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TMI Blog2025 (1) TMI 1029X X X X Extracts X X X X X X X X Extracts X X X X ..... z, brick earth does not belong to the State Government. Reliance was placed on Section 42 of the Punjab Land Revenue Act, 1887 (for short, 'the Land Revenue Act') and, in particular, sub-section (2) thereof. It was further contended that under the Mines and Mineral (Regulations and Development) Act, 1957 (for short, 'the 1957 Act') or under the Punjab Minor Mineral Concession Rules, 1964 (for short, 'the Mineral Rules'), there was no provision entitling the first appellant - State Government to levy royalty on the use of brick earth. The respondents contended that the appellants' action of assessing royalty and sending notices for recovery was illegal. 2. The appellants resisted the suit by filing their written statements. It was contended that the Civil Court had no jurisdiction to entertain the suit in view of Rule 54F of the Mineral Rules, which provides a remedy of appeal against orders of assessment of royalty. The appellants also raised objections to the maintainability of suit on the ground of nonjoinder of necessary parties. It was contended that the respondents had failed to implead the owners of the said lands. The appellants further challenged the maintainability of ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... First Appellate Court, however, rejected this argument and held that there was a presumption of ownership in favour of the first appellant under sub-Section (1) of Section 42 of the Land Revenue Act and the mere fact that the Wajib-ul-arz did not specifically mention ownership of the State over brick earth, would not disentitle the appellants from levying tax on the mining of brick earth by virtue of it being declared a minor mineral. 5. By the impugned judgment, second appeals preferred by the respondents have been allowed, and the suits filed by the respondents have been decreed. The High Court concluded that by way of mere declaration of brick earth as a minor mineral, no rights can vest in the State Government to levy royalty. It was held that since the appellants failed to prove that they are owners of brick earth, they are not entitled to claim any royalty from the respondents. SUBMISSIONS 6. Learned Additional Advocate General appearing for the State of Punjab submitted that Section 15 of the 1957 Act empowers the State Government to make Rules enabling it to charge a royalty on the extraction of minor minerals. He pointed out that, admittedly, a notification was issued ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... shall be presumed to belong to the Government. (2) When in any record-of-rights completed after that date it is not expressly provided that any forest or quarry or any such land or interest belongs to the Government, it shall be presumed to belong to the landowners. (3) The presumption created by sub-section (1) may be rebutted by showing- (a) from the records or report made by the assessing officer at the time of assessment; or (b) if the record or report, is silent, then from a comparison between the assessment of villages in which there existed, and the assessment of villages of similar character in which there did not exist, any forest or quarry, or any such land or interest, that the forest, quarry, land or interest was taken into account in the assessment of the land-revenue. (4) Until the presumption is so rebutted, the forest, quarry, land or interest shall be held to belong to the Government." ( emphasis added ) Therefore, if the record of rights was completed after 18th November 1871 and if it was not expressly recorded that any forest or quarry or any such land or interest belongs to the Government, the same shall be presumed to belong to the land ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... f the assessee or the production by him of any evidence that the returns furnished in form 'N' in respect of any period are correct and complete, he shall assess the amount of royalty due from the assessee on the basis of such returns and record assessment order in Form 'O'. (2) If the Assessing Authority is not satisfied without requiring the presence of the assessee who furnished the returns in Form 'N' or production of evidence that the returns furnished in Form 'N' in respect of any period are correct and complete, he shall serve on such assessee a notice in Form 'P', requiring him on a date and a place specified therein, to attend in person or to cause to be produced any evidence (on which such assessee may rely) in support of such returns. (3) In case the assessee having furnished the returns in respect of a period in Form 'N' fails to comply with the terms of the notice in Form 'P' issued under sub-rule (1), the Assessing Authority shall within three years after the expiry of such period proceed to assess to the best of his judgment, the amount of the royalty due from the assessee and record the assessment order i ..... X X X X Extracts X X X X X X X X Extracts X X X X ..... tical mistake apparent from the record and within a like time period rectify any such mistake which has been brought to his notice by any person, affected by such order." ( emphasis added ) 11. Therefore, even if a person owns the land, he cannot undertake quarrying or mining operations therein unless he holds a certificate of approval in Form "B". A person to whom the certificate is issued is required to file returns showing the production and disposal of mines or minerals. The royalty is determined as provided in sub-Rule (1) of Rule 54C. 12. Therefore, once it is accepted that brick earth was a minor mineral under the Mineral Rules, the first appellant - the State Government, gets the right to levy royalty on the production and disposal of minor minerals. An appeal is provided under Rule 54F of the Mineral Rules against an order of the assessment of royalty. This remedy is an efficacious remedy available to challenge the levy of royalty. 13. The three Courts have unnecessarily gone into the issue of ownership of the said lands or minerals therein. The issue was about the right of the first appellant - the State Government to levy royalty. Once it is shown that under the M ..... X X X X Extracts X X X X X X X X Extracts X X X X
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