The High Court · 2025

Petition under Article 226 of the Constitution of lndia praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased to issue a Writ, order or direction more particularly one in the nature of Writ of MANDAIvIUS seeking the direction to the Respondent authorities to permit the Writ Petitioner to participate in the tender vide Ref. 15765861M.112022, dt.17.07.2025 by way of electronic auction to bid for a quarry lease against the land to an extent of 4-00 Ha in Sy.No.214 of Chilpur Village and Mandal, Jangaon District, pending revision application and to declare the action of Respondent No.2 for barring the writ petitioner in the tender notice dt.17.07.2025 as per Clause 5(C) of Tender Document, as arbitrary, illegal, u nconstitutiona I and violative of principles of natural Justice and Article 14 of Constitution of lndia consequentially permit the writ petitioner to participate in the proposed tender dt.17.07.2025. lA NO: 1 OF 2025 Petition under Section 15'l CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased to direct the Respondent No.1 and 2 to permit the Writ Petitioner to participate in the electronic auction in pursuance of the tender dt.17.07.2025 for bidding of quarry Iease over the land to an extent of 4-00 Ha in Sy.No.214 of Chilpur Village and Mandal, Jangaon District pending writ petition in the interest of justice. Counsel for the Petitioner: SRI DONTHIREDDY VENKATA REDDY, SENIOR Counsel for the Respondents: SRI K.GOWTHAM REDDY, AGP FOR MINES COUNSEL FOR SRI GOURIDEVI KRISHNAIAH AND GEOLOGY The Court made the following: ORDER THE HONOURABLE SRI IUSTICE N.V.SHRAVAN KUMAR WRIT PETITION No. 22701 of 2025 ORDER: Hearcl Sri Donthireddy Venkata Reddy, learned Senior Counsel appearing for the petitioner; Sri K. Gowtham Reddy, learned Assistant Government Pleader for Mines and Geology appearing for respondent Nos.1 to 4. With their consent, this writ petition is being taken up for disposal at the admission stage itself-

2. This writ petition is filed seeking following prayer:- "to issue a Writ, order or direction more particularly one in the nature of Wrtt of MAND AMUS seeking the direction to the Respondent nuthoities to permit the l\/rit petitioner to participate in the tender tifu R f. 1S76SS6/M./2022, dt.17.07.2025 by ruay of electronic auction to bid lbr a quarry lease against the land to nn extent of 4-00 Ha in Sy.No.274 of Chilpur Village nnd Mandal, langaon Distict, pending reuision appLication nnd to declare tlle action of Respondent No.2 for bnrring thc rurit petitioner in the tender notice dt.77.01.2025 as per CLnuse 5(C) of Tender Doctonent, as arbitrary, illegal, utlconsLitulionol nnd uiolntiae of principles of natural lustice nnd Article 14 of Constitutiott of Indin consequentially permit the utrit petitiorter to participate in the proposed tend.er dt.17.07.2025."

3. Brief facts of the case are that the petitioner is holdir-rg a quarry lease for building stone and road metal over an extent of 2.00 Hects in sy.No.214 of Chilpur village and Manrlal, Jangaon District. Tl-re Assista,t Director of Mines & Geology, Jangaon-respondent lrro.4 issuecl a demancl notice No.130/ e/ 2c79, ctated 31.05.2024 directir.g the petitioner to pay an amount of Rs.2,45,24,g80 / - tow-ards normal seignioragc Fee and Rs.74,7-1,49,2g-t f - towards 5 times penarty j&-,- 2 'l for the quantitics excavated more than thc permitteci quantity within the lease area i.e. for the quantig, 3,77,305 llTs and also l{s-19,14,806/- towards normal Seigniorage Fce aiong with Rs.1,91,48,058/ - towards 10 times penalty for the excavation of mineral of quantity 29,458 ivlTs outside the leased area totaling to Rs.L6,82,12,745 / -. Aggrieved by the demand nofice dated 31.05.2024 issuecl by respondent No.4, the petitioner preferred revision vide Memo No.2961/M.l(2)/2024 beforc respondent No.1. While hearing was conducted on 13.09.2024, the counsel for the petitioner brought the attention of the revision authority regarding deduction of Scigniorage Fee from the work bills for supply of road metal to various Government Engineering authorities and also submitted undertaking/ notarized affidavit. The said revision vide Memo No.2967/M.I(2)/2024, dated 23.09.2024 was disposed of and the operating portion of the said order is extracted hereunder:- " After henring the conterLtiorts of bolh the parties and taking the materinl mndt aoailable, It is decided tlnt the Deputy Director of Mines and GeoLogy, Warangal shall reconcile tlu documentary etitlences submitted by the Reuision Petitioner, then the Assistant Director of Mines nnd Geology, lnngaon District shall take further necessary action to Collect NormaL Seigniorage Fee along ruith one time penalty tnd statutory pnyments etc,, for un reconctLed quantity ln leaserl aren and to collect Normal Seigniorage Fee along uitit tttto times penalty mtd statutory payments etc., for quantity extrnctetl otiside the leased area. Accordingly, the Retrision Application is disposed off under Rule 35-A of Telangana State Minor MineraL Concession Rules,

