(1)

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GOVERNMENT OF KARNATAKA

No.CI-MMN/205/2022

Karnataka Government Secretariat,

1st Floor, Vikasa Soudha,

Bengaluru, Dated: 17.03.2023.

NOTIFICATION

In exercise of the powers conferred by section 15 of the Mines and Minerals

(Regulation and Development) Act, 1957 (Central Act 67 of 1957), the Government

of Karnataka, hereby makes the following rules further to amend the Karnataka

Minor Mineral Concession Rules, 1994, namely:-

RULES

1. Title and commencement.- (1) These rules may be called the Karnataka

Minor Mineral Concession (Amendment) Rules, 2023.

(2) They shall come into force from the date of their publication in the official

Gazette.

2. Amendment of rule 2.- In the Karnataka Minor Mineral Concession Rules,

1994 (hereinafter referred to as said rules), in rule 2, in sub-rule (1),-

(i) in clause (a-2), for the letters “GPS”, the words, brackets and letters

“Differential Global Positioning System (DGPS)”, shall be substituted.

(ii) after clause (a-a), the following shall be inserted, namely:-

“(a-b) “Additional Payment” means forty percent of royalty payable by the

holder of lease or sand quarrying license and working permission, as

specified under rule 3-A, in addition to royalty;”

¨sÁUÀ – 4 J

Part – IV A

, 17

2023(

26

1944)

BENGALURU, FRIDAY, 17, MARCH, 2023(PHALGUNA, 26, SHAKAVARSHA, 1944)

. 128

No. 128

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(iii) after clause (c), the following shall be inserted, namely:-

“(c-1) “Dead Rent” means the minimum amount payable in a year by the

person granted a quarry lease or licence under these rules irrespective

of the fact as to whether he operates or not or could operate the area

fully or partly;”

(iv) after clause (e-3), the following shall be inserted, namely:-

“(e-4) "Mineral Based Industry” means an Industrial unit established for

the purposes of minor mineral processing for value addition;

(e-5) “Mine" shall have the same meaning assigned to it in the Mines

Act, 1952 (Central Act 35 of 1952);”

(v) after clause (g), the following shall be inserted, namely:-

“(g-1) "Owner" shall have the same meaning assigned to it in the Mines

Act, 1952 (Central Act 35 of 1952);”

(vi) after clause (h-1), the following shall be inserted, namely:-

“(h-2) “Public Road” means National Highway, State Highway, Major

District Roads and road having district road code, village roads and other

roads notified by the Government;”

3. Amendment of rule 3-A.- In the said rules, in rule 3-A,-

(i)

for clause (a), the following shall be substituted, namely:-

“(a)(i) digging of well for irrigation or drinking water or rain water

harvesting;

(ii) digging of foundation for building;

(iii) de-silting of ponds, tanks and construction of new tanks by

Irrigation Department and any other Government Department, ponds

construction meant for the purpose of agriculture and fishery.

construction and maintenance of canals and drainage system as

notified by the irrigation department; and

(iv) levelling of any lands by a land owner within his own land and

disposal of the minor mineral (other than sand) extracted thereof;”

(ii)

in clause (b), the words “laterite or”, shall be omitted.

(iii)

after clause (b), the following shall be inserted, namely:-

“(c) removal or collection of lime shells (dead shells) available in coastal

regulation zone by the traditional community through manual method for

poultry feed and animal feed supplements.”

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(iv)

in the first proviso, for the letter and brackets “(b)”, the letters, brackets

and word “(a), (b) and (c)”, shall be substituted.

(v)

for the second proviso, the following shall be substituted, namely:-

“Provided further that, in case of clauses (a) and (b) and (c) above if the

minor mineral is sold by the holder of working permission shall pay the

royalty to the State Government at the rate specified in schedule-II as

well as Additional Payment, and the transportation of the minor mineral

shall be undertaken only with a valid Mineral Dispatch Permit.

Provided also that, Ministry of Railways and National Highways and

National Highway Authorities shall be exempted from payment of royalty,

additional payment and for obtaining mineral dispatch permit on the soil

or silt or murram from tanks or lakes or ponds that are officially desilted

under the Amrit Sarovar scheme.”

4. Amendment of rule 3-B.- In the said rules, in rule 3-B, for sub-rule (3) and

the proviso thereunder, the following shall be substituted, namely:-

“(3) Quarry lease under this rule shall be granted on the condition that

the lessee shall pay royalty and additional payment:

Provided that, when such royalty and additional payment is paid, then

the payment by the lessee for the District Mineral Foundation Trust fund

shall be as payable by the holders of lease through auction;”

5. Amendment of rule 3-D.- In the said rules, in rule 3-D, for sub-rule (3)

and the proviso thereunder, the following shall be substituted, namely:-

“(3) Quarry lease under this rule shall be granted on the condition that

the lessee shall pay royalty and additional payment.

Provided that, when such royalty and additional payment is paid, then

the payment by the lessee for the District Mineral Foundation Trust fund

shall be as payable by the holders of lease or license through auction.”

6. Amendment of rule 3-E.- In the said rules, in rule 3-E,-

(i) in sub-rule (1), the proviso shall be omitted.

(ii) in sub-rule (4), for the second proviso, the following proviso shall be

substituted, namely:-

“Provided further that, when such grant of quarrying lease for the new

minor mineral discovered under sub-rule (1) is made, the lessee shall pay

additional payment, in addition to royalty applicable to the new minor

mineral discovered as under sub-rule (1) as given in schedule-II.”

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7. Amendment of rule 3-F.- In the said rules, in rule 3-F,-

(i)

for sub-rule (1), the following shall be substituted, namely:-

“(1) Notwithstanding anything contrary contained in Chapter IV-A, quarry

leases for extraction of building stone manually of extent five acres and

below in case of individuals and ten acres and below in case of Registered

Societies having all the members belonging to the Schedule Caste or

Schedule Tribes or having all members who are traditional quarry

operators or economically weaker section and whose livelihood is

dependent on quarrying for ordinary building stone or physically

challenged persons in the lands belonging to the State Government, shall

be allotted following the procedures in accordance with the provisions of

these rules.”

(ii) for sub-rule (4), the following shall be substituted, namely:-

“(4) Blocks so identified for the purpose of this rule shall be reserved, by

way of lottery, for allotment to the residents of the Taluk for quarrying by

them, in the following percentages, namely:-

(i)

persons belonging to the Scheduled Castes or Scheduled Tribes or

registered society of such persons – 24%

(ii)

persons belonging to Scheduled Castes or Scheduled Tribes who carrying

out quarrying by tradition and whose livelihood is depending on

quarrying of ordinary building stone or registered society of such persons

– 24%

(iii)

persons with disabilities (physically challenged) – 2% and

(iv)

other communities involved in traditional quarrying (except clause (i) and

(ii)) and persons belonging to economically weaker section -50%.”

(iii) for sub-rule (5), the following shall be substituted, namely:-

“(5) If more than one application is received amongst the categories

specified under clause (i) and (ii) of sub-rule (4), shall be allotted with the

following order of preference namely:-

(i) Registered Societies having all the members belonging to the

Schedule Caste or Schedule Tribes or having all members who are

traditional quarry operators and whose livelihood is dependent on

quarrying for ordinary building stone and who are nearest residence

to the building stone blocks so identified for allotment of quarry lease:

Provided that, if more than one application is received for seeking

grant of quarry lease, the application filed by oldest registered society

who conducted quarrying in past in the building stone blocks so

identified for allotment of quarry lease shall be consider for grant of

quarry lease.

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(ii) Individuals belonging to the Schedule Caste or Schedule Tribes or

traditional quarry operators and whose livelihood is dependent on

quarrying for ordinary building stone and who are nearest residence

to the building stone blocks so identified for allotment of quarry lease:

Provided that, if more than one application received for seeking grant

of quarry lease, the application filed by oldest individuals who

conducted quarrying in past in the building stone blocks so

identified for allotment of quarry lease shall be consider for grant of

quarry lease.

(iii) Individual or Registered Societies having all the members belonging

to the Schedule Caste or Schedule Tribes or having all members who

are traditional quarry operators and whose livelihood is dependent

on quarrying for ordinary building stone who are the residence of the

concerned taluk:

Provided that, if more than one application is eligible after providing

priority as specified in sub-rule (5), quarrying lease shall be granted

to eligible applicants by way of lottery.”

(iv) for sub-rule (6), the following shall be substituted, namely:-

“(6) Without prejudice to sub-rule (5), quarrying lease shall be allotted

for eligible applicant by way of lottery, under this rule amongst the

categories specified under clause (iii) and (iv) of sub-rule (4).”

(v) sub-rule (9), shall be omitted.

8. Amendment of rule 6.- In the said rules, in rule 6,-

(i)

in sub-rule (2), after the words “no blasting is involved”, the words “and one

hundred meters if control blasting is involved”, shall be inserted.

(ii) for sub-rule (3) and the proviso thereunder, the following shall be

substituted, namely:-

“(3) In case of breach by the lessee or licensee or his transferee or

assignees of any of the conditions specified in these rules or in the

quarrying lease deed or license, the Competent Authority shall require by

notice in writing the lessee or licensee to remedy the breach within thirty

days from the date of notice and if the breach is not remedied within such

period the Competent Authority may levy a fine of rupees Twenty Five

thousand in the case of non-specified minor minerals and rupees Fifty

thousand in case of specified minor minerals. If breach of any of the

conditions specified in these rules or in the quarrying lease deed or licence

happens for any subsequent time the competent authority may levy fine

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twice for the second time and thrice for the subsequent time as mentioned

above:

Provided that, if lessee or licensee fails to pay the fine as mentioned

above, the competent authority shall determine the lease or licence after

providing an opportunity of being heard”

(iii) for sub-rule (4), the following shall be substituted, namely:-

“(4) The lessee or licensee shall remove or transport the minor mineral

extracted from a quarry during the currency of the lease or licence within

six months from the date of expiry of the lease or licence. If the lessee or

licensee fails to remove or transport the minor mineral extracted within

the period of six months from the date of expiry of the lease or licence, the

minor mineral so extracted shall be the property of the State Government

and it shall be disposed as per Chapter-VIII of these rules.”

