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LABOUR CONTRACT CO-OPERATIVE SOCIETY, PALIKUR, KURNOOL DISTT. REP. BY ITS SECRETARY versus DIRECTOR OF MINES AND GEOLOGY, HYDERABAD AND OTHERS.

Citation: [1992] SUPP. 1 S.C.R. 802 · Decided: 22-09-1992 · Supreme Court of India · Bench: S. RANGANATHAN · Disposal: Dismissed

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Judgment (excerpt)

A 
LABOUR CONTRACT CO-OPERATIVE SOCIETY, PALIKUR, 
B 
KURNOOL DISTT. REP. BY ITS SECRElfARY 
v. 
DIRECTOR OF MINES AND GEOLOGY, HYDERABAD AND 
OTHERS. 
SEPTEMBER 22, 1992 
[S. RANGANATHAN, V. RAMASWAMI AND B.P. JEEVAN 
REDDY, JJ.] 
C 
Andhra Pradesh Minor Mineral Concession Rules. 1966: 
Section 12(4) and 13(2)-Minor Minerals-Lease-Grant/renewal of-
Consideration of applications-<Jiving of preference-Procedure to be fol-
lowed. 
D 
The Word "within" appearing in S.12(4) inappropriate-Deletion of the 
Word-Suggested. 
An extent of 40 acres or land containing lime stone slabs was leased 
out to the father or the fourth Respondent. He applied for renewal of the 
E lease 90 days before the expiry of the lease, as contemplated under Rule 
13(2) of the Andhra Pradesh Minor Mineral Concession Rules, 1966. 
HoweYel', he withdrew his application later. His son made an application 
for grant or lease in respect or 18 acres out or the total extent'of 40 acres, 
Later the appellant Society applied for lease in respect of the entire extent 
of 40 acres. Both the applications remained pending till the expiry of 90 
F days from filing and were deemed to have been rejected as per Rules. Both 
the applicants filed revision petitions before the Government which al-
lowed the applications and remitted the matter to the Deputy Director for 
dtsposal. In the meantime the fifth Respondent Society also applied for 
lease in respect of the entire extent or 40 acres. 
G 
'The Deputy Director passed orders granting lease in respect of 18 
acres in favour of the fourth Respondent, viz. the son of the previous lease 
and the remaining 22 acres in favour of the fifth Respondent Society, and 
rejected the application of the appellant. An appeal to government having 
failed, the appellant filed a Writ Petition before the High Court. A Single 
H Judge held that the grant of lease in favour of the fourth Respondent was 
802 
CO-OP.SOCIETY. v. DIRECTOR 
803 
valid but the rejection of appellant's application was Illegal. The lease In A 
favour of fifth Respondent was set aside and the Deputy Director was 
directed to reconsider the applications of the appellant and the fifth 
RespondenL The appellant preferred an appeal under cl. 15 of the Letters 
PatenL The fifth Respondent filed Cross objections. The Division Bench 
dismissed the appeal and allowed the Cross-objections. The appellant 
B 
preferred the present appeal by special leave. 
On behalf or the appellant, It was contended that if the application 
or the appellant filed within 30 days of expiry or the lease was considered 
belated, the application of the fifth respondent which were filed long after 
the expiry or the lease were also barred by limitation and could not have C 
been considered. It was also contended that the application of the fourth 
respondent could not have been treated as filed within time. 
Dismissing the appeal, this Court enunciated the scheme of the 
Rules and, 
HELD: 1. The authorities were not right in rejecting the appellant's 
application as barred by time. This Court does not propose to send back 
the matter to the authorities in view or the time that bas elapsed since the 
grant in favour of Respondent No.S. The term of the lease is five years only. 
A mltjor portion or that term is already over. The Division Bench bas 
rightly pointed out that among the appellant and the fifth respondent the 
latter is entitled to preference for more than one reason viz., the fifth 
respondent society is composed of memhers ofVadde Community who are 
the traditional stone-<!utters. Though they do not belong to Scheduled 
Castes or Scheduled Tribes, they are at the lowest rung among the back-
ward classes, whereas the petitioner society is composed or mere labourers 
who do not necessarily belong to the traditional stone-<!ulter community. 
[809-H; 810 A-BJ 
D 
E 
F 
2. The existing lessee bad indeed applied for renewal ninety days 
before the expiry or his lease. But before It could be granted or rejected it G 
was withdrawn on 17.7.87, which means that the field was now clear for 
considering the second category applications I.e., those received in terms of 
Rule 12(4). The grant of the fourth respondents application is, therefore, 
perfectly In order since it was received prior to 30 days before the expiry or 
the lease. However, it was only for 18 acres. 22 acres still remained, In 
respect of which the third category applications had to be considβ€’red. The H 
804 
SUPREME COUR

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