Mohan Raja Vs. State of
Tamil Nadu &
Ors  Insc 450 (25 April 2007)
A.K.MATHUR & TARUN CHATTERJEE
[Arising out of S.L.P.(C) No.12751 of 2006] A.K. MATHUR, J.
This appeal is directed against the order passed by the Division Bench of
the Madras High Court dated 13.7.2006 whereby the Division Bench of the High
Court has dismissed the writ petition filed by the appellant- M.P.Ram Mohan
Raja and disposed of the writ appeal filed by S.Ramilarasi in view of the
affidavit filed by the State Government. Hence, aggrieved against the order
passed by the Division Bench dismissing the writ petition the present appeal
has been filed by the appellant.
Brief facts giving rise to this appeal are the appellant- writ petitioner
(hereinafter to be referred to as the writ petitioner) applied to the State
Government in the Industries Department on 2.2.1996 under Rule 39 of the Tamil
Nadu Minor Mineral Concession Rules, 1959 (hereinafter to be referred to as
'the Rules') for grant of quarry lease for quarrying jelly and rough stone for
a period of 20 years from the poramboke lands over an extent of 3.64 hectares
in survey No.782/2 and over an extent of 2.36 hectares in survey No. 777/4A of
Ayyamkollankondam village, Rajapalayam Taluk, Kamarajar District.
Rule 39 of the Rules conferred power on the State Government to grant or
renew quarry lease or permission in special cases. The validity of the said
rule was affirmed by this Court in Premium Granites & Anr.v. State of Tamil
Nadu & Ors. [ (1994) 2 SC 691].
This Court held the rule as valid but the action of the State Government can
always be subject to challenge. The writ petitioner approached the High Court
of Madras by filing writ Petition No.6931 of 1996 making a grievance that his
application under Rule 39 of the Rules was not disposed and as such he prayed
for a direction to the State Government to dispose of his application made
under Rule 39 of the Rules. By order dated 14.6.1996 the High Court disposed of
the writ petition by directing the State Government to consider the application
of the writ petitioner and dispose of the same within a period of four weeks
from the date of receipt of copy of the order and also directed the State
Government to maintain status quo in the meantime. However, on 27.6.1996 within
a period of four weeks Rule 39 was repealed by the State Government.
Consequently, the application of the writ petitioner came to be rejected by
order dated 8.10.1996. Subsequently, the District Collector put certain lands
for auction in 2003. One of the two lands for which the writ petitioner had
applied for grant of lease, was also put to auction. After seven years, the
writ petitioner filed the present writ petition being W.P.No.13791 of 2003
seeking a writ of certiorari to quash the order dated 8.10.1996 and to direct
the first respondent to consider the application of the writ petitioner dated
2.2.1996 for grant of lease for quarrying jelly and rough stone under Rule 39
of the Rules as it stood at the relevant time.
The writ petition was admitted on 29.4.2003. By an interim order dated
27.2.2004 learned Single Judge permitted the writ petitioner to carry on
quarrying operation of jelly and rough stone in the said land. The said order
was challenged by the State Government in Writ Appeal No.1750 of 2004.
Thereafter, learned Single Judge passed some clarificatory order against which
an appeal was preferred by the State Government but the same was also
dismissed. The interim order dated 27.2.2004 passed by learned Single Judge was
challenged by a private party namely, S.Tamilarasi in Writ Appeal No.453 of
2006 alleging that taking advantage of the order of learned Single Judge the
writ petitioner has unauthorisedly encroached upon the lease-hold land granted
in his favour and started quarrying operation in the said land. Hence, both
these matters were clubbed together by consent of parties and were disposed of
by the High Court by the common impugned order.
It may be relevant to mention here that earlier Rule 8-C of the Rules was
introduced in 1977 by which grant of lease for quarrying black granite in
favour of private persons was prohibited. It was clearly stipulated that lease
could only be granted in favour of Corporations wholly owned by the State
Government. The validity of Rule 8-C was challenged before the Madras High
Court and ultimately, the matter reached before this Court and in State of
Tamil Nadu v. Hind Stone [AIR 1981 SC 711] this Court allowed the State appeal
and upheld the validity of Rule 8-C. However, this Court observed that some of
the applications which were pending before introduction of this prohibition,
may be dealt with in accordance with the Rules but at the same time it is
clarified that no one has vested right for grant of lease in mining.
Thereafter, Rule 39 was introduced on 8.3.1993 and that rule provided power to
the State Government for relaxation. In the interest of mineral development and
in public interest the Government may for the reasons to be recorded, grant or
renew a lease or permission to quarry any mineral. The validity of Rule 39 was
also challenged but it was upheld by this Court in Premium Granites & Anr.
