High CourtDivision BenchAppeal dismissed

Banarsi Dass Chadha & Bros. v. Lt. Governor, Delhi Admin. & Ors.

Case / Petition Number:Civil Appeal No. 1278 of 1978
Neutral Citation:[1979] 1 SCR 273

Case Details & Bench

Court
High Court
Hon'ble Judges
  • V. R. Krishna Iyer
  • D. A. Desai
  • C. Chinnappa Reddy
Judgment Date
1978-08-21
Court Decision / Holding
Appeal dismissed with costs.
Final Disposition
Appeal dismissed

Parties to the Case

Appellants / Petitioners

  • Banarsi Dass Chadha & Bros.

Respondents

  • Lt. Governor, Delhi Administration
  • Ors.

Legal Representation & Advocates

Counsels for Petitioners

  • • B. Dutta

Counsels for Respondents

  • • Soli Sorabjee (Soli J. Sorabjee)
  • • R. N. Sachthey

Case Synopsis & Summary

This Supreme Court decision, delivered on 21 August 1978 by a three-judge bench comprising V. R. Krishna Iyer, D. A. Desai and C. Chinnappa Reddy, addresses whether brick-earth falls within the ambit of a "minor mineral" under Section 3(e) of the Mines and Minerals (Regulation and Development) Act, 1957. The Act defines "minor mineral" as including building stones, gravel, ordinary clay, ordinary sand, and any other mineral that the Central Government may declare by notification. The Government had notified brick-earth as a minor mineral, and the appellant challenged this. The appellant’s counsel contended that brick-earth is not a mineral and hence cannot be declared a minor mineral. The Court, however, held that the word ‘mineral’ is not a fixed term but contextual and elastic, capable of broader meaning, especially in the mining context. The court reasoned that if ordinary clay and sand are minor minerals, there is no reason brick-earth cannot fall within the category of “any other mineral” that may be notified as a minor mineral. Relying on earlier decisions such as Laddu Mal, Amar Singh Modilal, and Sharma & Co., the court affirmed that brick-earth can be treated as a mineral for the purposes of the Act. The State of West Bengal v. Jagdamba Prasad was discussed and overruled, while the appeal was dismissed with costs, upholding the government’s notification and Brickyard operations as within the statutory framework.

Provisions of Law Cited

Mines and Minerals (Regulation and Development) Act, 1957, Section 3(e)Mines and Minerals (Regulation and Development) Act, 1957, Section 3(d)Mines and Minerals (Regulation & Development) Rules, 1963, Rule 2(5)Mines and Minerals (Regulation & Development) Rules, 1963, Rule 2(7)

Legal Doctrines & Maxims

  • The word 'mineral' has no fixed meaning and is contextual; it can be elastic depending on context.
  • A substance must first be a mineral before it can be notified as a minor mineral under Section 3(e).
  • 'Minor mineral' includes 'ordinary clay' and 'ordinary sand', implying that brick-earth may also fall within 'any other mineral' that the Government can declare.
  • 'Winning' minerals covers extracting minerals and is not restricted to subterranean deposits; minerals can be on or under the surface depending on context.

Submissions & Arguments

Contentions of Appellants / Petitioners

Counsel for the appellant argued brick-earth is not a mineral within the meaning of Section 3(e) and therefore cannot be notified as a minor mineral. The definition of 'minor mineral' lists several substances and allows only those the Central Government may declare; brick-earth, it was argued, does not qualify as a mineral and hence cannot be brought within the scope of the notification unless the term 'mineral' is interpreted broadly.

Contentions of Respondents

Counsel for the respondents contended that the word 'mineral' has a contextual and elastic meaning and should be read broadly in the light of the Act’s purpose. Since the expression 'minor mineral' includes 'ordinary clay' and 'ordinary sand', brick-earth can reasonably fall within 'any other mineral' that the Central Government may declare as a minor mineral. The notification thus rests on a valid interpretation of the statute.