9. Amendment of rule 8.- In the said rules, in rule 8,-

(i)

in

sub-rule

(1-A),

for

the

words

and

symbol

“No

quarry

lease/licence/working permission/amalgamation shall be granted or

renewed”, the words and symbol, “No quarry lease/licence deed shall be

executed” shall be substituted.

(ii) for sub-rule (5), the following shall be substituted, namely:-

“(5) the competent authority shall before granting or renewing a lease or

licence, consult,-

(i)

in case of specified minor minerals, the Deputy Commissioner of the

District concerned and obtain No Objection Certificate;

(ii) in the case of non-specified minor minerals, the Assistant Commissioner of

the sub-division concerned and obtain No Objection Certificate:

Provided that, in case of all minor minerals in Gomala lands, the Assistant

Commissioner of Revenue Department and Deputy Director or Senior

Geologist concerned, who shall furnish joint Inspection report through

Deputy Commissioner.

(iii) in case of all minor minerals, the Deputy Conservator of Forest of the

concerned jurisdiction and obtain No Objection Certificate;

(iv) in case of all minor minerals, jurisdictional Mines and Geology Officer and

obtain technical report along with sketch duly mentioning GPS Co-

ordinates; and shall take action in accordance with Chapter III, in respect

of specified minor mineral and in accordance with Chapters IV and V, in

respect of non-specified minor mineral as the case may be.”

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(iii) after sub-rule (5), the following shall be inserted, namely:-

“(6) If the Deputy Commissioner or the Assistant Commissioner of the

Revenue Department or the Deputy Conservator of Forest or the Assistant

Commissioner or the Deputy Director or Senior Geologist as the case may

be, fails to give No Objection Certificate or Joint inspection report under

sub-rule (5), within ninety days, from the date of communication, the

same shall be placed before the District Taskforce (Mines) Committee in

its monthly meeting by the concerned Deputy Director or Senior

Geologist:

Provided that, the officer who fails to issue no objection certificate

or Joint inspection report as specified in sub-rule (5) shall be summoned

by the District Task Force Committee and obtain opinion from concerned

officer in the meeting and record in the proceedings of the meeting and

the same shall be disposed off accordingly.”

10. Amendment of rule 8-A.- In the said rules, in rule 8-A,-

(i) for the heading and sub-rule (1), the following shall be substituted, namely:-

“8-A. Periods for which quarrying lease, licence or composite licence

may be granted,- (1) On and from the date of commencement of the

Karnataka Minor Mineral Concession (Amendment) Rules, 2016, all the

quarrying lease, licenses and prospecting cum quarrying lease, unless

or otherwise explicitly mentioned in these rules shall be granted for a

period of fifty years for specified minor minerals and for a period of

thirty years for the non-specified minor minerals, subject to

establishment of mineral availability and workability of the quarry and

further subject to provisions under Chapter-II and II-A of these rules.”

(ii) the third proviso to sub-rule (1), shall be omitted.

(iii) after sub-rule (1) as so substituted, the following shall be inserted, namely:-

“(1-a) Notwithstanding anything contained in sub-rule (1), if the State

Government is of the opinion that in the interest of development of minor

minerals it is necessary to do so, it may, for reasons to be recorded,

authorize the extension of a lease or license for a further period up to

twenty years in case of specified minor minerals and ten years in case of

non-specified minor minerals, Subject to establishment of mineral

availability and workability of the quarry and further subject to provisions

of rules in Chapter-II and II-A:

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Provided that, quarry lease under this rule shall be granted or

extended or renewed on the condition that the lessee shall pay royalty and

additional payment.

Provided further that, when such royalty and additional payment is

paid, then the payment by the lessee for the District Mineral Foundation

trust Fund shall be as payable by the holders of lease through auction.”

(iv) for sub-rule (2) and provisions thereunder, the following shall be substituted,

namely:-

“(2) All the quarrying leases or licenses granted before the

commencement

of

the

Karnataka

Minor

Mineral

Concession

(Amendment) Rules, 2016, shall be deemed to have been granted for a

period of fifty years in respect of specified minor minerals and for a

period of thirty years in respect of non-specified minor minerals from

the date of its original grant, subject to establishment of mineral

availability and workability of the quarry and also subject to the

condition that all the terms and conditions of the lease or licenses have

been complied by the lessee or licensee:

Provided that, the mining leases of the minerals which are classified

as minor minerals by the Central Government vide notification no. S.O.

423 (E), dated 10-02-2015 shall be deemed to have been granted for fifty

years, for an area already granted under such lease and be considered

as quarrying lease or license as the case may be, subject to

establishment of mineral availability and workability of the quarry and

also subject to the condition that all the terms and conditions of the

lease have been complied by the lessee or license.

Provided further that, the quarry lease or licence which are

granted before 12-08-2016 and the period of such lease or licence

expired before commencement of these rules shall be considered for

extension of period under the provisions of this rule.”

(v) sub-rules (3), (4) and (5), shall be omitted.

(vi) in sub-rule (7), for the words, “thirty years”, the words “fifty years” shall be

substituted, wherever they occur.

11. Amendment of rule 8-B.- In the said rules, for rule 8-B, the following

shall be substituted, namely:-

“8-B. Status of applications received.- (1) Notwithstanding anything contained in

Chapter-IV-A, all applications received for grant of lease prior to the date of

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commencement of the Karnataka Minor Mineral Concession (Amendment) Rules,

2016, shall become eligible including the applications received for grant of mining

leases of the minerals that are now re-classified as minor mineral by the Central

Government by Notification No. S.O. 423(E), dated:10-2-2015:

Provided that, Applications received for grant of lease prior to the date of

commencement of the Karnataka Minor Mineral Concession (Amendment) Rules,

2016, for which no objection certificates and reports are received before

commencement of these rules as per sub-rule (5) of rule 8 shall be considered for

grant of quarry lease by the Competent Authority.

Provided further that, Applications received and pending for grant of lease prior

to the date of commencement of the Karnataka Minor Mineral Concession

(Amendment) Rules, 2016, for which no objection certificates and reports are not

received before commencement of these rules, the Competent Authority shall

consider such applications for grant of quarry lease after obtaining no objection

certificates and report as per sub-rule (5) of rule 8

(2) These applications may be consider for grant of quarrying lease in Form-GL by

the competent authority as per the provisions of these rules and dispose the

application within twenty four months from the commencement of the

Karnataka Minor Mineral Concession (Amendment) Rules, 2023.

(3) If any conflicts arises between applications received for grant of quarry lease

before promulgation of the Karnataka Minor Mineral Concession (Amendment)

Rules, 2016 that are now considered as eligible applications, and applications

which are received and pending for consideration under the provisions of rule

31-ZC within the time prescribed the Karnataka Minor Mineral Concession

(Amendment) Rules 2016, the competent authority shall consider applications

for grant of quarry lease which are received under the provisions of rule 31-ZC

of the Karnataka Minor Mineral Concession (Amendment) Rules 2016, for

production of manufacture sand.

(4) The provisions of rules 3, 3-C, 3-E, 4, 5, 6, 7, 8, 8-A, 15, 15-A, 16, 17, 18, 19-A,

19-B, 19-C, 19-D, 20, 54, 55 and Chapter-II-A, Chapter-VI, Chapter-VII,

Chapter-VIII and Chapter-IX shall mutatis mutandis apply to quarry lease

granted under this rule.”

12. Amendment of rule 8-J.- In the said rules, for rule 8-J,-

(i) for sub-rule (1), the following shall be substituted, namely:-

“(1) Every quarrying plan or simplified quarrying plan duly approved shall

be valid for five years or the duration of quarrying lease or license or

working permission whichever is earlier and modification or alteration in

the quarrying plan with reason thereof shall be reported to the Competent

Authority.”

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(ii) in sub-rule (4), the words “However, in case of sand at least ninety days

before the expiry of the two years period”, shall be omitted.

13. Omission of rule 8-L.- In the said rules, rule 8-L, shall be omitted.

14. Amendment of rule 8-N.- In the said rules, in rule 8-N, after sub-rule (5),

the following shall be inserted, namely:-

“(6) On obtaining permission from the concerned Revenue Department

Officer, the lessee or licensee may also stack non-salable and Rejected

Minor Mineral outside the quarry lease or license area, which is adjacent

to the quarry lease or license area with the prior approval from concerned

Deputy Director or Senior Geologist, subject to submission of approved

modified quarrying plan and Environmental Clearance or necessary

documents as specified in these rules.”

15. Amendment of rule 8-O.- In the said rules, for rule 8-O, the following

shall be substituted, namely:-

“8-O. Employment of qualified persons.- For the purpose of carrying out

quarrying operations in accordance with these rules, every holder of a

quarrying lease/quarry licence shall employ qualified person as per

provisions of the Mines Act, 1952 and Metalliferous Mines Regulation,

1961.”

16. Amendment of rule 8-R.- In the said rules, in rule 8-R,-

(i) for sub-rule (1), the following shall be substituted, namely:-

“(1) Cluster Association of quarry lease/licence shall be formed in

accordance with notifications or Official Memorandum duly issued by the

Ministry of Environment, Forest and Climate Change, Government of

India from time to time.”

