DHALBHUM TRADES AND INDUSTRIES LTD Vs. UNION OF INDIA

JUDGEMENT

(1.) Messrs. Dhalbhum Trades and Industries Limited, the petitioner, is a joint stock company with limited liability, incorporated under the Indian 'Companies Act, 1913, having its registered office at Calcutta and its local office at Ghatsila in the district of Singhbhum. The petitioner, in this writ application under Articles 226 and 227 of the Constitution of India, has challenged the validity of the Bihar Land Reforms Laws (Regulating Mines and Minerals) Validation Act, 1969 (Act 42 of 1969) -- hereinafter to be called the "Validation Act". The petitioner has further made a prayer-

(2.) The material facts which are stated in the application are these: Shri Jagadish Chandra Deo Dhabal Deb, the ex-proprietor of Pargana Dhalbhum within the district of Singhbhum, by a registered deed of lease, dated the 6th of December, 1948, granted a lease to the petitioner of all mines, quarries, beds, seams and veins of building stones in the entire pargana of Dhalbhum on certain terms and conditions mentioned in the deed of lease for a period of 30 years commencing from the 1st of January, 1948. Clause (xiii) of the said lease is in these terms:

(3.) As stated in the application, the petitioner had granted permits for building stones to various persons who supplied them to several other persons. The petitioner, having learnt that working on permits was being stopped, wrote to the Executive Engineer, P.W.D., World Bank Projects Wing, Ghatsila, about the same, whereupon the said Executive Engineer replied under his letter No. 4471, dated the 9th of November, 1964, that the Mining Officer, Chaibassa, had intimated to him that the petitioner had no right to grant such permits or to realise any royalty from the Dhalbhum area, in accordance with the terms of the leases held by it. The petitioner, thereupon, moved the authorities and ultimately it was decided that the petitioner could grant such permits. The petitioner, thereafter, continued to grant such permits without the knowledge of the Officers of the State.