- 1 - HC-KAR NC: 2025:KHC:52111-DB WP No. 37096 of 2025 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 10TH DAY OF DECEMBER, 2025 PRESENT THE HON'BLE MR. VIBHU BAKHRU, CHIEF JUSTICE AND THE HON'BLE MR. JUSTICE C.M. POONACHA WRIT PETITION NO. 37096 OF 2025 (GM-MM-S) BETWEEN: 1. M.M. VINAY S/O MARIGOWDA AGED ABOUT 39 YEARS R/AT NO.30, 1ST MAIN ROAD 2ND CROSS ROAD MANASA NAGAR, NAGARBHAVI BENGALURU - 560 072 …PETITIONER (BY SRI RAVINDRA GAJANAN KOLLE, ADVOCATE) AND: 1. THE STATE OF KARNATAKA REP. BY ITS CHIEF SECRETARY ROOM NO.30, 3RD FLOOR VIDHANA SOUDHA BENGALURU - 560 001 2. THE SECRETARY TO GOVT., DEPARTMENT OF COMMERCE AND INDUSTRIES ROOM NO.135, FIRST FLOOR VIKASA SOUDHA BENGALURU - 560 001 Digitally signed by SUMATHY KANNAN Location: High Court of Karnataka - 2 - HC-KAR NC: 2025:KHC:52111-DB WP No. 37096 of 2025 3. THE DIRECTOR AND COMPETENT AUTHORTY DEPT. OF MINES AND GEOLOGY NO.49, KHANIJA BHAVAN RACE COURSE ROAD BENGALURU - 560 001 4. THE SENIOR GEOLOGIST DEPARTMENT OF MINES AND GEOLOGY CHIKKABALLAPURA - 562 101 …RESPONDENTS (BY SRI K.S. HARISH, GOVERNMENT ADVOCATE) THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO ISSUE A WRIT OF MANDAMUS OR ANY OTHER ORDER OR DIRECTION DIRECTING THE 2ND RESPONDENT SECRETARY AND 3RD RESPONDENT DIRECTOR AND COMPETENT AUTHORITY TO PASS APPROPRIATE ORDERS OF DEEMED EXTENSION IN RESPECT OF QUARRY LEASE AT QL. NO.880 OVER AN AREA OF 03.00 ACRES IN SY.NO.64 OF DEVIKUNTE VILLAGE, BAGEPALLI TALUKA, CHIKKABALLAPURA DISTRICT, FOR A PERIOD OF 50 YEARS FROM THE DATE OF ORIGINAL GRANT, AS CONTEMPLATED UNDER RULE 8-A (2) OF KMMC AMENDMENT RULES CONSIDERING THE REQUEST DATED 14/05/2024 SUBMITTED BY PETITIONER AND REPORT DATED 03/06/2024 SUBMITTED BY 4TH RESPONDENT SENIOR GEOLOGIST AN THE PROPOSAL DATED 17/04/2025 FORWARDED BY THE 3RD RESPONDENT DIRECTOR PRODUCED AT ANENXURES-B, H AND J RESPECTIVELY AND ETC. THIS PETITION, COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: - 3 - HC-KAR NC: 2025:KHC:52111-DB WP No. 37096 of 2025 CORAM: HON'BLE MR. VIBHU BAKHRU, CHIEF JUSTICE and HON'BLE MR. JUSTICE C.M. POONACHA ORAL ORDER (PER: HON'BLE MR. VIBHU BAKHRU, CHIEF JUSTICE) 1. Issue notice. 2. The learned Additional Government Advocate accepts notice. 3. The petitioner has filed the present petition inter alia praying as under: "A. Issue a Writ of Mandamus or any other order or direction directing the 2nd respondent Secretary and 3rd respondent Director & Competent Authority to pass appropriate orders of deemed extension in respect of quarry lease at QL No.880 over an area of 03.00 acres in Sy.No.64 of Devikunte village, Bagepalli Taluka, Chikkaballapura District, for a period of 50 years from the date of original grant, as contemplated under Rule 8-A(2) of KMMC Amendment Rules considering the request dated 14.05.2024 submitted by petitioner and report dated 03.06.2024 submitted by 4th respondent Senior Geologist and the proposal dated 17.04.2025 forwarded by the 3rd respondent Director produced at Annexure-B, H and J respectively." - 4 - HC-KAR NC: 2025:KHC:52111-DB WP No. 37096 of 2025 4. The petitioner was granted the quarry lease in question (Q.L.No.880) for a term of ten years, on 05.01.2013, in respect of the subject land (3 acres falling in Survey No. 64 of Devikunte Village, Bagepalli Taluk) for extraction of Grey Granite. 5. During the term of the lease, the Karnataka Minor Mineral Concession Rules, 1994 were amended in terms of the Karnataka Minor Mineral Concession (Amendment) Rules, 2016. The amendment included introduction of Rule 8-A(2), which provided for 'deemed extension' in respect of leases for a period of 30 (thirty) years. 