(ii) after sub-rule (3), the following shall be inserted, namely:-

“(4) In the interest of mineral development and to promote systematic and

scientific quarrying, if the minor mineral deposits found in the middle of

the concession area falling in cluster association, such minor mineral

deposited area shall be allotted to the lessees falling in cluster and grant

a quarry leases through non auction route, as per guidelines issued by

the State Government from time to time.

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(5) In the interest of systematic and scientific quarrying if the land is

available adjacent to the existing lease or licence having an extent of five

acres or below, such area shall be allotted to lessee or licence through

non auction route with necessary clearances or documents as specified

in these rules and as per guidelines issued by the State Government from

time to time:

Provided that, the allotted area shall be twenty five percent of the

existing leased or licenced area or one acres whichever is lower.

Provided further that, the area so allotted shall be utilized only for

the purpose of maintenance of margin land or buffer zone or development

of benches.”

17. Amendment of rule 11.- In the said rules, in rule 11, the words “except

for sand and M - sand”, shall be omitted.

18. Amendment of rule 15.- In the said rules, in rule 15, in sub-rule (1), in

clause (b) the words “or licences”, shall be omitted.

19. Insertion of rule 15-B.- In the said rules, after rule 15-A, the following

shall be inserted, namely:-

“15-B. Registration of mineral based industry.- (1) Registration of new

mineral based industry: Any person who intends to establish mineral based

industry, on and after the commencement of the Karnataka Minor Mineral

Concession (Amendment) Rules, 2023 in respect of the minor mineral listed

under schedule-IB, shall register with the Deputy Director or Senior

Geologist, Department of Mines and Geology of the concerned district.

(2) Registration of existing mineral based industry:

(a) All existing mineral based industry utilizing the minor mineral, listed

under schedule-IB, shall register with the Deputy Director/Senior

Geologist, Department of Mines and Geology of the concerned district

within a period of one year from the date of commencement of the

Karnataka Minor Mineral Concession (Amendment) Rules, 2023.

(b) Every application for registration of mineral based industry shall be

made in Form-RMM along with a registration fee of rupees ten thousand in

the form of Treasury challan:

Provided that, application for renewal shall be made to the Deputy

Director/Senior Geologist of the concerned district in Form-RMM, three

12

months before expiry of registration along with a renewal fee of the rupees

five thousand in the form of Treasury challan.

(3) The application received for grant or renewal of registration of mineral

based industries under these rules shall be disposed within a period of

ninety days from the date of receipt of such application.

(4) Where, in case the Deputy Director / Senior Geologist, Department of

Mines and Geology of the concerned district is not able to dispose the

application for grant or renewal of registration of mineral based industry

within a period specified above, the reasons for the delay shall be given in

writing within thirty days after the expiry of the disposal period.

(5) The period of the registration shall be valid for a period of ten years and shall

be renewed for every ten years In Form –LMI

(6) Mineral based industry registered under these rules shall furnish yearly

reports to the jurisdictional Deputy Director/Senior Geologist in Form-

MYR.

(7) Mineral based industry registered under the provisions of these rules

shall obtain the mineral duly covered by a valid Mineral Dispatch permits

issued by the Department of Mines and Geology as specified under rule

42.

(8) If the owner of mineral based industry fails to register industry owned

by him, within the prescribed time under the provisions of these rules shall

be considered for registration on payment of penalty in addition to

registration fee specified below, namely:-

SL.

No

Period of delay

Penalty

(in rupees)

1

3 months

2,5000/-

2

6 Months

5,0000/-

3

Above 6 Months

1,00,000/-

(9) The licensee shall maintain correct and intelligible accounts of the

minerals procured either in raw from and / or subjected the minerals for

beneficiation, separation, crushing, pulverization and cutting and polishing

activities, as the case may be in e-return.

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(10) The licensee shall produce the documentary evidence for the minerals

either in raw from and / or subjected the minerals for beneficiation,

separation, crushing, pulverization and cutting and polishing activities, as

the case may be, sourced from outside the State of Karnataka to the

concerned Deputy Director/ Senior Geologist.

(11) The licensee shall dispatch the mineral either in raw from and / or

subjected

the

minerals

for

beneficiation,

separation,

crushing,

pulverization and cutting and polishing activities, as the case may be, by

obtaining Mineral Dispatch Permit.

(12) The registered licensee shall allow the authorized officer to inspect the

industrial unit for verification the stocks and accounts of the mineral.

(13)

Penalties:

Any

person

who

contrivance

any

provisions

of this rule shall be punishable with fine of,-

(a) If the offence is committed first time- rupees 25,000/-;

(b) In the Event of repeated offence, rupees 50,000/- and/or

imprisonment for a term which may extended to one year or with

both; and

(c) Whoever intentionally obstructs the Authorised Officer shall be

punishable with an imprisonment for a term which may be

extended to one year and fine of rupees 10,000/- or with both.

20. Amendment of rule 17.- In the said rules, in rule 17,-

(i) for sub-rule (1), the following shall be substituted, namely:-

“(1) Before the grant of quarry lease or licence or prospecting license the

Competent Authority shall make arrangements for survey and

demarcation of the area subject to the applicant paying the expenses at

the rate of rupees two thousand per acre of land.”

(ii) after sub-rule (2), the following shall be inserted, namely:-

“(3) If any variations found in quarry lease or licence area due to technical

error, in such cases after ascertaining the area by conducting joint survey

along with the officers of the Revenue and Survey Settlement and Land

Records and allowed to correct such discrepancy as one time measure,

during the currency of lease or licence period as per guidelines issued by

the State Government.

(4) Notwithstanding anything contained in these rules, any habitation,

educational institute, temple, building coming up subsequent to

issuance of quarry lease or licence grant notification in Form-GL shall

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not affect the operation or continuance of such lease or licence and

shall not affect any extension of lease or license period under rule 8(A):

Provided that, the lessee or licensee shall carry the quarrying

operation by taking relevant safety measures mentioned above.”

21. Amendment of rule 18.- In the said rules, in rule 18,-

(i) for sub-rule (1), the following shall be substituted, namely:-

“(1) When a quarrying lease or quarry license, or prospecting license or

composite license is granted the quarry lease, quarry license, prospecting

license or composite license shall be got executed in Form-E by the

grantee within twelve months of the order granting or renewing the lease

or further twelve months period as the Competent Authority may allow

in this behalf and if no such lease deed is executed within the aforesaid

period, the order granting or renewing the lease shall be deemed to have

been revoked.”

(ii) after sub-rule (1), the following shall be inserted, namely:-

“(1-A) If lessee or licensee fails to register the quarry lease deed during the

currency of the lease period, and which are eligible or otherwise for

deemed extension under the provisions of rule 8-A, in such case the

competent authority may impose a fine of rupees two lakhs and execute

supplementary quarry lease or license deed. After the issuance of

supplementary quarry leaser license deed, the lessee or licensee shall

register the quarry lease deed within ninety days and submit the

registered deed to the competent authority, till such period lessee or

licensee shall not be entitled to conduct quarrying activities.”

22. Amendment of rule 19-A.- In the said rules, in rule 19-A,-

(i) in the heading for the words “Transfer of Mineral Concession”, the words

“Transfer of quarry lease or licence” shall be substituted.

(ii) in sub-rule (4), for the proviso, the following shall be substituted,

namely:-

“Provided that, if the transferee fails to register (Form-T) within the period

prescribed in the Registration Act, 1908 (Central Act 16 of 1908), the

Competent Authority, viz Commissioner or Director or Deputy Director or

Senior Geologist of the Mines and Geology Department may condone the

delay and for the reasons to be recorded in writing and shall re-execute

the same. After re-execution of the Form-T the lessee or licensee shall

register the same within ninety days and submit the copy to the

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Competent Authority. If the lessee or licensee fails to register the transfer

lease or licence deed within ninety days after re-execution of the transfer

lease or licence deed, the order for transfer shall be revoked by the

Commissioner or Director or Deputy Director or Senior Geologist with

forfeiture of transfer application fee and premium.”

(iii) in sub-rule (8), the second proviso and Explanation thereunder, shall be

omitted.

(iv) after sub-rule (8), the following shall be inserted, namely:-

“(9) The Competent Authority may, by order, in writing terminate any

lease or licence at any time, if the lessee or licensee, in the opinion of the

Competent Authority, has violated the provisions of sub–rule (1) or has

transferred any lease or licence or any right, title or interest therein

without the prior approval of the Competent Authority:

Provided that, no such order making a termination of quarry lease

or licence shall be made without giving reasonable opportunity to the

lessee or licensee to be heard.”

23. Amendment of rule 19-C.- In the said rules, for rule 19-C, the following

shall be substituted, namely:-

“19-C. Status of grant of quarrying lease or license on death of the

applicant or lessee or licensee.- (1) Where an applicant for the grant of a

quarrying lease or license dies before the order granting him the quarrying

lease, the application for the grant of a quarry lease shall be deemed to

have been made in favour of his legal heir.

(2) In the case of an applicant in respect of whom an order granting a quarrying

lease is passed but who dies before the execution of deed, the order shall be

deemed to have been passed in the name of the legal heir of the deceased.

(3) Where a lessee dies during the currency of lease, the quarry lease deed

shall be deemed to be executed in the name of his legal heir of the

deceased till the expiry of the lease held upon by an order of the

Competent Authority in this regard.”

24. Amendment of rule 31-A.- In the said rules, in rule 31-A, in sub-rule (1),

the words, numbers and brackets “in-principle concurrence of the concerned

authorities prescribed under sub-rule (5) of rule-8 and formal approvals shall be

obtained by the successful bidder by following due procedures, if any before

execution of the deed” shall be omitted.

