- 1 - HC-KAR CNR: KAHC010630992026 NC: 2026:KHC:52590-DB WP No. 28680 of 2026 IN THE HIGH COURT OF KARNATAKA AT BENGALURU DATED THIS THE 23RD DAY OF SEPTEMBER, 2026 PRESENT THE HON'BLE MR. VIBHU BAKHRU, CHIEF JUSTICE AND THE HON'BLE MRS. JUSTICE K.S. HEMALEKHA WRIT PETITION NO. 28680 OF 2026 (GM-MM-S) BETWEEN: 1. SRI BASAYYA S/O. SABAYYA GUTTEDAR AGED 69 YEARS, OCC: BUSINESS R/O. NO. 1-867/33/B5, NEW JEWARGI ROAD BEHIND KOTARI BHAVAN MAHAVEER NAGAR KALBURGI - 585 102 …PETITIONER (BY SRI SHIVALLI SHIVAYOGI YALLAPPAGOUDA, ADVOCATE) AND: 1. THE STATE OF KARNATAKA REP. BY ITS CHIEF SECRETARY BENGALURU - 560 001 2. THE SECRETARY TO GOVERNMENT COMMERCE AND INDUSTRIES DEPARTMENT (MSME & MINES), ROOM NO. 135 1ST FLOOR, VIKAS SOUDHA BENGALURU - 560 001 3. THE DIRECTOR & COMMISSIONER DEPT. OF MINES & GEOLOGY KHANIJA BHAVAN, RACE COURSE ROAD BENGALURU - 560 001 Digitally signed by SRIDEVI S Location: High Court of Karnataka - 2 - HC-KAR CNR: KAHC010630992026 NC: 2026:KHC:52590-DB WP No. 28680 of 2026 4. THE DEPUTY DIRECTOR & COMPETENT AUTHORITY DEPARTMENT OF MINES & GEOLOGY NO.01, ATAL BIHAR VAJPAYE LAYOUT KOTNOOR(D), KALBURGI - 585 102 5. KARNATAKA STATE REMOTE SENSING CENTRE (KSRSAC) REPRESENTED BY ITS DIRECTOR DOOARA SAMVEDI BHAVANA MAJOR SANDIP UNNIKRISHNAN ROAD DODDABETTAHALLI VIDYARANYAPURA BENGALURU - 560 097 …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 CERTIORARI OR ANY OTHER ORDER OR DIRECTION DIRECTING TO QUASH OR SET ASIDE THE IMPUGNED NOTICE BEARING NO.GaBhuEe/UNiKa/OTS-Notice-2026-27/437 DATED 02/05/2026 ISSUED BY 4TH RESPONDENT DEPUTY DIRECTOR PRODUCED AT ANNEXURE-A, IN TERMS OF GUIDELINES PUBLISHED IN THE OFFICIAL GAZETTE DATED 09/03/2026 FORMULATED UNDER NEWLY INSERTED RULE 44-A OF THE KMMC RULES 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. - 3 - HC-KAR CNR: KAHC010630992026 NC: 2026:KHC:52590-DB WP No. 28680 of 2026 2. The petitioner has filed the present petition impugning a notice dated 02.05.2026 issued under Rule 44A of the Karnataka Minor Mineral Concession Rules, 1994 [KMMC Rules], calling upon the petitioner to pay the total sum of `9,47,590/- as penalty for extracting excess quantity of 7887 metric tons and encroachment quantity of 2825 metric tons of mineral. 3. The petitioner has been called upon to pay the stipulated penalty within a period of 6 months from the date of service of the notice. 4. 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 17/29.06.2026 to the demand notice, the same has not been considered. 5. 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. - 4 - HC-KAR CNR: KAHC010630992026 NC: 2026:KHC:52590-DB WP No. 28680 of 2026 6. 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. 7. 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. Sd/- (VIBHU BAKHRU) CHIEF JUSTICE Sd/- (K.S. HEMALEKHA) JUDGE SD, List No.: 2 Sl No.: 10