FERRO ALLOYAS CORPORTION LTD Vs. UNION OF INDIA
LAWS(APH)-2007-11-111
HIGH COURT OF ANDHRA PRADESH
Decided on November 15,2007

FERRO ALLOYS CORPORATION LTD., VIZIANAGARAM DISTRICT Appellant
VERSUS
UNION OF INDIA Respondents

JUDGEMENT

- (1.) THE writ petitioner is a public Limited Company involved in production of Bulk Ferroy Alloy, for which purpose it requires large quantities of manganese Ore.
(2.) PURSUANT to the notification dated 25. 1. 2000 issued by the 2nd respondent under rule 59 (1) (a) of the Mineral Concession rules, 1960 (for short, 'the Rules') notifying the area to an extent of 8. 23 cents situated in Sy. Nos. 71, 78, 79, 91/6, 81/2 to 6 of kondapalem Village for grant of mining lease (Manganese Ore), the petitioner-Company made an application on 16. 6. 2000. For the very same area, the 4th respondent herein also made an application on 27. 5. 2000. Having processed the applications received, the 2nd respondent vide memo dated 12. 10. 2001, while informing the petitioner that it's application was proposed for rejection on the ground that the area applied was fully overlapping with the applied area of the prior applicant i. e. , 4th respondent called upon the petitioner to show-cause as to why its application should not be rejected. The petitioner submitted a detailed representation dated 2. 11. 2001. However, by order dated 5. 12. 2001, the 2nd respondent rejected the mining lease application of the petitioner. Under the same proceedings, the 4th respondent was provisionally granted the mining lease for a period of 20 years, subject to prior approval of the Government of India under Section 5 (1) of the Mines and Minerals (Development and Regulation act), 1957 (for short, "the Act" ). Aggrieved by the same, the petitioner-Company filed a revision petition before the 1st respondent, which was dismissed by order dated 22. 8. 2005. Hence, this writ petition, seeking a certiorari to call for the records relating to the order of the 1st respondent dated 22. 8. 2005 as well as the order of the 2nd respondent dated 5. 12. 2001 and to quash the same being arbitrary and illegal.
(3.) IN the counter-affidavit filed on behalf of respondents 2 and 3, it is stated that the mining lease application of the 4th respondent was recommended for grant of lease under Section 11 (2) of the Act as their application was received earlier than the application of the writ petitioner. It is also stated that the petitioner did not fulfill the criteria laid down under sub-section (3) (1) to (d) of Section 11 of the act and therefore, its application was rightly rejected.;


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