16

25. Amendment of rule 31-R.- In the said rules, in rule 36-R,-

(i) in sub-rule (3), in clause (vi), for the words “lease holder” the words

“successful bidder” shall be substituted.

(ii) in sub-rule (4), in clause (ii) the words, figures and letters “in coastal districts

as per rule 31-ZB” shall be omitted.

(iii) after sub-rule (6), the following shall be inserted, namely:-

“Provided that, if the seized sand is not required for any Government works,

action shall be taken by the District Sand Committee to dispose such sand to

the general public.”

(iv) in sub-rule (12) for the words, figures, letters and brackets “sub-rule (5) of

Rule 43 and sub-rule (1) of Rule 43-A” the words, figures and letters “ the

provisions of rules 43, 43A and 44 of these rules” shall be substituted.

(v) in sub-rule (20) for clause (ii) the following shall be substituted, namely:-

“(ii) In case of IV, V and higher order streams of river, any person aggrieved

by an order passed by the District sand committee may prefer a revision to the

Commissioner or Director Department of Mines and Geology. within thirty days

from the date of receipt of such order.”

(vi) after sub-rule (20) the following shall be inserted, namely:-

“(21) No transport of sand shall be made across the border to other States:

Provided that in case of exigencies the State Government on the

recommendation of the District Sand Committee, or on its own, may allow

transportation of sand across the border to other States.”

26. Amendment of rule 31-U.- In the said rules in rule 31-U,-

(i) in sub-rule (2) the words, figures and letters “in coastal districts as per Rule

31-ZB” shall be omitted;

(ii) in sub-rule (3) the words, figures and letters “in coastal districts as per Rule

31-ZB” shall be omitted;

(iii) in sub-rule (5) the words, figures and letters “as per Rule 31-ZB” shall be

omitted;

(iv) in sub-rule (6) for the words, figures and letters “as per Rule 31-ZB, the” the

words “the Jurisdictional” shall be substituted;

(v) in sub-rule (11) after the words “permission holder” the words “or lease

holder” shall be inserted;

(vi) in sub-rule (12) after the words “permission holder” the words “or lease

holder” shall be inserted;

(vii)

sub-rule (14) shall be omitted; and

(viii) after sub-rule (18) the following shall be inserted namely:-

17

“(19) For the purpose of reservation and grant of sand quarrying lease for

the blocks available in IV, V and higher order stream through tender – cum –

auction shall be done as per guidelines and tender documents notified and

issued by the Government from time to time.”

27. Amendment of rule 31-W.- In the said rules in rule 31-W,-

(i) in sub-rule (1) the words, brackets and figures “by the existing lease or

license holder holding on or before the date of commencement of the

Karnataka Minor Mineral Concession (Amendment) Rules, 2021” shall be

omitted; and

(ii) in sub-rule (2) for the words “average additional periodic payment” the words

“additional payment” shall be substituted.

28. Amendment of rule 31-Z.- In the said rules in rule 31-Z,-

(i) in sub-rule (2),-

(a) for the words “width of the river” the words “width of the existing river”

shall be substituted;

(b) after sub-rule (2) so amended, the following shall be inserted, namely:-

“Explanation: - “Existing river” means, the path of present flow of a river as

ascertained from satellite or Google imageries.”

(ii) after sub-rule (3) the following shall be inserted, namely:-

“Provided that if there is a possibility of replenishment of sand in the patta

land, the quarrying of sand in patta land may allowed within the five kilometers of

river bed mining.”

(iii) for sub-rule (7) the following shall be substituted, namely:-

“ (7) The licensee in addition to the royalty shall pay additional payment.”

29. Amendment of rule 31-ZA.- In the said rules in rule 31-ZA for sub-rule

(2) the following shall be substituted, namely:-

“(2) The permit holder, in additional to the royalty shall pay additional

payment for the sand disposed after removal of sand bars from the Coastal

Regulation Zone (CRZ) and the same shall be remitted to the Consolidated Fund of

the State.”

30. Amendment of rule 31-ZB.- In the said rules in rule 31-ZB,-

(i) in sub-rule (1), in clause (a) for the word “District” the word “Taluk” shall be

substituted.

(ii) after sub-rule (2), the following shall be inserted, namely:-

18

“(3) Regulation of sand removal from de-siltation of vented dams manually in

Non-CRZ areas of coastal Districts,-

(a) In Non-CRZ areas of coastal district, viz. Uttar Kannada, Dakshina Kannada

and Udupi Districts, the de-siltation of vented dams shall be allotted by way

of tender-cum-auction by the District Sand Committee amongst the

traditional sand extracting communities to be identified as specified in rule-

31-ZB.

(b) The grant of permission for de-siltation of vented dams in Non-CRZ areas of

coastal Districts shall be done as per the guidelines and tender document

issued and notified by the State Government from time to time.”

31. Amendment of rule 31-ZC.- In the said rules in rule 31-ZC,-

(i) for sub-rule (1), the following shall be substituted, namely:-

“(1) Notwithstanding anything contained in these rules in order to promote

manufactured sand (hereinafter referred as M-Sand) and to conserve natural sand

shall be granted quarry lease for persons who have already established or person

who hold a valid license (Form-CFE) for establishment of M-sand Unit to enable

them to produce M-Sand for the next thirty years.”

(ii) for sub-rule (2) the following shall be substituted, namely:-

“(2) Every application for grant of quarry lease as specified in sub rule (1)

shall be made in the Form-AQL along with the documents specified in the

guidelines by the Government from time to time, to the Commissioner or Director,

Department of Mines and Geology and shall be accompanied by non- refundable

application fee of rupees ten thousand per acre in the form of treasury challan:

Provided that,-

(a) quarry blocks identified by the Owner of M-sand unit or Form–CFE holder

within radius of 30 kilo metre from the present location of the unit;

(b) all the application received under sub rule-(1) of rule-31-ZC of the Karnataka

Minor Mineral Concession (Amendment) Rules, 2016 for production of M-

sand and pending consideration for grant of quarry lease shall be

considered and disposed in accordance with Karnataka Minor Mineral

Concession (Amendment) Rules -2023;

(c) an application under Form-AQL shall be made within a period of twelve

months from the date of commencement of the Karnataka Minor Mineral

Concession (Amendment) Rules-2023; and

(d) the grant of quarry leases under sub-rules (1) and (2) shall be done by the

Guidelines issued by the State Government from time to time.”

19

(iii) sub-rules (3), (4), (5), (6), (7), (8), (9), (10), (11), (12), (13), (14) and (15) shall be

omitted.

32. Omission of rule 31-ZD.- In the said rules, rule 31-ZD shall be omitted.

33. Amendment of rule 31-ZE.- In the said rules, in rule 31-ZE,-

(i) for sub-rule (2), the following shall be substituted, namely:-

“(2) the provisions of the Chapter IV and V shall mutatis mutandis apply to

rule 31-ZC”; and

(ii) for sub-rule (3), the following shall be substituted, namely:-

“(3) The provision of Chapter IV and V shall also apply mutatis and mutandis to

sand to the extent that it is not inconsistent to provisions of rule 31-Z.”

34. Substitution of rule 32.- In the said rules, for rule 32 the following shall be

substituted namely:-

“32 Quarrying Licence.- (1) No persons in possession of private or patta lands

in Karnataka State and in whose lands sub soil minor minerals are situated shall

undertake quarrying operation of minor minerals in Private or patta lands except

with a quarrying licence granted under this chapter.

(2) Application for grant or renewal of quarrying licence in private or patta

land: Every application for grant or renewal of a licence to quarry with respect to

minor minerals in the private or patta lands shall be made in the Form-AQL and

Form-R respectively along with the documents specified in the guidelines issued

by the Government from time to time, to the jurisdictional Deputy Director or

Senior Geologist and shall be accompanied by non-refundable application fee of

rupees ten thousand in case of Specified Minor Minerals and rupees five thousand

in case of Non-specified Minor Minerals.

(3) Application received under sub-rule (2) shall acknowledged in Form-A.

The acknowledgment shall be sent to the applicant by registered post.

(4) The jurisdictional Deputy Director or Senior Geologist shall obtain no

objection certificates and reports as specified under sub-rule (5) of rule 8.

(5) Quarrying licence may be given to Registered GPA holders of private or

patta lands or for holders of consent in Form-CFQ from the owner of the Private

or patta lands to the effect that he has consent for quarrying minor mineral by the

applicant:

Provided that, this consent once given in the Consent Letter shall not be

withdrawn for any reason during the pendency of the application for grant of

quarrying licence or during the currency of the quarrying licence granted in favour

of the applicant.

20

(6) In case of all minor mineral jurisdictional Deputy Director or Senior

Geologist shall obtain recommendation from the District Task Force (Mines)

Committee before granting or renewing a quarry licence.

(7) Grant and Execution of licence in Private or patta land owner, Registered

GPA holder or Consent holders shall be done by the jurisdictional Deputy Director

or Senior Geologist as specified in rules 16, 17 and 18 of these rules.

(8) Before execution of a licence deed grantee shall submit approved

quarrying plan, Environmental Clearance, Land Conversion Order and other

statutory documents and fees as specified under these rules.

(9) The period for which a quarrying licence may be granted or renewed under

this chapter for a period of fifty years in case of specified minor mineral and thirty

years in case of non-specified minor mineral.

(10) All working permissions granted for Ornamental Stone quarrying in

private or patta land before commencement of the Karnataka Minor Mineral

Concession (Amendment) Rules, 2016 to be consider as quarrying licence from the

date of commencement of these rules:

Provided that, the jurisdictional Deputy Director or Senior Geologist shall

issue quarrying licence in Form-E and licensee shall registered the same as per

rule 18 of these rules.

