JUDGEMENT
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(1.) Petitioner, aggrieved by the order passed by
the Division Bench of the Karnataka High Court
initiating proceeding for contempt in exercise of
its suo motu power, has preferred these special
leave petitions.
(2.) Leave granted.
(3.) Bereft of unnecessary details the facts giving
rise to the present appeals are that the appellant
applied on 16th of April, 2003 for grant of mining
lease for iron ore over an area of 350 acres in
Yeshawanthnagar Range of the Kumarswamy Reserve
Forest Area within Sandur Taluk in Bellary District
of the State of Karnataka. The State Government
processed the request and in exercise of powers
under Section 5 (1) of the Mines and Minerals
(Development and Regulation) Act, 1957 (hereinafter
referred to as 'the Act') by its letter dated 9th of
February, 2004 recommended to the Central
Government for grant of mining lease in favour of
the appellant to the extent of 16.8 hectares.
However before any decision could be taken, the
Central Government issued notification dated 27th of
June, 2005 in exercise of the power under Section
17 A (1A) of the Act and reserved iron ore deposits
in the area in question for exploitation by State
Trading Corporation of India Limited, a public
sector undertaking. In view of the aforesaid
reservation the Central Government returned the
proposal of the State Government to grant mining
lease to the appellant by its letter dated 21st of
July, 2005. Aggrieved by the aforesaid
notification appellant preferred WP No. 19339 of
2005 (H.G. Rangangoud v. Minister of Coal & Mines,
represented by the Secretary & Ors.) before the
Karnataka High Court, inter alia praying for
quashing the notification reserving the iron ore
deposits in favour of the State Trading Corporation
of India Limited. The writ petition filed by the
appellant was heard along with another writ
petition filed by Salgaocar Mining Industries
Private Limited and the learned Single Judge by its
judgment and order dated 14th of August, 2007
quashed the aforesaid notification dated 27th of
June, 2005. Armed with the order of the High
Court, appellant represented to the State
Government to consider his application for grant of
mining lease by its representation dated 18th of
September, 2007. After one day of filing of the
representation i.e. on 20th of September, 2007 the
State Trading Corporation, aggrieved by the order
of the learned Single Judge preferred appeal before
the High Court. Said appeal was posted for
consideration on 3rd of October, 2007 and the
Division Bench of the High Court taking into
consideration the 'enormity' of the case and
finding that all the parties have been served and
represented, directed for its final disposal on 11th
of October, 2007. However, no interim order was
passed. As directed, the matter was heard and
reserved for judgment but before the judgment could
be pronounced the State Trading Corporation, the
appellant before the High Court, brought to its
notice that "when the matter was in the hearing
process, Government of Karnataka has sent a
communication to the Union of India for mining
lease in favour of the writ petitioners". The
Division Bench of the High Court, when informed
about the aforesaid fact "called upon the
Government Advocate to explain this situation".
The explanation was furnished in which it was inter
alia stated that "as there was no interim order
granted in the writ appeal and keeping in view the
fact that if the mining area is not sanctioned to
the writ petitioners the existing mining operation
would be forced to close down and keeping in view
the jeopardy to the workmen, such recommendation
has been made." The explanation put forth by the
State Government did not find favour with the High
Court and on its prima facie finding that the
aforesaid conduct "amounts to interference with the
due course of judicial process" initiated suo motu
criminal contempt proceedings against the appellant
herein and K. Jayachandra, Under Secretary to the
Government of Karnataka, Commerce and Industries
Department. While doing so the High Court observed
as follows:
"On going through the affidavit as
well as the records, prima facie it
appears to us that there is a clear
attempt on the part of the writ
petitioner Mr. H.G. Rangangoud and the
concerned official to take such action
when the grant of lease/licence itself
was seized and was under consideration
by this Court thereby cause on the
merit or decision of this court."
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