Cited Precedents (10)

Case NameCitationTreatmentExplanation
Raghwan Dais v. State of U.P.[1976] 3 SCR 869PositiveThe decision was applied by the Court to support the elastic, context-driven interpretation of 'mineral'.
Laddu Mal v. State of BiharAIR 1965 Pat. 491PositiveViewed as endorsing a broad interpretation of minerals including brick-earth within the minor/mineral framework.
Amar Singh Modilal v. State of HaryanaAIR 1972 Punj. & Har. 356PositiveUsed to illustrate permissive breadth of 'mineral' in the mining context.
Sharma & Co. v. State of U.P.AIR 1975 All. 386PositiveCited as part of the supportive line of authority for an expansive reading of mineral.
State of West Bengal v. Jagdamba PrasadAIR 1969 Cal. 281OverruledFound to be contrary to the present judgment’s approach and thus overruled.
Todd Birleston & Co. v. The North Eastern Railway Co.[1903] 1 K.B. 603Mentioned Only cited as background; not controlling in the Indian statutory context.
Bhagwan Dass v. State of Uttar Pradesh:nullPositiveCited to illustrate that minerals need not be subterranean; supportive of contextual interpretation.
Northern Pacific Railway Company v. John A. Sodrberg:nullPositiveUsed to reinforce the view that 'mineral' is context-dependent; relied upon for general principle.
Midland R.C. v. Haunchwood Brick & Tile Co.ILR 10 Ch. Div. 552Mentioned OnlyEnglish authority cited in contextual discussion but not binding.
Hext v. GillL.R. 7 Ch. 699Mentioned OnlyIllustrative authority in the general discussion of minerals; not binding.

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Extracted Judgment Text

Exact text extracted from official judgment records.