6. On 29.05.2020, the petitioner executed a transfer deed, transferring its quarry lease rights to M/s. Annapurneshwari Granites, a partnership firm. The said firm is hereafter referred to as the Transferee. Apparently, the said transfer deed was accepted and respondent No.3 also passed an order for transfer of the quarry lease. Thereafter, the Transferee carried on the mining activities and also furnished the requisite returns and made payments, that were accepted. - 5 - HC-KAR NC: 2025:KHC:52111-DB WP No. 37096 of 2025 7. The term of the initial lease expired on 04.01.2023 and the Transferee (Annapurneshwari Granites) claimed that the lease was deemed to be extended by virtue of the Rule 8A of the Karnataka Minor Mineral Rules, 1994 [KMMC Rules]. In the meanwhile, by virtue of the Karnataka Minor Mineral Concession (Amendment) Rules, 2023, Rule 8-A(2) of the KMMC Rules was further amended. In terms of the KMMC Rules as amended, the lease for a specified minor mineral was deemed to be extended for a period of 50 years from the date of its original grant. 8. The transfer deed for transferring the quarry lease to the Transferee, was not registered within the stipulated period. In the said circumstances, the said Transferee requested for re-execution of the transfer deed. It claimed that the delay was on account of COVID-19 pandemic and request was made to condone the delay. However, the said delay was not condoned. 9. On 07.05.2024, respondent No.3 (Director, Department of Mines & Geology), passed an office order withdrawing the transfer deed executed in favour of the Transferee. - 6 - HC-KAR NC: 2025:KHC:52111-DB WP No. 37096 of 2025 10. It is also material to note that in the meanwhile, respondent No.4 (Senior Geologist, Department of Mines & Geology) also submitted a report recommending the grant of deemed extension of the quarry lease for a period of 50 years. The proposal for deemed extension was returned by second respondent on 22.07.2025. Aggrieved by the same, the Transferee (M/s. Annapurneshwari Granites) filed a writ petition being WP 29995 of 2025. The said petition was listed before us and was withdrawn by the petitioner on 13.11.2025. During the said proceedings, it was respondents' stand that since the transfer deed had been withdrawn, the deemed extension could be granted only in the name of the original leaseholder, that is, the petitioner (M.M. Vinay). 11. Shri K.S Harish, the learned Additional Government Advocate has also referred to the Office Order dated 07.05.2024 whereby it was directed that the quarry lease be continued in the name of the original lessee, that is the petitioner. In the aforesaid context, it is contended by the learned AGA that once the deemed extension is granted, the petitioner could execute a fresh transfer deed. - 7 - HC-KAR NC: 2025:KHC:52111-DB WP No. 37096 of 2025 12. It is also pointed out that the respondents have accepted the compliance regarding payment of royalty and DMF and the returns showing the annual dispatch by Transferee. The learned AGA fairly that the same was erroneous. However, since the transfer deed was withdrawn, the mining activity carried out by the Transferee would necessarily have to be construed as carried on by the petitioner. 13. The petitioner apprehends that the respondents may take a contrary stand and may seek to deny the deemed extension on the ground that the transfer deed of lease was approved and withdrawn. The same would be erroneous considering the respondent's stand that the lease continued in the name of the original lessee (M.M. Vinay), notwithstanding that it had accepted the returns from the Transferee (Annapurneshwari Granites). 14. We accordingly dispose of the present petition, by directing the respondents to consider the petitioner's request for deemed extension as prayed for, in accordance with law. - 8 - HC-KAR NC: 2025:KHC:52111-DB WP No. 37096 of 2025 15. We however clarify that the execution of the transfer deed in favour of the Transferee or the failure to register the same, would not be held as a ground to reject the petitioner's request. Sd/- (VIBHU BAKHRU) CHIEF JUSTICE Sd/- (C.M. POONACHA) JUDGE KS List No.: 2 Sl No.: 13