1966." t J Thereafter, respondent No.4 oide impugned letter No.130/ e/ 2079, dated

77.07.2025 informed the petitioner that payment to be made in terms of the revisional authority orders for an amount of Rs.43,55,657.97.

4. Lcarned Senior Counscl appearing for the petitioner submits that aggrieved by the impugned letter dated 17 .07 .2025, the petitioner preferred revision before respondent No.1 questioning the quantum of demand and the same is pending- Learned senior Counsel appearing for the petitioner fairly submits that as per Clause 5(c) of Blank Tender euarry Lease, the Bidder (including its directors and partn'ers, as applicable) shall not have any mining dues or outstanding payments pending with Government of Telangana beyond the due date for payment thereof. In case, Bidder has agreed to One Time settlement scheme of the State, necessary evidence shall be submitted by the Bidder. since the issue is now pending before the revisional authority and that no decision has been taken, the petitioner would lose an opportunity to participate in the tender/auction and prays this Court to permit the petitioner to participate in the tender/auction.

5. Learned Assistant Covernment pleader foi Mines and Geology appearing for respondent Nos.1 to 4 placed on record inshuctions issued by respondent No.4-the Assistant Director of Mines and Geoiogy, wherein respondent No.4 also refers to the samc Clause 5(c) o( Tencler Document, and in terms of the said Clause, the petitioner is not eligible to participate in the r 4 tender/auction process as he is having rr.incral re\/enue dues oI Rs.43,55,657.9U - to thc Government

6. Having considered the above facts and circumstances, this writ petition is disposed of permitting the petitioner to participate in the tender vide Ref: 7576589 /M.I/202), dated 77.07.2025, and to . thc extent of considering his candidature for the tender would be subject to the outcome of the revision pending before respondent No.1.

7. Miscellaneous applications, if any pending, shall stand closed. No order as to costs. SD/- N.CHANDRA SEKHAR D PUTY REGISTRAR //TRUE COPY// ECTION OFFICER 1 The Principal Secretary-Cum- Revision Authority, (Mines and Geology) I nd ustries'and Commeice (Mines-l) Department, Governm-ent of Telangana, Secretariat buildings, Tank'3und, Hydeiabad, Telangana, State of Telangana ihe Dlrector of Miies and Geology; My Home Sarovar Buildings, 2nd floor, Saifabad, Hyderabad, Telangana. The Dy. Dirrlctor of Mines an-d Geology, Warangal, Warangal. District Telangana The A!st. Ditector of Mines and Geology, Jangaon' Jangaon District, Telangana. one ct to SRI GOURIDEVI KRISHNAIAH, Advocate [oPUC] Two CCs to GP FOR MINES AND GEOLOGY, High Court for the State of Telangana, at Hyderabad. [OUT] Two CD Copies To 2 J 4 5 6 7 PSK PSK a / HIGH COURT DATED:0110812025 ORDER WP.No.22701 of 2025 CC TODAY oR lntr 5 Te 0 1 AUE 2025 J. PAtcll o (_) * DISPOSING OF THE WRIT PETITION WITHOUT COSTS o