from the Director of Mines with no objection to sell the ore.”
4. Learned Counsel appearing for respondent No.4 submits that the Monitoring Committee is waiting for the report from the Director of Mines and Geology in the matter to take further action pursuant to the order of the Hon’ble Supreme Court dated 20.04.2012 extracted above.
5. In view of the above, we decline to pass any order in this matter. However, the petitioner, if so advised, may approach the Hon’ble Supreme Court in the matter.
Petition disposed of.
Sd/-
ACTING CHIEF JUSTICE Sd/- JUDGE KSR