- 1 - HC-KAR CNR: KAHC010547122026 NC: 2026:KHC:44091-DB WP No. 24737 of 2026 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 18TH DAY OF AUGUST, 2026 PRESENT THE HON'BLE MR. VIBHU BAKHRU, CHIEF JUSTICE AND THE HON'BLE MRS. JUSTICE K.S. HEMALEKHA WRIT PETITION NO.24737 OF 2026 (GM-MM_S) BETWEEN: AVINASH S/O SANGAPPA NAGARALLI, AGED ABOUT 37 YEARS, HAVING ITS UNIT AT R.S. 130 HUVINAL VILLAGE, KOPPAL TALUKA AND DISTRICT. …PETITIONER (BY SRI. ARJUN A. HEBBAR, ADVOCATE FOR MS. ADITI P. GOUDAR, ADVOCATE) AND: 1. THE STATE OF KARNATAKA REPRESENTED BY ITS SECRETARY, DEPARTMENT OF COMMERCE AND INDUSTRY, KHANIJA BHAVANA, RACE COURSE ROAD, BENGALURU - 560001. 2. THE DIRECTOR/ SENIOR GEOLOGIST DEPARTMENT OF MINES AND GEOLOGY KHANJIA BHAVANA, RACE COURSE ROAD, BENGALURU- 560001. 3. THE DEPUTY DIRECTOR/SENIOR GEOLOGIST DEPARTMENT OF MINES AND GEOLOGY DC OFFICE, KOPPAL. Digitally signed by C K LATHA Location: High Court of Karnataka - 2 - HC-KAR CNR: KAHC010547122026 NC: 2026:KHC:44091-DB WP No. 24737 of 2026 4. KARNATAKA STATE REMOTE SENSING APPLICATIONS CENTRE, (KSRSAC) DEPARTMENT OF PERSONNEL AND ADMINISTRATIVE REFORMS (E-GOVERNANCE), OFFICE AT DOORA SAMVEDI BHAVANA, MAJOR SANDEEP UNNIKRISHNAN ROAD, DODDABETTAHALLI, BENGALURU-560097 REPRESENTED BY ITS DIRECTOR. …RESPONDENTS (BY SRI. K.S. HARISH, GOVERNMENT ADVOCATE) THIS WRIT PETITION IS FILED UNDER ARTICLES 226 & 227 OF THE CONSTITUTION OF INDIA PRAYING TO ISSUE A WRIT OF CERTIORARI QUASHING THE IMPUGNED DEMAND NOTICE BEARING NO.GABHUI/HIBHUVI/OTS-NOTICE/KOPPAL: 2026-27/468 ISSUED BY THE RESPONDENT NO.3 DATED 21.04.2026 PRODUCED VIDE ANNEXURE-A 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 Government Advocate accepts notice for the respondents. 2. The petitioner has filed the present petition impugning the demand notice dated 21.04.2026 [impugned order] issued under Rule 44A of the Karnataka Minor Mineral Concession Rules, 1994 - 3 - HC-KAR CNR: KAHC010547122026 NC: 2026:KHC:44091-DB WP No. 24737 of 2026 [KMMC Rules], calling upon the petitioner to pay a sum of ` 1,14,75,968 as penalty for extracting excess and encroachment quantity totaling to 92,610.15 metric tons of building stone. 3. One of the contentions advanced by the petitioner is that the said demand is vitiated as it has been issued without following the principles of natural justice and despite the petitioner responding by letter dated 30.04.2026 to the demand notice, the same has not been considered. 4. The learned Government Advocate fairly states that the present petition be disposed of by directing that the impugned notice be considered as a show cause notice. He states that the petitioner's response would be considered and an order would be passed after affording the petitioner an opportunity of being heard. 5. In view of the above, the present petition is disposed of, directing the respondents are bound down to the statement made on their behalf. The impugned order shall be considered as a show cause notice and appropriate orders would be passed after following the principles of natural justice. - 4 - HC-KAR CNR: KAHC010547122026 NC: 2026:KHC:44091-DB WP No. 24737 of 2026 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 44A 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 CKL List No.: 2 Sl No.: 4