., _(_ Z71 BANARSI DASS CHADHA & BROS. #### • _v._ LT. GOVERNOR, DELHI ADMN. & ORS. _August_ 21, 1978 [V. R. KIUSHNA IYER, D. A. DESAI AND 0. CllINNAPPA REDDY, JJ.J _Mines and Minerals (Regulation and Development) Act,_ 1957, _S._ 3(e)_Brick-earth. whether_ _a_ _minor mineral, within the_ _meaninR_ _of_ _that expression_ _'Minor Mineral',_ _as_ _defined_ _ins._ 3(e). S. 3(e) of the Mines and Mineral (Regulation and Development) Act, 1957 defiues "'Minor Mineral' as meaning building stones, gravel, ordinary clay, ordinary sand other than sand used for prescribed purposes, and any other mineral which the Central Government may, by Notification in the offi· cial Gazette declare to be a minor mineral". In exercise of the power conferred by s. 3 (e) of the Act the Central Government declared _inter-alia_ brick· earth as a 'minor mineral'. Dismissing the appeal by special leave the Court HEID : (!) The word 'mineral' has no fixed but a contextual connotation. If 'mineral' is not a term of art it is a word of common parlance, capable of multiplicity of meanings depending upon the context. The word is occaaionally used in a very wide sense to denote any substance that is E neither animal nor vegetable. Sometimes it is used in a narrow sense to mean no more than precious metals like gold and silver. Again the word 'minerals' is often used to indicate substances obtained from underneath the surface of the earth by digging or quarrying, though it is not always so. [273 A-C, 274 Fl In the context of the 'Mines and Minerals (Regulation and Development) Act, the 1rord Mineral is of sufficient amplitude to include brick-earth. If the expression 'minor mineral' as defined in the Act, includes 'ordinary clay' and 'ordinary sand', there is no earthly rea.son why brick-earth sbOuld not be held to be 'any other mineral' which may be declared as a 'minor mineral'. [275 B-C] _Rhagwu11_ _Dais_ v. _State_ _of_ _U.P.,_ [1976] 3 SCR 869, applied. _Laddu ·Mal_ v. _State_ _of_ _Bihar,_ AIR 1965 Pat. 491; _Amar_ _Modilaf Siugh_ v. _State_ _of_ _Haryana,_ AIR 1972 Punjab <.nd Haryana 356; _Sharnia_ & _Co._ v. _State_ G _of_ _U.P.,_ AIR 1975 All. 386 approved. _State_ _of_ _West Bengal_ v. _Jagdamba Prasad,_ AIR 1969 Cal. 281; overruled. _Todd_ _Birlesto11_ & _Co._ v. _The North Eastern Railway. Co.,_ [1903] 1 K.B. 603; qaotcd with approval. (2) A substance must first be a mineral before it can be notified as a H minor n1ineral pursuant to the power vested in the Central Governn1ent under s. 3(e) of the Act. Brick-earth being a mineral, the Central Government has correctly notified it as a 'minor mineral'. [272 G-H] A ll ##### c D _272_ SUPREME COURT REPORTS [1979] I S.C.R. CIVIL APPELLATE JURISDICTION : Civil Appeal No. I 278 Of 1978. Appeal by special leave from the Judgment and Order l 5-11-1976 of the Delhi High Court in Civil Writ No. 96 of 1971. _B._ _Dutta_ for the Appellant. B _Soli_ _J._ _Sorabjee, Addi._ _Sol._ _General_ and _R._ _N._ _Sachthey_ for Respondents I and 2. The Jud~ment of the Court was delivered by CHINNAPPA REDDY, J._:_We granted special leave and heard arguments on the limited que<stion whether "brick-earth" is a 'minor mineral' within the meaning of that expression as defined in Section 3 ( e) of ·the Mine<s and Minerals (Regulation a'nd Development) Act, I 957. The definition is as follows : "Minor mineral' means building stones, gravel, ordinary clay, ordinary sand other than sand used for prescribed purD poses, and any other mineral which the Central Government may, by Notification in the official Gazette declare to be a **minor** **mineral;"** E F G H In exercise of the power conferred by Section 3 ( e) of the Act, the Central Government declared the following minerals to be minor minerals : "Boulder, Shingle, Chalcedony pebbles used for ball mill purposes only, limesbel! kanker and limestone used for limeburning, murrum, brick-earth, fuller's earth, bentonite road metal, reh-matti, slate and shale when used for building **material;"** The submission of the leamod Counsel for the appellant was that a substance had to be a mineral before it could be notified as a minor mineral pursuant to the power under Section 3 ( e) of the Mi'nes and Minorals (Regulation and Development) Act, 1957. He urged that brick-earth was not a mineral and, therefore, it could not be notified a minor mineral. We agree with the learned Counsel that a substance musL first be a mineral before it ca'n be notified as a minor mineral pursuant to the power vested in the Central Government under Section 3 ( e) of the Act. The question, therefore, _is_ whether brick-earth is a mineral. The expression "Minor Mineral" as defined in Section 3 ( e) includes 'Ordinary clay' and 'ordinary sand'. If the expression "minor mineral" as defined in Section 3 ( e) of the Act includes 'ordinary clay' and ### • B. !), CHADHA _v._ LT. GOVERNOR DELHI _(Chinnappa_ _Reddy,!.)_ 273 'ordinary sand', there is no reason why earth used for the purpose of making bricks should not be comprehended within the meaning of the word "any other mineral" which may be declared as a "minor mineral" by the Government. The word "mineral" is not a term of art. It is a word of common parlance, capable of a multiplicity of meanings depending upon the context. For example the word is occasionally used in a very wide sense to denote any substance that is '.neither animal nor vegetable. Sometimes it is used in a narrow sense to m~an no more than precious metals like gold and silver. Again, the word "minerals" is often used to indicate substances obtained from underneath the surface of the earth by digging or quarrying. But this is not always so as pointed out by Chandrachud, J (as he then was) in _Bhagwan Dass_ v. _State of Uttar Pradesh,(')_ where the learned judge said (at p. 87 4) : ·'It was urged that the sand and gravel are deposited on the surface of the land and not under the surface of the soil and ther~fore they cannot be called minerals and equally so, any operation by which they are collected or gathered cannot properly be called a mini'ng operation. It is in the first place wrong to assume that mi11es and minerals mU1St always be sub-soil and that there can be no minerals on the surface of the earth. Such an assumption is contrary to informed experience. In any case, the definition of mining operations and minor minerals in section 3 ( d) and ( e) of the Act of 1957 and Rule 2(5) and (7) of the Rules of 1963 shows that min~rals need not be subterranean and that mining operations cover every operation undertaken for the purpose of **"winning"** **any** **minor** **mineral.