STATE OF ODISHA & ORS. versus M/S. JINDAL STEEL AND POWER LTD. & ORS.

Citation: [2020] 3 S.C.R. 525 · Decided: 30-01-2020 · Supreme Court of India · Bench: S.A. BOBDE, BHUSHAN RAMKRISHNA GAVAI, SURYA KANT · Disposal: Disposed off
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Judgment (excerpt)

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STATE OF ODISHA & ORS.
v.
M/S. JINDAL STEEL AND POWER LTD. & ORS.
(Civil Appeal No. 850 of 2020)
JANUARY 30, 2020
[S. A. BOBDE, CJI, B. R. GAVAI AND SURYA KANT, JJ.]
Mining:
Arrangement between respondent-company (which runs steel
-production plants) and mining company – To purchase certain iron
ore which was to be processed into Lump Ores and Fines at the
leasehold area of the mining company by the respondent- company
and later to be stored at dispatch point, pending transporation –
Approval for such arrangement was granted by State, subject to
payment of royalty at the highest rate – After 31.3.2014, State refused
‘transit permit’ for transporting the procured and processed Iron
Ore from to despatch point to the plants of respondent-company on
the ground that environment clearance for enhanced production of
the mining company had expired – Writ petition by respondent-
company challenging refusal of transit permit – High Court allowed
the writ quashing the order whereby transit permit was refused –
Appeal to Supreme Court – Mining Comany’s application for
intervention and sought modification of order dated 15.1.2020 in
another case wherein the mining company was granted one month
time for payment of dues as assessed by Central Environment
Committee – HELD: Mining Company’s prayer for modification of
the order dated 15.01.2020 is accepted – Mining Company must
pay its dues and give the requisite undertaking by 29 February,
2020 post which alone, it shall be at liberty to resume its mining
operations as per order dated 15.01.2020 – Once the mining
company complies with above direction, respondent -company can
lift the already mined, processed and royalty paid Iron Ore lying at
the dispatch point within mining company’s premises and transport
these stocks to its plants across the country – The proceeds thereof
must be deposited with the Trust & Retention Account under the
custody of the State Bank of India – Writ petition allowed.
[2020] 3 S.C.R. 525
525
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SUPREME COURT REPORTS
[2020] 3 S.C.R.
The Bihar Mines Ltd. v. Union of India AIR 1967 SC
887: [1967] SCR 707; Samaj Parivartana Samudaya
v. State of Karnataka (2013) 8 SCC 154 : [2013] 6
SCR 810 – referred to.
Case Law Reference
[1967] SCR 707
referred to
Para 10
[2013] 6 SCR 810
referred to
Para 11
CIVIL APPELLATE JURISDICTION: Civil Appeal No. 850 of
2020.
From the Judgment and Order dated 08.04.2016 of the High Court
of Orissa in W.P. (C) No. 12119 of 2014.
with
I.A. Nos. 85780 of 2016, 79477 of 2016, 54052 of 2018, 4 of
2017, 187580 of 2019, 8734 of 2020, 8725 of 2020.
Shibashish Misra, Adv for the Appellants.
Tushar Mehta, Ld. S.G., Atmaram NS Nadkarni, ASG, Mukul
Rohtagi, Ajir Kr. Sinha, Parag Tripathi, Sr. Advs., Nandini Gore, Manish
Kharbanda, Ms. Natasha Saraswal, Pranav Sood, Jasvir Singh
Sabharwal, Ms. Nikita Mehta, Ms. Priya Singh, Anurag Abhishek, Pranav
Mehta, Prem Prakash, Ms. Suhasini Sen, S.S. Rebello, Arzu Paul,
Neeleshwar Pavani, Ms. Riya Soni, Ms. Aakansha Kaul, Ms. Suhasini
Sen, Manek Singh, Gurmeet Singh Makker, Kedar Nath Tripathy, Ms.
Sreeparna Basak, Ms. Malvika Bhanot for M/S. Parekh & Co., Sanjay
Kapur, Ms. Megha Karnwal, Harshal Narayan, V.M. Kannan, Ms.
Shubhra Kapur, Saurabh Ajay Gupta, Naveen Kumar, Vinit Kumar,
Prabhat Kumar Rai, Mr./Ms. Shreenu Verma, Nitesh Bhandari, Advs.
for the Respondents.
JUDGMENT
The following Judgment of the Court was delivered :
1. With the consent of learned counsel for the parties, Special
Leave to Appeal is taken up for final hearing along with the captioned
Interlocutory Applications.
2. Leave Granted. Heard learned counsel for the parties.
3. This Civil Appeal is directed against the order of a Division
Bench of the Orissa High Court which allowed the writ petition filed by
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Respondent No. 1, Jindal Steel and Power Ltd. (hereinafter “JSPL”)
seeking a writ of mandamus against the appellant, State of Odisha, for
allowing lifting of legally procured, processed, royalty and tax-paid stock
of Iron Ore lying at the dispatch point within the lease-area of M/s Sarda
Mines Pvt. Ltd. (hereinafter “SMPL”) in Thakurani B-Block Mines in
Keonjar, Odisha and transporting it to the railway siding at Deojhar for
carrying to its Pelletisation Plants and Steel Plants in Odisha and
Chhattisgarh.
FACTS
4. JSPL is an industrial entity which runs Steel-production plants
across the country and regularly purchases numerous raw materials,
including Iron Ore as part of its c
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