Content Provider | Supreme Court of India |
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e-ISSN | 30484839 |
Language | English |
Access Restriction | NDLI |
Subject Keyword | Mines and Minerals (Regulation and Development) Act |
Content Type | Text |
Resource Type | Law Judgement |
Jurisdiction | India |
Case Type | Appeal |
Court | Supreme Court of India |
Disposal Nature | Appeal Dismissed |
Headnote | Mines and Minerals (Regulation and Development) Act, 1957 : Sections 15(1), 15(1-A) and 13(1), (2)-Rate of royalty over minor minerals increased beyond maximum percentage prescribed in Schedule 11. Item 54-High Court upheld impugned notifications of State Government-On appeal held, State Government has power to make rules in respect of minor minerals-Introduction of Section 15(1-A) illustrates the general power of the State Government to make rules-Ample guidelines are available in various provisions of the Act, Preamble and Statement of Objects and Reasons-Fixation of royalty is an inherent part of mineral development and State has to consider various factors including the fact that it is parting with its own wealth-Impugned notification valid as State Government acted within ambit of delegated power and there were sufficient guidelines and checks-Bihar Minor Minerals Concession Rules, 1972. Sections 15(2) and (3)-Approval of Rules and Notifications made by State Government-As even existing rates of royalty or dead rent need approval of Parliament, it serves as a guiding.factor-Proviso to Section 15(3) brings in an additional check on enhancement-Imposition of royalty not arbitrary or excessive and increase in royalty is very reasonable inspite of the power granted to the State Government. Schedule II, Item 54-Rate of royalty to be within 12% of the sale price at the pits mouth-Language would only mean residual major minerals not specified in Item Nos. 1-53-Neither the residuary nor the left over major minerals could be equated to minor minerals-Maximum prescribed percentage would not apply to minor minerals, but only acts as a guideline. Sections 4 to 12-General restrictions over Rule making power-Guidance provided to State Government while acting as a delegatee under Section 15-Section 9 specifically refers to royalty and along with Schedule II is a good source of guidance.Section 28(1), (2) and (3)-Laying of rules and notifications before the Houses of the legislature-Provisions regarding State Government differently worded for a purpose as it is better placed to deal with minor minerals used locally-Mere placement or laying of the rules and notifications would be sufficient check on power of State Government-Placement of rules cannot be said to be of no consequence and the same is obligatory Impugned notifications are valid as they are within the ambit of delegation which is not excessive as there are enough guidelines and checks including laying them down before the houses of the Legislature-Second notification which has not been placed before the houses of the legislature should be done at the earliest, However, its non-placement would not affect its validity as the requirement is only directory.Administrative Law-Delegated Legislation-State Government comes into scrutiny of concerned Legislature by mere laying of any notification or rule-House plays a positive role when it is entrusted with power to annul, modify or approve any rule or else acts as a vital and forceful check.Constitution of India-VII Schedule-Entry 54, List-I and Entry 23, List II-Regulation of Mines and Minerals does not fall within Concurrent List- Conflict is resolved as Entry 23, List II provides that Union may have full or partial control over regulation of mines and minerals-Parliament has power to withdraw this control partially or fully if it so desires-A notification concerning an item absent in the concurrent list may also be laid before the State legislature-Mines and Minerals (Regulation and Development) Act, 1957- Section 28(3). Taxation-Royalty on minerals-Tax on this royalty is distinct.from other forms of taxes on income, wealth, sale or production of goods etc. and it includes the price.for the consideration of parting with the right and privileges of an owner-A strict interpretation would be harsh considering the guidelines prescribed to a delegatee who also owns the minerals-Mines and Minerals (Regulation and Development) Act, 1957. Interpretation of statutes-Heydon's rule-The words "Regulation of Mines and Minerals development" connotes a different meaning when used in different context-Words are not static but dynamic and courts must adopt the dynamic meaning which uphold the validity of any provision-True meaning and intent of the legislature has to be gathered from the Preamble, Statement of Object and Reasons and other provisions of the Act-A construction which suppresses the mischief and advances the remedy must be adopted-Mines and Minerals (Development and Regulation) Act, 1957-Constitution of India-VII Schedule-Entry 54, List I and Entry 23, List II. |
Judge | Hon'ble Mr. Justice Ajay Prakash Misra |
Neutral Citation | 2000 INSC 382 |
Petitioner | The Quarry Owners Association Etc. |
Respondent | The State Of Bihar And Ors. |
SCR | [2000] Supp. (2) S.C.R. 211 |
Judgement Date | 2000-08-08 |
Case Number | 5089 |
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