(11 ) No licence shall be transfer without previous consent of the private or

patta land owner and concerned competent authority.

(12) The provisions of Chapters II and II-A and rules 13, 15-A, 16, 17, 19,

19-A, 19-B, 19-C, 19-D and Chapter VI, except proviso (b) of sub-rule (1) of rule

36 and sub-rule (5) of rule 36 , Chapter-VII, Chapter VIII and Chapter IX shall

mutatis mutandis apply to this chapter.”

35. Amendment of rule 36.- In the said rules, in rule 36,-

(i) in sub-rule (1), for fourth proviso the following shall be substituted,

namely:-

“Provided also that,-

(a) the State Government shall charge an additional payment in addition to

royalty, on all quarry leases granted through non auction route before or

after commencement of the Karnataka Minor Mineral Concession

(Amendment) Rules, 2016.

(b) the additional payment shall not be charged for leases or license granted

under rule-3-F and rule-32.

(c) when such royalty and additional payment is paid, then the payment made

by the lessee for the District Mineral Foundation Trust Fund shall be as

payable by the holders of lease or license through auction;

21

(ii)

in sub-rule (2), for the words “ six months”, the word “year”, shall be

substituted.

(iii)

for sub-rule (5), the following shall be substituted namely:-

“(5) Upfront payment for quarrying lease.- Not withstanding anything

contained in these rules the holder of quarry Lease in the lands belonging to State

Government shall pay one-tenth of the royalty amount of average permitted annual

production quantity mentioned in the environmental clearances in their validity

period in the form of performance bank security before execution of the lease:

Provided that,-

(a) the upfront payment shall be forfeited by concerned Deputy Director or

Senior Geologist if lessee fails to comply the conditions stipulated in approved

quarry closure plan and default in making all dues to the Government after the

expiry of quarry lease.

(b) the provision of this sub rule shall not be applicable to for quarrying license

granted under the provisions of rules 3-F and 32.”

36. Amendment of rule 39.- In the said rules, in rule 40 at the end after the

words “ Security deposit” the following shall be inserted, namely:-

“Provided that, All dues payable to the Government under these rules, if remain

unpaid, shall be recoverable as an arrears of land revenue”.

37. Amendment of rule 40.- In the said rules, in rule 40 for the first proviso

the following shall be substituted, namely:-

“Provided that,-

(a) The DGPS and Drone or Total Station Survey shall be conducted and

freeze the reference or reduced levels of the concession area prospectively through

the Karnataka State Remote Sensing Applications Centre (KSRSAC) or the

empanelled agency by the Karnataka State Remote Sensing Applications Centre

(KSRSAC) for the purpose of the systematic and scientific assessment of quantity

of minor mineral extracted and dispatched from the concession area.

(b) in case, the lessee or licensee fails to submit the required documents to

finalize the annual audit report or the information submitted are incorrect or the

Jurisdictional Deputy Director/ Senior Geologist has reasons to believe that the

lessee or licensee had evaded royalty.

(c) the Jurisdictional Deputy Director/ Senior Geologist shall after giving a

reasonable opportunity of being heard to the lessee or licensee, and to make such

enquiry and finalize the annual audit report based on the report of DGPS and Drone

or Total Station Survey through the Karnataka State Remote Sensing Applications

Centre (KSRSAC) or a empanelled agency by the Karnataka State Remote Sensing

Applications Centre (KSRSAC).

22

38. Amendment of rule 41.- In the said rules, in rule 41, for the words

“fifteen percent” the words “twelve percent” shall be substituted.

39. Amendment of rule 42.- In the said rules, in rule 42, after sub-rule (2)

the following shall be inserted namely:-

“(3) All minor mineral transporting vehicles shall install Global Positioning System

and shall transport minor mineral only in the approved route as indicated in the

computerized mineral dispatch permit:

Provided that, the minor mineral transport vehicles shall be registered with

the Integrated Lease Management System (ILMS) of Department of Mines and

Geology for monitoring purpose.”

40. Amendment of rule 43.- In the said rules, in rule 43, in sub-rule (6),

after the words “compounding fee”, the words “for Minor Mineral” shall be

inserted.

41. Amendment of rule 43-A.- In the said rules, in rule 43-A,-

(i) in the heading for the word “Seizing”, the word “Seizer” shall be substituted.

(ii) for sub-rule (1), the following shall be substituted, namely:-

“(1) Whenever any person without lease or licence raises or causes to be

raised, or stored without any lawful authority, any minor mineral from

any land, and for that purpose, uses any tool, equipment, vehicle or any

other thing, such minor mineral, tool, equipment, vehicle or any other

things shall be seized by an officer or authority empowered in this

behalf.”

(iii) in sub-rule (2), in the first proviso,-

(a) for the word “may”, the word “shall” shall be substituted; and

(b) for the words, figure and brackets “sub-rule (5)”, the words, figure and

brackets “sub-rule (1)” shall be substituted.

42. Amendment of rule 51.- In the said rules, in rule 51,-

(i) for sub-rule (5), the following shall be substituted, namely:-

“(5) Where the highest bid in an auction sale is complete in all respects and is

equal to or exceeds the minimum grade-wise price specified in Schedule-III,

the District Task Force (mines) Committee (hereinafter called as bid

confirming authority) shall accept the bid and shall issue confirmation or

acceptance order.”

(ii) for sub-rule (7), the following shall be substituted, namely:-

“(7) Immediately on the acceptance and confirmation of the bid, the bidder

shall remit the entire bid amount and obtain a receipt. It shall thereafter be

the responsibility of the bidder to arrange for protection and transport of the

auctioned mineral. The bidder shall transport the mineral from the auction

site within the time prescribed in the tender document:

23

Provided that, the successful bidder fails to transport the minor mineral within

the prescribed period in the tender document, the concerned jurisdictional

Deputy Director/Senior Geologist may condone the delay for the reasons to

be recorded in writing and shall allowed to transport the auctioned minor

mineral as deemed fit.”

43. Amendment of rule 53.- In the said rules, in rule 53,-

(i) in sub-rule (1), for the word “sixty”, the word “ninety” shall be substituted;

(ii) in sub-rule (2), for the word “sixty”, the word “ninety” shall be substituted;

44. Omission of rule 60.- In the said rules, rule 60 shall be omitted.

45. Substitution of Schedule-I.- In the said rules, for schedule-I and the

entries relating thereunder, the following shall be substituted, namely:-

“SCHEDULE-I

(See sub-rule (1) of rule 36)

Dead Rent

Sl.

No.

Name of the Mineral

Rate per

acre per

Annum for

Leases

granted in

Government

land and

Government

Gomala

land

(in rupees)

Rate per

acre per

Annum

for

Licence

granted

in Patta

Land

(in

rupees)

(1)

(2)

(3)

(4)

1.

Ornamental

and

Decorative

Building

Stones. As defined under

clause (m) of sub-rule (1)

of rule 2.

37,500/-

18,750/-

2.

Felsite and its varieties

suitable

for

use

as

Ornamental Stones

37,500/-

18,750/-

3.

Quarzite and Sandstone

and

their

varieties

suitable

for

use

as

Ornamental Stones

27,500/-

13,750/-

24

4.

Marble

and

crystalline

Limestone as Ornamental

Stones

37,500/-

18,750/-

5.

Bentonite

27,500/-

13,750/-

6.

Fullers Earth

27,500/-

13,750/-

7.

Limestone under the title

“SHAHABAD STONE”

16,500/-

8,250/-

8.

Limestone (Non-cement)

16,500/-

8,250/-

9.

Ordinary Building Stones

as

defined

under

clause (g) of sub-rule (1) of

rule 2,-

(a) Bangalore

Urban

and

Rural,Kolar, Mysore, Mandya

and

Tumkur,

chikkaballapura,

Ramanagar,

18,750/-

9,375/-

(b) Other Districts

11,000/-

5,500/-

10.

Lime Shell

16,500/-

8,250/-

11.

Lime Kankar

16,500/-

8,250/-

12.

Agate, Chalcedony

16,500/-

8,250/-

13.

Ordinary

Sand

Entire

State

11,000/-

5,500/-

14.

Brick and Tile clays

5,500/-

2,750/-

15.

Steatite used for making

household articles

11,000/-

5,500/-

16.

Sandstone

used

for

making household articles

11,000/-

5,500/-

17.

Murram

4,000/-

2,000/-

18.

Ball clay, Fire clay

11,000/-

5,500/-

19.

Barytes

11,000/-

5,500/-

25

20.

Calcareous Sand

16,500/-

8,250/-

21.

Calcite and Gypsum

16,500/-

8,250/-

22.

Chalk

5,500/-

2,750/-

23.

China clay and Kaolin

27,500/-

13,750/-

24.

Clay (others)

16,500/-

8,250/-

25.

Corundum

37,500/-

18,750/-

26.

Diaspore

11,000/-

5,500/-

27.

Dolomite

16,500/-

8,250/-

28.

Dunite or Pyroxenite

27,500/-

13,750/-

29.

Quartz,

Feldspar

and

Mica

16,500/-

8,250/-

30.

Quartzite and Fuchsite

Quartzite

16,500/-

8,250/-

31.

Jasper

16,500/-

8,250/-

32.

Laterite

11,000/-

5,500/-

33.

Ochre

16,500/-

8,250/-

34.

Ordinary Building Stone

used for M-sand purpose

35,000/-

17,500/-

35.

Pyrophylite

11,000/-

5,500/-

36.

Shale and Slate

27,500/-

13,750/-

37.

Silica Sand

27,500/-

13,750/-

38.

Steatite

or

Talc

or

Soapstone

37,500/-

13,750/-

39.

