The petitioners had been
excavating lime-stone for many years in Abu Road Taluka. They had also leases
for lime-kilns for lime burning for the past 10 years. They were informed that
they would not be granted permission to excavate lime-stone On behalf of the
petitioners it was contended that by the granting of the lease a monopoly was
created. During the pendency of their lease for the lime-kilns they were served
with peremptory notice directing them to close their lime-kilns within 24
hours, and that by this action of the Government their fundamental rights to
hold property and carry on their business had been violated.
The
Government as owners of the land with its minerals was 'prima facie' entitled
to lease it out to Messrs and the petitioners have been unable to show under
what authority of law they, had a right to have that area leased out to them
instead of Messrs. The action of the Government in granting the lease to Messrs
cannot in the circumstances of the case be regarded as one by which monopoly of
lime-stone business was given to Messrs as contended on behalf of the petitioners.
It was pointed out
that section 4 of the Act prohibits the granting of
a mining lease otherwise than in accordance with the Rules made there under and
any such lease granted contrary to the provisions of the Act was void.
The Court held that the petitioners had a right to
have the lease renewed or that a guarantee had been given to the petitioners
that the lease would be renewed. These petitions are dismissed with two sets of
costs.
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