VIJAYAWADA: The HC has upheld the authority of Mining Department officials to impose penalties and collect seigniorage fees from persons involved in mining, storing or transporting minerals without valid permissions.
A division bench comprising Chief Justice Lisa Gill and Justice Cheemalapati Ravi held that GO 35 issued by the government on July 1, 2020, amending Rules 26 and 34 of the AP Minor Mineral Concession Rules, 1966, was legally valid.
The HC observed that Sections 15 and 23C of the Mines and Minerals Act empower the government to frame rules to curb illegal mining, storage and transportation.
It allowed the government’s appeals, setting aside a single-judge order that had held the amendments contrary to Central legislation. The bench said penalties imposed by mining officials constituted civil compensation. As G.O. 35 removed imprisonment provisions, officials could recover penalties, while jail cases must go to criminal courts. Affected companies may approach the appellate authority against demand notices within 15 days.