Sand (Others)

16,500/-

8,250/-

40.

All other minor minerals

5,500/-

2,750/-

”

26

46. Amendment of Schedule-II.- In the said rules, in the schedule-II, after

serial no. 10 and the entries relating thereto, the following shall be inserted,

namely:-

“

10-

A

Building

Stone

generated

during

construction

of

irrigation canals

-

Rs.30 per

MT

”

47. Substitution of Schedule II-A.- In the said rules, for schedule II-A and

the entries relating thereunder, the following shall be substituted, namely:-

“SCHEDULE II-A

(See rule 15-A)

Minimum area for grant of quarry lease

Sl.

No.

Name of the Minor Mineral

Minimum area

(in

Acres/Guntas)

1.

Ornamental and decorative building stones,

As defined under clause (m) of sub-rule (1) of

rule 2.

2-00

2.

Felsite and its varieties suitable for use as

Ornamental Stones

2-00

3.

Quartzite and sandstone and their varieties

suitable for use as Ornamental Stones

2-00

4.

Marble

or

crystalline

Limestone

as

Ornamental Stone

2-00

5.

Bentonite

2-00

6.

Fullers Earth

2-00

7.

Limestone under title “Shahabad Stone”

2-00

8.

Limestone (non-cement)

2-00

9.

Ordinary Building Stone as defined under

clause (g) of sub-rule (1) of rule 2.

2-00

10.

Lime Shell

2-00

27

11.

Lime Kankar

2-00

12.

Agate and Chalcedony

2-00

13.

(a) Ordinary Sand in river bed mining (other than

Dakshina Kannada, Udupi and Uttarakannada

Districts)

12-20

(b) Ordinary sand mining river bed mining in costal

districts vizDakshina Kannada, Udupi and

Uttarakannada Districts

1-00

(c) Ordinary Sand mining in patta lands

5-00

14.

Brick and title clays

2-00

15.

Steatite used for making household articles

1-00

16.

Sandstone used for making household

articles

2-00

17.

Murram

2-00

18.

Ball clay, Fire clay

2-00

19.

Barytes

2-00

20.

Calcareous Sand

2-00

21.

Calcite and Gypsum

2-00

22.

Chalk

2-00

23.

China clay and Kaolin

2-00

24.

Clay (others)

2-00

25.

Corundum

2-00

26.

Diaspore

2-00

27.

Dolomite

2-00

28.

Dunite or Pyroxenite

2-00

29.

Quartz, Feldspar and Mica

2-00

30.

Quartzite and Fuchsite Quartzite

2-00

31.

Jasper

2-00

28

32.

Laterite

2-00

33.

Ochre

2-00

34.

Pyrophyllite

2-00

35.

Shale and Slate

2-00

36.

Silica Sand

2-00

37.

Steatite or Talc or Soapstone

2-00

38.

All other minor minerals

2-00

”

48. Substitution of Schedule III.- In the said rules, for schedule III and the

entries relating thereunder, the following shall be substituted, namely:-

“SCHEDULE - III

(see sub-rule (2) of rule 47)

Minimum rate per unit volume or weight of Minor Minerals

Sl.

No.

Classification

Code (As per

Form “O”)

Unit of

Measurement

Minimum

rate

1.

Lst

Tonnes

Rs.120/tonne

2.

Lsh

Tonnes

Rs.200/tonne

3.

(i) Bst-1

(ii) Bst-2

(iii) Bst-3

Tonnes

Number

of

Stones

Tonnes

Rs.200/tonne

Rs.5/size

stone

Rs.150/tonne

4.

Pbl

Tonnes

Rs.200/tonne

5.

Cly

Tonnes

Rs.60/tonne

6.

Flr

Tonnes

Rs.350/tonne

29

7.

(i) B(O)

(ii) B(M)

Number

of

Bricks

Number

of

Bricks

Rs.6/

per

Bricks

Rs.8/

per

Bricks

8.

Sh. St

10 Sq.Mt

Rs.400/-

9.

Granites

(1) (a) BLG-1

(b) BLG-2

(c) BLG-3

(d) BLG-4(i)

(e) BLG-4(ii)

(f) BLG-5

(2) (a) PNG-1

(b) PNG-2

(c) PNG-3

(d) PNG-4(i)

PNG-4(ii)

(e) PNG-5

(3) (a) PGM-1

(b) PGM-2(i)

PGM-2(ii)

(4) (a) GRG-1

(b) GRG-2

(c) GRG-3

Cu.Mt

Cu.Mt

Cu.Mt

Cu.Mt

Cu.Mt

Cu.Mt

Cu.Mt

Cu.Mt

Cu.Mt

Cu.Mt

Cu.Mt

Cu.Mt

Cu.Mt.

Cu.Mt

Cu.Mt.

Cu.Mt.

Cu.Mt

Cu.Mt.

Rs.1500/-

Cu.mt

Rs.3000/-

Cu.mt

Rs.6000/-

Cu.mt

Rs.8,000/-

Cu.mt

Rs.15,000/-

Cu.mt

Rs.4,000/-

Cu.mt

Rs.1,000/-

Cu.mt

Rs.3,000/-

Cu.mt

Rs.4,000/-

Cu.mt

Rs.8,000/-

Cu.mt

Rs.15,000/-

30

(d) WYG

Cu.Mt.

Cu.mt

Rs.4,000/-

Cu.mt

Rs.1,500/-

Cu.mt

Rs.3,000/-

Cu.mt

Rs.4,000/-

Cu.mt

Rs.1,000/-

Cu.mt

Rs.3,000/-

Cu.mt

Rs.7,000/-

Cu.mt

Rs.2,500/-

Cu.mt

10.

All

other

minor

minerals

Cu.Mt./Mt

Equal to five

times royalty

as specified in

schedule-II of

Rule-36

”

49. Omission of Schedule-IV.- In the said rules, the schedule-IV shall be

omitted.

50. Insertion of new Forms.- In the said rules, after Form-R and entries

relating thereunder, the following new forms shall be inserted, namely:-

31

“FORM –RMM

(see sub-rule (2) of rule 15-B)

Application for Registration / Renewal of Mineral (Minor) Based Industry

To:

The Deputy Director/Senior Geologist,

Department of Mines and Geology,

…………………..District.

Sir,

I/we request you to kindly register my Mineral (Minor) Based Industry

under Rule 15-B(2) of the Karnataka Minor Mineral Concession Rule 1994 , for

the purpose of using Minor minerals in my/our industry.

(2) A sum of Rs.10,000/- being the fee for registration payable under sub-rule (2)

of Rule 15-B of the said Rules have been deposited vide Challan No…………..,

dated……….. of the Bank /Treasury.

(3) The required particulars are given below:

(i) Name of the Applicant/Industry;

(ii) Locality/Address of the Industry;

(iii) Is the Industry owned by a private individual/co-operation/private company/public

company /public sector undertaking / joint sector undertaking or any other (Please

specify).

(iv) Nature of Industry:

(v) Name of the mineral/minerals likely to be used.

(vi) Nature of finished product.

(4) Period for which registration is required;

(5) In case of renewal, the No. and date of original registration.

(6) Following documents are enclosed:

A copy of the letter issued from the Industry Department, KSPCB Clearance,

concerned Tax registration certificate, Income Tax Clearance Certificate, Affidavit,

etc.

I/we do hereby declare that the particulars furnished above are correct and

am/are ready to furnish any other details as may be required by you.

Place:

Your Faithfully,

Date:

(Signature of the applicant)

32

FORM –LMI

(see sub-rule (3) and (4) of rule 15-B)

REGISTRATION CERTIFICATE

This is to certify that following Minor Mineral Based Industry has been

registered in the Department of Mines and Geology.

Registration No. DMG/

Name: Sri/Smt./M/s.:

Industrial Unit Address:

GPS Co-ordinates of Industrial Unit:

GST Registration No:

PAN card No:

CIN No:

IEC Code No:

This Certificate has been issued under sub-rule (3) and (4) of rule-15-B of

the Karnataka Minor Mineral Concession Rules, 1994, This certificate is valid up

to ------------------------------------------------.

The Deputy Director/Senior Geologist,

Department of Mines and Geology,

…………………..District.

Date:

Place:

33

FORM – MYR

(see sub-rule (6) of rule 15-B)

Yearly returns by minerals based industry

Name of the Industry:

Registration No.

Location/Address:

Minor Mineral Used:

Mineral Used:

Sl.

No.

Date/

Month

Opening

stock in

M.Tons/

CBM

Grade/Types

Obtained

from Lease

No./Trader

Qty.

obtained/

purchased in

M.Tons/CBM

(1)

(2)

(3)

(4)

(5)

(6)

Grade

Obtained

purchased from

lease no./Trader

Royalty paid

/permit no.

Qty. processed

in m.tons/CBM

Balance

quantity in

m.tons/CBM

(7)

(8)

(9)

(10)

(11)

Note:-Monthly returns shall be filed separately for each mineral.

34

FORM -AAM

(see sub-rule (11) of rule 15-B)

Notice for Annual Auditing of Mineral Based Industry

Name and Address of the Industry

Registration No. and year.

Accounts of minor minerals used in your industry and stock will be audited

by the undersigned on ---- you are here by directed to produce the following

documents for annual auditing and verification.—

(a) Books of accounts of minor mineral used.

(b) Ledgers

(c) Copies of permits for having procured minor minerals from various source.

(d) Details of monthly consumption of minerals.

(e) Sale not for having sold the finished products.

(f) Labour register

(g) Monthly returns copies

(h) Audited balance sheets.

