SUPREME COURT OF INDIA

Before:- A.P. Misra and R.P. Sethi, JJ.

Civil Appeals Nos. 3978-91 of 1993. D/d. 23.3.1999.

State of Karnataka and others - Appellants

Versus

Ballappa Hanumanthappa Nandeppananar and others - Respondents

Royalty for Mines and Minerals - Contractors granted right to extract mines and minerals and remove them, carrying on the work for the benefit of State Govt. are also liable to pay royalty in respect of quarrying such mines and minerals. ILR 1990 Karnataka 1823, overruled, 1993(Supp3) SCC 290, Followed.

[Para 2]

Cases Referred :-

State of Karnataka v. Subhash Rukmayya Guttedar, 1993 Supp (3) SCC 290.

Subhash Rukmayya Guttedar v. State of Karnataka, ILR 1990 Kant 1823.

ORDER

A.P. Misra, J. - The question raised in these appeals is squarely covered by the decision in State of Karnataka v. Subhash Rukmayya Guttedar, 1993 Supp (3) SCC 290. In that case as in the present case the respondents are the contractors who are carrying on work for the benefit of the Karnataka Government. They were granted right to extract mines and minerals and remove them.

2. The question is, whether such contractors were also liable to pay royalty in respect of quarrying such mines and minerals. This question is no longer res integra. The aforesaid decision covers this point and holds that such contractors are liable to pay the royalty. The High Court relied on the case of Subhash Rukmayya Guttedar v. State of Karnataka, ILR 1990 Kant 1823 which itself has been overruled through the aforesaid judgment of this Court by setting aside the said judgment.

3. Accordingly, these appeals are allowed. No order as to costs.

Appeals allowed.