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GOA FOUNDATION versus UNION OF INDIA & ORS.

Citation: [2014] 5 S.C.R. 302 · Decided: 21-04-2014 · Supreme Court of India · Bench: A.K. PATNAIK · Disposal: Disposed off

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Judgment (excerpt)

A 
B 
c 
[2014] 5 S.C.R. 302 
GOA FOUNDATION 
v. 
UNION OF INDIA & ORS. 
(Writ Petition (Civil) No. 435 of 2012) 
APRIL 21, 2014 
[A.K. PATNAIK, SURINDER SINGH NIJJAR AND 
FAKKIR MOHAMED IBRAHIM KALIFULLA, JJ.] 
Commission of inquiry Act, 1952: 
ss. BB and BC - Justice Shah Commission - Report on 
illegal mining Β·in State of Goa - Held: Jn view of the stand of 
the State Government that no action will be taken against 
m;ning Jesse.Es only on the basis of the findings in the report 
0 of Justiee Shah Commission without making its own 
assessment of facts and without first giving the mining lessees 
opportunity of hearing and opportunity to produce evidence 
in their defence, Court is not inclined to quash the report of 
Justice Shah Commission on the ground that provisions of 
ss. BB and BC of the 1952 Act, and principles of natural justice 
E have not been complied with - However, Court cannot direct 
prosecution of the mining lessees on the basis of the findings 
in the report of Justice Shah Commission, if they have not 
been given opportunity of being heard and to produce 
evidence in their defence and not allowed right to cross-
F examine and the right to be represented by a legal 
practitioner before the Commission as provided in ss. BB and 
BC. 
Mines and Minerals (Development and Regulation) Act, 
G 1957: 
H 
ss .8(2) and 8(3) -
Renewal of mining lease -
Concessions granted before liberation of Goa, deemed to be 
mining leases - Deemed mining leases to excavate iron ore 
302 
Β· GOA FOUNDATION v. UNION OF INDIA 
303 
in State of Goa - Held: Renewal beyond first renewal for a A 
period of twenty years is conditional upon State Government 
forming an opinion that in the interest of mineral development, 
B 
it is necessary to do so and also conditional upon State 
Government recording reasons for such renewal of a mining 
lease in respect of iron ore which is not specified in Part A 
and Part B of the First Schedule - Deemed mining leases of 
lessees in Goa expired on 22.11.1987 and the maximum 
period (20 years) of renewal of deemed mining leases in Goa 
has also expired on 22. 11. 2007 -
Therefore, mining by 
lessees in Goa after 22. 11. 2007 was illegal -
Accordingly, c 
- order dated 10.09.2012 of Government of Goa suspending 
mining operations in the State and order dated 14.09.2012 
of MoEF, Government of India, suspending the environmental 
clearances granted to mines in the State are not liable to be 
quashed by the Court, and the same will have to continue ti/I 
0 
decisions are taken by State Government to grant fresh leases 
and decisions are taken by MoEF to grant fresh environmental 
clearances for mining projects -
Mineral Concession Rules, 
1960 -
r.24A -
Goa, Daman and Diu Mining Concessions 
(Abolition and Declaration as Mining Leases) Act, 1987- s. 
E 
5 - Public Interest Litigation. 
ss. 4 and 9 - Removing of dumpΒ· from mining area and 
keeping it beyond mining area - Held: Dumping of minerals 
outside the leased area of the mining lessees is not 
permissible under MMDR Act and Rules made thereunder 
F 
-
The moment mineral is removed or consumed from the 
leased area, the holder of a mining lease has to pay royalty 
- By virtue of ss. 9 of MMDR Act, tailings and rejects 
excavated during mining operations being minerals wi/I also 
be exigible to royalty the moment they are removed from the 
G 
leased area - Mineral Concession Rules, 1960 - r. 64-C. 
Mines and Minerals: 
Prohibition on mining activities - In areas adjacent to 
National Park or Wildlife Sanctuary - Held: Supreme Court 
H 
304 
SUPREME COURT REPORTS 
[2014] 5 S.C.R. 
A in exercise of its power under Art. 32 of the Constitution can 
direct the State to prohibit mining activities in an area 
adjacent to a National Park or a Wildlife Sanctuary for the 
purpose of protecting the flora, fauna and wildlife habitat of 
the National Park/Wildlife Sanctuary -
State can be directed 
s by the Court by an appropriate writ or direction not to grant 
mining /eases or not to allow mining that will be violative under 
Art. 21 of the Constitution - The order passed by the Court 
saying that there will be no mining activity within one kilometer 
safety zone around National Park or Wildlife Sanctuary has 
c to be enforced - Until the Central Government takes into 
account various factors mentioned in sub-r. (1 ), follows the 
procedure laid down in sub-r. (3) and issues a notification 
under r.5 prohibiting mining operations in a certain area, ther

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