Place:

Date:

Authorised Officer”

35

52. Substitution of Form AQL.- In the said rules, for Form AQL and the

entries relating thereto, the following shall be substituted, namely:-

“FORM-AQL

(See rules 3B, 3D, 3E, 3F,8-B 9, 9C, 31C, 31U, 31-U,31-Z, 31-ZC and 32)

Application for Grant of Quarry Lease/Quarrying License/

Composite License

for_______________________________ (Name of the Minor Mineral).

(To be submitted in duplicate with sketches in triplicate)

Received at _______________________(Place), on ________________ (date) and entered

in the Register (FORM-QLA/RAQP), Vol-No._____________ at serial

No._______________ on Page No.___________________.

Signature and

Designation of receiving Officer.

FROM:

__________________

__________________

__________________

__________________

APPLICANT

PHOTO

36

TO:

The Commissioner or Director

Dept. of Mines and Geology,

Bangalore/Deputy Director or Senior Geologist,

------------------------------ District.

Sir,

I/We submit an application for grant of Quarry Lease/Quarrying

License/Composite License for quarrying (Minor Mineral) for a period of ( )

years over an extent of acres/guntas/cents of land in the area specified in this

application.

A total sum of rupees /- being the Security Deposit calculated at

rupees /- per acre and rupees /- being the application

fee has been paid to Government vide Treasury Challan& Date for rupees /-

and rupees /-respectively.

The required particulars are given below:

1.

Name of the applicant with

permanent address, And

correspondence address in full

(Address Proof shall be enclosed)

and Mobile / Land line Number

and e-mail ID.

2.

Is the applicant a

Individual/Government

Company/ Firm/Association or

Registered Co-operative Society.

3.

a) Names of the

Directors/Members/ Partners

and their Nationality.

b) Nationality of the Individual

applicant .

4.

Place and Address of Registration

of the company/

Firm/Association or Registered.

Co-operative Society.

(Registered Document shall be

enclosed)

37

5.

Profession or nature of business

of the applicant

6.

Minor Mineral which the

applicant intends to Quarry(If it

is any type of granite, description

of colour and texture/structure

be given in brief)

7.

Period for which quarrying

lease/License is required as per

rules.

8.

Details of Area applied for:

District

Taluk

Village

Block

No.

&Sy.No

Extent and Type of

land

(to be supported by)

a.

Ammonia print of village

Plan/Forest land in triplicate on

scale 1”= 660 ft showing the area

applied with DGPS Co-ordinates

b.

R.R. Extract/Village Map in original

(Clearly state whether it is Patta/

Revenue/ Forest land)

c.

Certified copies of documents to

establish that the applied area is a

patta land /granted patta land and

that the applicant has full

ownership rights in the minor

mineral found in the applied area.

(in case of patta land registered

GPA or Consent Letter (CFQ) land

owner if necessary)

9.

Particulars of areas, mineral-wise,

already held under quarrying lease

or License or working permissions

or under Court order in individual

38

capacity or partner/

Director/Member of any company/

Firm/ Association/Registered Co-

operative Society.

District

Taluk

Village

Sy.No

Extent and Type of

land

10.

Particulars of areas, mineral wise,

already held quarrying lease /

License / working permission in

individual name or as a partner /

Director / member of any

company / Firm / Association /

Registered Co-operative Society.

District

Taluk

Village

Sy.No.

Extent and Type of

land

11.

Whether any new major/minor

mineral has been discovered in the

held leased area or the existing

mineral will be used as a different

end product if so give details.

12.

Particulars of areas, mineral wise,

already applied for quarrying lease

or License in individual name or as

a partner/ Director/ member of any

company/ Firm/ association/

Registered Co-operative Society.

District

Taluk

Village

Sy.No.

Extent and Type of

land

13.

Particulars of areas, mineral wise,

already applied for quarrying lease

or License in individual name or

as a partner/ Director/ member of

any company/ Firm/ association/

Registered Co-operative Society.

39

District

Taluk

Village

Sy.No.

Extent and Type of

land

14.

If the applicant, on the date of

application does not hold any

quarrying lease or License or working

permission for quarrying or any area

under Court Order an affidavit to this

effect should be furnished with this

application.

15.

Proposed method of quarrying and

Investment.

(a) Mechanised/quasi mechanised/

Manual.

(b) Investment in accordance with(a)

16.

Whether the applicant is the owner of

an any mineral based industries or

intent to establish any mineral based

industries that use minor minerals

as raw material in the State. (see

schedule-1B)

If so furnish details regarding:

(a) Name of the Unit:

(b) Date of establishment:

(c) Location and Address of the

unit:

(d)Capacity of the unit in terms of

production.

17.

Whether the applicant belongs to

Scheduled Caste/Scheduled Tribe or

Registered Society of such persons,

/physically challenged (Physically

disabled)/ economically weaker

section and traditional quarry

operator by Profession/Others.

40

18.

If so, persons belonging to Scheduled

Caste/Scheduled Tribe or Registered

Society of such persons, /physically

challenged (Physically disabled)/

economically weaker section and

traditional quarry operator by

Profession shall produce a Certificate

from the concerned TalukTahsildar

or concerned competent authority.

19.

Financial resources of the applicant

furnish Banker’s credit certificate.

20.

Payment details:

(i) EMD

Amount paid:

Payment mode: Treasury

Challan/RTGS/NIFT

Details of payment:

(ii)

Application fee

Amount paid:

Payment mode: Treasury

Challan/RTGS/NIFT

Details of payment:

(iii) Processing Fee

Amount paid:

Payment mode: Treasury

Challan/RTGS/NIFT

Details of payment:

21.

Turnover of the applicant during the

last 5 years [rupees in lakhs]:-

(1) .....................year

(2) .....................year

(3) .....................year

(4) .....................year

(5) .....................year

To be supported by Certificate from

Charted Accountant.

22.

Positive Net worth of the applicant

during last 3 years [rupees in lakhs]:-

.....................year

41

.....................year

.....................year

To be supported by Certificate from

Charted Accountant.

23.

Does the applicant has convicted of

any offence involving moral turpitude

/ illegal mining activity?

24.

Bankers reference, if any

25.

Brief write up about the

Company/firm/individual

26.

Particulars of areas, mineral wise

already applied and holding quarry

leases

27.

Proposed method of quarrying and

investment

(a) mechanized/quasi/manual

(b) investment in accordance

28.

Clearance Certificate with respect to

royalty, dead rent, surface rent and

any other dues towards department.

29.

Does the applicant holds office of

profit: Yes/No

30.

Does the applicant has convicted of

any offence involving moral turpitude

/ illegal mining activity?

31.

Any other relevant information like;

(i) Duly registered GPA document, if

the application is filed by the GPA

holder.

(ii) Authorization letter to represent

Firm/company etc., along with

board resolution to this effect.

32.

Any other particulars which the

applicant wishes to furnish.

42

DECLARATION

I/We hereby declare that:-

(a) The particulars submitted/uploaded are factual and correct and we are agreeable to

furnish any other information/details, plans sketches etc. as may be required by

Competent Authority,

(b) I/We agree and declare that I/we are fully familiar with the terms and conditions of the

tender cum auction process as notified by Government / District Sand Committee

………………….. District and agree to abide by the terms and conditions issued by

Government / District Sand Committee………………….. District.

(c) Delete whichever is not applicable.

Date: [Signature of the Applicant/ Bidder]

Place: [Name with Full address]”

53. Substitution of Form A.- In the said rules, for Form A and the entries

relating thereto, the following shall be substituted, namely:-

“FORM-A

(See rules 3B, 3D, 3E, 3F,8-B 9, 9C, 31C, 31U, 31-U,31-Z, 31-ZC and 32)

ACKNOWLEDGEMENT FOR RECEIPT OF APPLICATION FOR GRANT OF

QUARRY LEASE/QUARRYING LICENSE/COMPOSITE LICENSE

Received one application for ......................................(name the minor mineral) in

Sy.No...................

Extent......................(Revenue

land/Forest

land/Patta

land

in.............Village, of ...........Taluk of.......... District from Sri/M/s................ on

(date)...................

Enclosures are as follows:

(1)

(2)

(3)

(4)

(5)

Place:

Date:

Signature of the

Competent Authority

To…....................………………………...

.....................…….……………………….

....................……….……………………..

...................................................................

43

54. Substitution of Form E.- In the said rules, for Form E and the entries

relating thereto, the following shall be substituted, namely:-

“GOVERNMENT OF KARNATAKA

FORM-E

[See sub-rule (1) of rule18]

QUARRYING LEASE/LICENCE

(Specified/Non-specified Minor Mineral)

The INDENTURE made this ................................day of ..........20 .

BETWEEN THE GOVERNOR OF KARNATAKA, (Hereinafter referred to as the "State

Government" which expression shall, where the context so admits be deemed to

include his successors in office and assigns) of the one part and when the

lessee/licensee is an individual.

(1) When the lessee/licence is an individual:

(Name

of

person)...........................................................................of

(Address

and

occupation)

......................................................

................................................... ............... ................................. .... (hereinafter

referred to as "the lessee/licensee" which expression shall, where the context so

admits, be deemed to include his heirs, executors, administrators, representative

and permitted assigns).

(2) When the lessees / licensees are more than one individual,-

(1) (Name of person) ......................................................................of

(Address and occupation) .............................................................................and

(Name of person)........................................of (address and

occupation)........................ of address and occupation

.......................................and

(2) (Name of person) .............................................. (hereinafter referred to as

"the lessee/licensee" which expression shall, where the context so admits, be

deemed to include their respective heirs, executors, administrators, representatives

and other permitted assigns).