A number of applications were filed under Rule 39 of the Rules before the
State Government for grant of lease. Government granted lease in some cases
relaxing the power of prohibition but some applications were rejected. Hence, a
batch of writ petitions was filed before the Madras High Court. The High Court
allowed certain number of writ petitions by order dated 17.3.1995 and issued
directions that all pending applications should be disposed of as far as
possible within a period of twelve weeks from the date of the order. The High
Court further laid down that all future applications should be disposed of as
far as possible within a period of twelve weeks from the date of receipt of
such applications. This order of the High Court passed on 17.3.1995 was not
challenged further and it attained finality.
The writ petitioner made an application under Rule 39 of the Rules but his
application was not disposed of within twelve weeks.
Hence, he filed the writ petition & the High Court passed an order on
2.5.1996 directing the State Government to expedite the disposal of the
application of the writ petitioner and to dispose the same within four weeks
from the date of receipt of a copy of the order.
Meanwhile, on 27.6.1996 within four weeks Rule 39 was repealed.
The State Government passed an order on 8.10.1996 rejecting the application
of the writ petitioner and the writ petitioner was asked to participate in the
tender cum auction to be conducted by the Collector for granting of quarry
lease for the area applied by him.
The writ petitioner did not pursue the matter after the Government passed
the order dated 8.10.1996 in pursuance of the direction given by the High Court
and the Collector while rejecting the application of the writ petitioner held
that since rule 39 has already been repealed, therefore, the writ petitioner
cannot be granted any lease in view of the changed circumstances. The writ petitioner
did not challenge this order till 2003 and suddenly woke up to file writ
petition on 27.4.2003 being writ petition No.13791 of 2003 before the High
The High Court passed an interim order on 29.4.2003 permitting the writ
petitioner to continue with quarrying operation on payment of lease amount
quoted by the neighbouring quarry owners. Though the Government preferred an
appeal against the said order, it was rejected. But the private respondent who
was affected by the interim order filed a writ appeal against the said order
alleging that the writ petitioner under the garb of interim order was
interfering with the quarry allotted to him. As such the writ petition filed by
the writ petitioner and the writ appeal were clubbed together.
We have heard learned counsel for the parties. The first and foremost
question before us as was before the High Court , was of delay. The Government
on 8.10.1996 passed the order in pursuance to the direction given by the High
Court rejecting his application, same was challenged after inordinate delay
i.e. on 27.4.2003 by the present writ petition, therefore, the writ petition
was hopelessly belated. The High Court affirmed the objection of the
respondents and in our opinion, rightly so. When the application of the writ
petitioner under Rule 39 was rejected on 8.10.1996 by the State Government in
pursuance to the direction given by the High Court, the writ petitioner waited
up to 27.4.2003 and filed a hopelessly belated writ petition. But strangely
enough, the said writ petition was entertained and an interim order was passed
and it was not interfered despite the State Government raising an objection. It
was only when the third party who felt aggrieved by the said interim order
because the writ petitioner on account of this interim order started
interfering with his area, that the matter was entertained by the High Court
and it was clubbed up together. We are satisfied that there was no
justification for the writ petitioner to have waited for a long time. Once the
order was passed on 8.10.1996, then there was no need for the writ petitioner
to have waited for such a long time. We are in full agreement with the view
taken by the High Court.
However, the High Court despite the fact that the writ petition was belated
and suffered from laches entered into the controversy on the merits also and
took the view that when Rule 39 was deleted within four weeks of the direction
to the State Government to dispose of the application of the writ petitioner,
there was no option with the Collector but to reject the application as the
rule which was in force was repealed, therefore, the basis on which the order
was passed was knocked out. Therefore, the High Court declined to grant any
relief to the writ petitioner and dismissed the writ petition on merit also.
Learned counsel for the appellant submitted that the writ petition should
not be dismissed on the ground of delay. In support thereof, learned counsel
invited our attention to a decision of this Court in P.C.Sethi & Ors. v.
Union of India & Ors. ( AIR 1975 SC 2164). In that case it was held that
because the Government has held out hopes, therefore, the petition was not
liable to be dismissed on the ground of delay. In the case of K.Thimmappa &
Chairman, Central Board of Directors, State Bank of India & Anr..
[(2001) 2 SCC 259], their Lordships held that a petition cannot be rejected
solely on the ground of laches if it violates Article 14 of the Constitution
and when there is no infraction of Article 14, the question of delay in filing
the petition cannot be ignored. In the case of Hindustan Petroleum Corporation
Ltd. & Anr. v. Dolly Das [(1999) 4 SCC 450] it was held that delay itself
cannot defeat the claim of the petitioner for relief unless the position of the
respondent has been irretrievably altered or he has been put to undue hardship.
In the case of M/s. Dehri Rohtas Light Railway Company Ltd. v. District Board,
Bhojpur & Ors. etc. [(1992) 2 SCC 598] their Lordships found that dismissal
of the writ petition in limine was not proper. Since the demand of cess was
made illegally in 1967 and the suit was dismissed in 1971, their Lordships
found that it was involving matter of serious consequence to the party,
therefore delay was not considered fatal in that case.
