- 1 - HC-KAR CNR: KAHC010479602026 NC: 2026:KHC:37009-DB WP No. 21514 of 2026 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 20TH DAY OF JULY, 2026 PRESENT THE HON'BLE MR. VIBHU BAKHRU, CHIEF JUSTICE AND THE HON'BLE MRS. JUSTICE K.S. HEMALEKHA WRIT PETITION NO. 21514 OF 2026 (GM-MM-S) BETWEEN: 1. M/S GMM ENTERPRISES A PARTNERSHIP FORMED VIDE A PARTNERSHIP DEED REG.OFF. #3368/1 SHAMANUR ROAD LAKSHMI FLOUR MILL LAKSHMI FLOUR MILLS PREMISES DAVANAGERE - 577 004. REP. BY ITS OWNER S.S. GANESH …PETITIONER (BY MS. DEEKSHA N AMRUTHESH, ADVOCATE FOR SRI AMRUTHESH N P, ADVOCATE) AND: 1. STATE OF KARNATAKA DEPT. OF COMMERCE & INDUSTRIES VIKASA SOUSHA DR. AMBEDKAR ROAD BENGALURU - 560 001 REP. BY ITS SECRETARY Digitally signed by SRIDEVI S Location: High Court of Karnataka - 2 - HC-KAR CNR: KAHC010479602026 NC: 2026:KHC:37009-DB WP No. 21514 of 2026 2. THE DIRECTOR DEPT. OF MINES & GEOLOGY KHANIJA BHAVAN RACE COURSE ROAD BENGALURU - 560 001 3. THE SENIOR GEOLOGIST DEPT. OF MINES & GEOLOGY VIDYANAGAR DAVANAGERE - 577 005 …RESPONDENTS (BY MS. NILOUFER AKBAR, AGA) THIS WRIT PETITION IS FILED UNDER ARTICLES 226 AND 227 OF THE CONSTITUTION OF INDIA PRAYING TO ISSUE A WRIT OF CERTIORARI, QUASHING OF ANNEXURE-A, THE DEMAND NOTICE DATED 15.05.2026 BEARING NO.GaBhuE-HiBhuDa:OTS- Notice-2026-27/280 ISSUED BY THE 3RD RESPONDENT SENIOR GEOLOGIST OF DEPT. MINES AND GEOLOGY, DAVANAGERE, DEMANDING RS.1,03,05,680/- AS FINE BY INVOKING THE PROVISIONS OF RULE 44-A OF THE KARNATAKA MINOR MINERALS CONCESSION (AMENDMENT) RULES, 2026 AS ONE TIME SETTLEMENT (OTS) WITH PENAL PROVISIONS IN CASE OF NON-COMPLIANCE WITHIN 45 DAYS FROM THE DATE OF RECEIPT OF SAID NOTICE AND ETC. THIS PETITION, COMING ON FOR PRELIMINARY HEARING, THIS DAY, ORDER WAS MADE THEREIN AS UNDER: CORAM: HON'BLE MR. VIBHU BAKHRU, CHIEF JUSTICE and HON'BLE MRS. JUSTICE K.S. HEMALEKHA ORAL ORDER (PER: HON'BLE MR. VIBHU BAKHRU, CHIEF JUSTICE) 1. The learned Additional Government Advocate accepts notice for the respondents. - 3 - HC-KAR CNR: KAHC010479602026 NC: 2026:KHC:37009-DB WP No. 21514 of 2026 2. The petitioner has filed the present petition impugning the demand notice dated 15.05.2026 [impugned order] issued under Rule 44A of the Karnataka Minor Mineral Concession Rules, 1994. The petitioner is aggrieved, inter alia, on the ground that the said demand notice has been issued without affording the petitioner any opportunity to be heard. It is contended that the impugned order is liable to be set aside as it has been issued in violation of principles of natural justice. 3. We note that in terms of the impugned order, the petitioner has been called upon to pay a penalty of `1,03,05,680/- on account of extracting excess quantity. Although the demand has been crystallized, the petitioner has also been directed to visit the concerned Office (Office of the Deputy Director, Department of Mines and Geology) "to consult and settle the matter". 4. The learned Additional Government Advocate fairly states that the impugned order may be construed as a show cause notice. The petitioner is at liberty to respond to the same within a period of 4 weeks from date. And, the concerned authorities would consider - 4 - HC-KAR CNR: KAHC010479602026 NC: 2026:KHC:37009-DB WP No. 21514 of 2026 the petitioner's response, and an order would be passed after affording the petitioner an opportunity of being heard. 5. In view of the aforesaid statement, no orders are required to be passed in this petition, except that the respondents would be bound down to the statement made on their behalf. We clarify that we have not examined the merits of the demand and nothing stated in this order should be construed as such. 6. We clarify that all rights and contentions of the parties are reserved including the petitioner's contention that the one time settlement [OTS] as contemplated under Rule 44-A of the KMMC Rules, is voluntary and at the option of the lease/licence holder. 7. The petition is disposed of in the aforesaid terms. Sd/- (VIBHU BAKHRU) CHIEF JUSTICE Sd/- (K.S. HEMALEKHA) JUDGE SD List No.: 2 Sl No.: 18