** **"Winni'ng"** **does not imply** a hazardous or perilous activity. The word simply means "extracting a mineral" and is used generally to indicate auy activity by which a mineral is secured. "Extracting" in tum means drawing out or obtaining. A tooth is 'extracted' as much as the fruit juice and as much as a mineral. Only that the effort varies from tooth to tooth, from fruit to fruit and from mineral to mineral". We may also refer to _Northern Pacific Railway Company·_ v. _John_ _A._ _Sodrberg(_ _[2 ]_ _)_ where the Supreme Court of United States observed as follows (at page 581) : **A** ##### c D E F G "The word 'mineral' is used in so many senses, depen dant upon the context, that the ordinary definitions of the **H** dictionary throw but little light upon its significance in a ## --·--- (1) [1976] 3 S.C.R. 869. (2) 47 L. Ed. _575._ A H ##### c D E ###### r G H 274 SUPREME COURT REPORTS [1979] I S.C.R. given case. Thus, the scientific division of all matter into the animal, vegetable. or mi!l'oral ki·ngdom would be absurd as applied to a grant of lands, since all lands belong to the mineral kingdom, and therefore, could not be excepted from the grant without being d•::structive of it. Upon the other hand, a definition which would co"nfine it to the precious metals-gold and silver-would so limit its application as to destroy at once half the value of the exception. Equally BUbversive of the grant would be the definition of minerals found in the Century Dictionary : as "any constituent of the earth's crust"; and that of Beinbridge on Mines : "All the substances that now form, or which once formed, a part of the solid body of the earth". Nor do we approximate much more closely to the meaning of the word by treating minerals as substances which are "mi"ned" as distinguished from those are "quarried", since many valuable deposits of gold, copper, iron, and coal lie upon or near the surface of the earth, and some of the most valuable building stone, such for instance, as the Caen stone in France, is excavated from mines ru"nning far beneath the surface. This distinction betwe>~n underground mines and open workings was expressly repudiated in _Midland R.C._ v. _Haunchwood Brick_ & _Tile_ _Co._ IL.R. 10 Ch. Div. 552) and in _Hext_ v. _Gill_ (L.R. 7 Ch. 699)". ###### • The Supreme Court of United States also referred to several Englilih cases where stone for road making or paving was held to be 'minerals' as also granite, sandstone, flint stone, gravel. marble, fire clay, brickclay, a"nd the like. It is clear that the word 'mineral' has no fixed but a contextual connotation. The learned Counsel for the appellant invited our attention to the decision of the Court of Appeal in _Todd Birleston and Co._ v. _The_ _North Eastern Railway Co.(')_ and to _Stoud's Judicial Dictionary_ to urge that clay, brick-earth and the like have sometimes been bold not to he minerals by English Courts. As we said earlier the word mineral is an elastic word whose meaning depends upon the setting in which it is used. For instance, in the case cited, the question was whether clay forming the surface or subsoil, and constituting the "land" compulsorily taken for the purposes of a railway, was not a mineral within the meaning of Sections 77, 78 or 79 o1 the Railway Clauses Consolidation Act. The answer was that 'clay' was not a mineral for· the purposes of the Railway Clauses Consolidation Act. Any other conclusion, in the context of the Act, would have led to the absurd (1) [1903] I K.B. 60~. #, - IB. D. CHADHA _v._ LT. GOVERNOR DELIIl _(Chinnappa Reddy,_ !.) 275 result that the original owner whose land had been taken would be A ·entitled to dig and take away the clay from the land on which the Railway was constructed, thus defe_ating the very object of the compulsory taking. On the other hand, as noticed by the Supreme Court of the United States, in several English cases clay, gravel, sand, stone etc. had been held to be minerals. That is why we say the word mineral has no definite meaning but has a variety of meanings, depending on B the context of its use. In the context of the Mines and Minerals (Regulation & Development) Act, we have no' doubt that the word 'mineral' is of sufficient amplitude to include 'brick-earth'. As already ·observed by us, if the expression 'minor mineral' as defined in the Act include' 'ordinary clay' and 'ordinary sand'. there is no earthly reason C why 'brick-earth' should not be held to be 'any other mineral' which may he declared as 'minor mineral.. We do not think it necessary to pursue the matter further except to sa~ that this was lhe view taken in _Laddu Mal_ v. _State_ _of_ _Bihar,(I)_ _Amar_ _Singh Modilal_ v. _State_ _of_ _Haryana(_ _[2]_ _)_ and _Sharma_ & _Co._ v. _State_ _of_ U.P.( [8] ). We do not agree with the view of the Calcutta High Court in _State_ _of_ _West Bengal_ v. D _!agadamba Prasad(')_ that because speaks of 'ordinary e~h' as a mineral it is not a minor mineral as defined in the Mines and Minerals (Regulation & Development) Act. The appeal is accordingly dismissed with costs. 'S.R. ~~{I)~~ ~~A.l.R.~~ ~~1965~~ ~~P~~ atna 491. {2) A.l.R. 1972 Punj. & Har. >56. (3) A.LR. 1975 All. 86. {4) A.l.R. 1969 Cal. 281. _Appeal disn11:1sed._