2004 PLP 576 (SCMR)

‑‑‑‑Preamble‑‑‑Regulation of Mines and Oilfields and Mineral Development (Government Control) Act (C of 1948), Ss.2 & 3‑‑ Constitution of Pakistan (1973), Arts. 185(3) & 199‑‑‑Lease of mining limestone‑‑‑Increase in rate of royalty by Government‑‑‑High Court dismissed Constitutional petition challenging such increase ‑‑‑Validity‑‑ Section 2 of Regulation of Mines and Oilfields and Mineral Development (Government Control) Act; 1948 authorized Government to frame Rules and S.3 thereof further authorized making of Rules envisaging imposition of penalty‑‑‑Petitioner was obliged under the contract to abide by all provisions of Punjab Mining Concession Rules, 1990‑‑ Petitioner was obliged to pay all taxes, rates etc., which were required to be paid to Government‑‑‑No illegality having been found in impugned judgment, Supreme Court dismissed petition for leave to appeal. Sh. Anwar‑ul‑Haq, Advocate Supreme Court for Petitioner. Nemo for Respondents. Date of hearing: 14th April, 2003. KHALIL‑UR‑REHMAN RAMDAY, J.‑‑‑This petition is directed against a judgment of the Lahore High Court dated 27‑4‑2000 passed in Writ Petition No. 7171 of 2000.

2. The petitioner‑Company which runs a cement manufacturing plant holds the lease from the Directorate of Industries and Mineral Development, Punjab, for mining limestone. The petitioner‑Company was required to pay royalty to the respondent‑Government initially at the rate of Rs.1.50 per ton which was increased to Rs.5 per ton in the year 1993 and was further increased to Rs.15 per ton in January, 1998. Having not paid the royalty in terms of the rate fixed in January, 1998, the petitioner was directed‑to pay the differential amount of money who challenged the said order before the Secretary by way of an appeal which was dismissed on 22‑9‑1999. The petitioner then approached the Lahore High Court through Writ Petition No.3772 of 2000 which was dismissed on 6‑3‑2000 as having been withdrawn. The petitioner thereafter filed a fresh petition in the Lahore High Court bearing Writ Petition No.7171 of 2000 questioning the vires of rule 50(2) of the Punjab Mining Concession Rules, 1990 which petition was dismissed through the impugned judgment. Hence this petition.

3. The Lahore High Court had dismissed the petitioner's above A mentioned writ petition after it had found that section 2 of the Regulation of Mines and Oilfields and Mineral Development (Government Control) Act of 1948 did authorize‑ the Government to frame rules and section 3 of the said Act further authorized the making of rules envisaging imposition of penalty. The learned High Court had also noticed that Paras. XIV and XXII of the contract of lease obliged the petitioner‑Company to abide by all the provisions of Punjab Mining Concession Rules, 1986 and was obliged to pay all taxes, rates, etc. which were required to be paid to the Government.

4. We have heard the learned counsel for the petitioner at some length who has not been able to point out any illegality in the impugned judgment of the Lahore High Court. This petition is, therefore, dismissed. Leave refused. S.A.K./P‑109/S Leave refused.