As against this, learned counsel for the respondents invited our attention
to a decision in State of Orissa v. Lochan Nayak (dead) by LRs. [(2003) 10 SCC
678]. In this case, the question of allotment of land was involved and the
Commissioner rejected the allotment made in 1984 against which repondent filed
writ petition in the High Court in 1992. The High Court remanded the matter
back to the Revenue Officer for consideration of the matter afresh. Meanwhile,
the allotment was further cancelled in 1992. This Court held that due to in
ordinate delay in filing the writ petition, the High Court ought not to have
entertained the writ petition and accordingly, set aside the order of the High
So far as the question of delay is concerned, no hard and first rule can be
laid down and it will depend on the facts of each case. In the present case,
the facts stare at the face of it that on 8.10.1996 an order was passed by the
Collector in pursuance to the order passed by the High Court, rejecting the
application of the writ petitioner for consideration of the grant of mining
lease. The writ petitioner sat tight over the matter and did not challenge the
same up to 2003. This on the face of it appears to be very serious. A person
who can sit tight for such a long time for no justifiable reason, cannot be
given any benefit.
Learned counsel for the appellant submitted that when the High Court passed
the order on 14.6.1996, at that time Rule 39 was in existence. Therefore, the
case of the writ petitioner should have been decided by the High Court as if
the Rule had not been deleted or repealed. In support thereof, learned counsel
for the appellant has invited our attention to the following decisions of this
i) 1993 Supp (1) SCC 96(II) In the matter of : Cauvery Water Disputes
ii) AIR 1994 SC 1 State of Haryana & Ors. v. The Karnal Co-op.Farmers'
Society Limited etc.
iii) AIR 2003 SC 833 Beg Raj Singh v. State of U.P. & Ors.
In the matter of Cauvery Water Disputes Tribunal, their Lordships held that
Legislature can change the law in general by changing the basis on which a
decision given by court but it cannot affect setting aside the decision inter
parties itself. Similarly, in the case of State of Haryana & Ors. it was
held that decree of civil court and judicial order holding that certain lands
and immovable properties fell outside "shamilat deh" regulated by
principal Act, subsequent amendment directing Assistant Collector to decide the
claim by ignoring them was held to be unconstitutional as it encroaches upon
In the case of Beg Raj Singh, the petitioner was granted mining lease for 3
to 5 years but the petitioner was erroneously granted lease for one year. It
was held that a right accrued to the petitioner to continue for a minimum period
of three years in terms of the policy decision and it was held that it cannot
be curtailed because of lapse of time in litigation and on the ground that
higher revenue would be earned by the Government by auctioning the mining
Therefore the Court directed that the petitioner would be entitled to
continue for a period of three years.
Now, coming to the merits of the writ petition we find that the rule was
already repealed on 27.6.1996 and the ground reality had also changed. So far
as grant of mining and mineral lease is concerned, no person has a vested right
in it. There is no quarrel on the legal proposition that if certain rights have
been decided on the basis of the law which was obtaining at that time, that
will not nullify the judicial decision unless the bases are taken out. In the
present case, the rule under which the writ petitioner sought direction for
consideration of his application has already been repealed within the time
frame directed by the High Court. Therefore the basis on which the order was
passed has been totally knocked out. Rule 39 on the basis of which direction
was given was not in existence. Therefore, it could not have been possible for
the authorities to have acceded to the request of the writ petitioner. More so,
no one has a vested right in mineral lease. In this connection it will be more
useful to refer to a decision of this Court in State of Tamil Nadu v. M/s. Hind
Ors. [ (1981) 2 SCC 205]. Their Lordships in the aforesaid case observed as
" The submission was that it was not open to the government to keep
applications for the grant of leases and applications for renewal pending for a
long time and then to reject them on the basis of Rule 8-C notwithstanding the
fact that the applications had been made long prior to the date on which Rule
8-C came into force. While it is true that such applications should be dealt
with within a reasonable time, it cannot on that account be said that the right
to have an application disposed of in a reasonable time clothes an applicant
for a lease with a right to have the application disposed of on the basis of
the rules in force at the time of the making of the application.
No one has a vested right to the grant or renewal of a lease and none can
claim a vested right to have an application for the grant or renewal of a lease
dealt with in a particular way, by applying particular provisions. In the
absence of any vested rights in anyone, an application for a lease has
necessarily to be dealt with according to the rules in force on the date of the
disposal of the application despite the fact that there is a long delay since
the making of the application. We are, therefore, unable to accept the
submission of the learned counsel that applications for the grant of renewal of
leases made long prior to the date of G.O.Ms. No.1312 should be dealt with as
if Rule 8- C did not exist."
Similarly in the case of P.T.R.Exports (Madras) Pvt. Ltd. v. Union of India
[ (1996) 5 SCC 268] their Lordships reiterated the same position.
As a result of our above discussion, we find no merit in this appeal and the
same is dismissed with no order as to costs.
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