PANJIM: The High Court of Bombay at Goa disposed of miscellaneous civil application of Silverstone Logistics, Gadhinglaj, Kolhapur, seeking to cancel the 28th e-auction of mining lease claiming that it stood allotted to them in the 26th e-auction.
The petitioners had also prayed to quash the decision of the Directorate of Mines and Geology communicated by a letter dated June 22, 2023 denying them the balance iron ore allotted to themvide the letter dated March 23, 2022.
The petitioners had participated in the 26th e-Auction held on August 31, 2021 and bidinter alia, for lots No. R16, R17A and R18 containing 86,420 MT of ore.
The petitioners did not participate in the 27th e-auction held on January 19, 2022 where M/s Aparanta Mineral Private Limited and M/s Avisha Shipping Corporation Limited were the highest bidders.
On March 1, 2022, the department informed these bidders that their bids ranging between Rs 300 and Rs 360 were lower than those quoted during the 26th e-auction and that the government would be inclined to consider the request of the successful bidders in the 26th e-auction unless the parties were willing to match their bid price at equal to or more than the bidder’s bid price in the 26th e-auction.
The highest bidders at the 27th e-auction declined to increase their bids and match with the bid rates of Rs 350 per MT and Rs 360 per MT offered by the petitioners at the 26th e-auction.
Advocate General Devidas Pangam submitted that in terms of clauses 6 and 7 of the e-auction procedure rules/conditions, only the State government had the right to entertain a higher offer and call upon the highest bidder in the auction to match such higher bid in the interest of the revenue.
He stated that the email dated March 23, 2022 does not constitute decision of the State government and that there was no government approval. He said unilateral deposit of the balance amount of Rs 1,42,18,093 was beyond 60 days from the date of an email dated March 23, 2022.
A G Pangam further submitted that the State received an amount of 1,597.40 per MT, which was 4.5 times more than the bid offered by the petitioners and claimed that the interests of State revenue cannot be sacrificed when the so-called offer vide email dated March 23, 2022 which was without any approval from the State government.