(3) When the lessee/licensee is a registered firm:

Name of registered firm...................................................................... and Name of

person/

firm

.......................................

of

(address)..............................................and

(Name

of

person)

.......................................................... of (address) ......................................... all

carrying

on

business

in

partnership

at

(address

of

the

firm

or

syndicate)...................................

registered

under

(Act

which

registered).......................(hereinafter referred to as "the lessee/licensee" which

expression shall, when the context so admits, be deemed to include all the partners

44

of the said firm their representatives, heirs, executors, administrators and

permitted assigns).

(4) The lessee / licence is a registered company:

Name

of

registered

Company...................................................a

company

registered

under

(Act

under

which

incorporated).....................................................................................and

having

its registered office at (address).......................................................................

(hereinafter referred to as "The lessee/licensee" which expression shall, where the

context so admits, be deemed to include ,its successors and permitted assigns). (4)

of the other part.

WHEREAS "the lessee/licensee has/have applied to the Competent Authority

concerned in accordance with the Karnataka Minor Mineral Concession Rules

1994, (hereinafter referred to as the said rules) for a quarrying lease/quarrying

licence for ....................... ........ ...... ...... ...... ...... ...... ...... ... ........ in respect of

the lands described in PART I of the Schedule here under written and has/have

deposited

with

the

State

Government

the

sum

of

rupees..................................................................as security; AND

WHEREAS the Competent Authority, Dept. of Mines and Geology has

communicated his approval to the grant of this lease/licence.

Whereas the lessee has offered the highest bid of rupees. ………………….. (in

words Rupees ……………………………………………….) in the bid/auction held on

…………… for obtaining a quarry lease for …………………………. (name of minor

minerals) and such bid had been accepted by the officer authorized in this behalf

and the lessee has deposited with the Government, a sum of rupees…………… (in

words rupees ……………………………………………….) as performance guarantee

(……% of the annual bid amount for the annual consented quantity fixed in

Environment Clearance) and Shri/Smt/M/s…………………………… resident of

…………………………………………………………………………….Taluk,

……………………………….District ……………….. (referred to as the ‘surety’ which

expression shall where the context so admits, include his heirs, executors,

administrators, representatives) has been offered as solvent surety for the aforesaid

amount and whereas the lessee is in possession of a Income Tax Clearance

Certificate.

NOW THIS LEASE WITNESSETH that in consideration of the rents and

royalties, covenants and agreements by and in these presents and the schedule

hereunder written reserved and contained and on the part of” the lease/licence" to

be paid observed and performed, the State Government hereby grants and demises

up

to"

the

lessee/licensee"

comes

all

those

the

quarries/mines/strata/veins/streams

and

beds

of

...........................................(here state the minerals) hereinafter and in the

scheduled refers to as the said minerals situated, lying and being in or under the

lands which are referred to in Part I of the said schedule, together with the liberties,

powers and privileges to be exercised or (enjoyed in connection herewith which are

45

mentioned in PART II of the schedule subject to restrictions and conditions as to

the exercise and enjoyment of such liberties, powers and privileges which are

mentioned in PART III of the said schedule EXCEPT and reserving out are the

demise up to the State Government the liberties, powers and privileges mentioned

in PART IV of the said Schedule TO HOLD the premises hereby granted and

demised

up

to

"the

lessees/licensees

from

the

.......................................................... day of ..............................................20

........................ for the term of ..............................................years hence next

ensure YIELDING AND PAYING of up to the State Government the several rents

and royalties mentioned in PART V of the said Schedule at the respective times

herein specified subject to the provisions contained in PART VI of the Schedule and

the lessee/lessees/Licensee/Licensees hereby/covenant/covenants with the State

Government as in PART VII of the said Schedule expressed and the State

Government hereby covenants with the lessee/lessees in PART VIII of the Schedule

is expressed AND it is hereby mutually agreed between the parties hereto as in

PART IX of the said Schedule is expressed.

IN WITNESS WHEREOF these presents have been executed in manner

hereunder appearing the day and year first above written.

The Schedule above referred to

PART I

THE AREA OF THIS LEASE/LICENCE

LOCATION AND AREA OF THE LEASE/LICENCE

All that tract of lands situated.......................................................

(village/town) description of area or areas) ................................. in (Mahal/Taluk)

in...............................the Registration District .........Sub-district.....and

District................bearing S.Nos/F.S.Nos/Forest Coup Nos)

............................containing an area of.............................there about delineated

in plan hereto annexed and there on coloured.........................and bounded as

follows:

On the North by

On the South by

On the East by and

On the West of

hereinafter referred to 'the said lands'

46

PART II

LIBERTIES, POWERS AND PRIVILEGES TO BE EXERCISED AND ENJOYED

BY

THE LESSEES/LICENSEES SUBJECT TO THE RESTRICTIONS AND

CONDITIONS

IN PART III

1. To enter upon land and search for mine work etc.,

Liberty and power at all times during the term hereby demised to enter upon said

lands and to search for, mine, quarry, bore dig, drill for win, work, dress, process,

convert, carry away and dispose of the said mineral, minerals.

2. To sink, drive and make pits shafts and inclines etc.,

Liberty and power for or in connection with any of the purposes mentioned in this

part to sink, drive, make, maintain and use in the said lands any pits, shafts,

inclines, drifts, levels, water ways and other works.

3. To bring and use machinery, equipment, etc.,

Liberty and power for or in connection with any of the purposes mentioned in this

to erect, construct and maintain and use on or under the said lands any engines,

machinery plant dressing- floors, furnaces, coke ovens, brick-kilns work-shops,

store-houses, bungalows, godowns, sheds and other buildings and other works and

conveniences of the like nature on or under said lands.

4. To make roads and ways etc., and use existing roads and ways.

Liberty and power for or in connection with any of the purposes mentioned in this

part to make any tramways, railways, roads and other ways in or over the and said

lands and to use, maintain and go and repass with or without horses, cattle,

wagons, locomotives or other vehicles over the same (or any existing tramways,

railways road and other ways in or over the said lands) on such conditions may be

agreed to.

5. To get building and road materials etc.,

Liberty and powers for or in connections with any of the purposes mentioned in

this part to quarry and get, ordinary building stone and gravel and other building

and road materials (except that of specified minor minerals) and ordinary clay and

to use and employ the same and to manufacture such ordinary clay into bricks or

tiles and to use such bricks or tiles but not to sell any such material, bricks or tiles

on payment of royalties prescribed in the said rules.

(Bracketed portion to be deleted in cases the lease/licence is for specified minor

mineral)

6. To use waters from streams etc.,

Liberty and power for or in connection with any of the purposes mentioned in this

part but subject to the rights of any existing or future lessee/ licensee and with the

written permission ............................... .(any officer authorised by the State

47

Government in that behalf) to appropriate use of water from any streams, water-

courses, springs or other sources in or upon the said lands and divert, step up or

dam any such stream or water-course and collect or impound any such water and

to make, construct and maintain any water course, culverts, drains or reservoirs

but not as to deprive any cultivated lands, villages, buildings, or watering places

for livestock of a reasonable supply or water as before accustomed nor in any way

to foul or pollute any stream or springs. Provided that the lessee/licensee shall not

interfere with the navigation in any navigable stream nor shall divert such stream

without the previous written permission of the State Government.

7. To use and for stacking, heaping or depositing purposes.

Liberty and power to enter upon and use a sufficient part of surface of said lands

for the purpose of stocking, heaping, thereon any produce of the mines, quarries

or works carried on and any equipment, earth and materials and substances dug

or raised under the liberties and powers mentioned in this part.

8. Beneficiation and carrying away.

Liberty and power to enter upon and use a sufficient part of the said land to

beneficiate, process, dress, convert the said minerals, produced from the said lands

and

to

carry

away

such

beneficiated/processed,

dressed,

converted

mineral/minerals.

9. To clear brush-wood and to fell and utilise trees, etc.,

Liberty and power for or in connection with any of the purpose mentioned in this

part to fell and use any timber or trees or brush wood now standing or which

hereafter may be standing upon the reserved forest land, included within the said

lands,

provided

that

not

more

than...

....................

..

....

.......................................................square metres or such reserved forest land

shall be cleared in any one year nor the same place of tender than once in every

year and, provided that, the previous permission in writing from the Forest

Department under Forest Department is obtained which permission shall be

granted by the Forest Department from time to time for an area, not

exceeding..........................................acres at a time on written application of the

lessees/licensees to the effect that the lessees/licensees requires/require the

additional area for bonafide and immediate extension of quarrying operation under

this lease/licence and provided also that the exercise of the liberty and power

expressed in this clause shall be subject to the observance of the terms and

condition contained in the other part of this schedule.

10. Special conditions for river bed mining:

In case of river bed mining, in order to ensure safety of river-beds, structure

and the adjoining areas, the following special conditions shall be abide by the lease

holder:-

(a) No mining would be permissible in a river-bed up to distance of five times of the span

of a bridge on up-stream side and ten times the span of such bridge on down-stream

side, subject to a minimum of 250 meters on the up-stream and 500 meters on the

downstream side.

48

(b) There shall be maintained an un-mind block of 50 meters width after every block of

1000 meters over which mining, is undertaken or at such distance as may be directed

by the competent authority:

(c) The maximum depth of mining in the river-bed shall not exceed three meters measured

from the un-mind bed level at any point in time with proper bench formation:

(d) Mining shall be restricted within the central 3/4th width of the river/rivulet.

(e) No mining shall be permissible in an area upto a width specified by the competent

authority from the active edge of embankments:

(f) Any other condition(S), as may be required by the competent authority in public

interest.

PART III

RESTRICTIONS AND CONDITIONS ASTO THE EXERCISE OF THE LIBERTIES,

POWERS AND PRIVILEGES IN PART II.

1. No building etc. upon certain places.

No building or thing shall be erected, set up, placed and no surface operations shall

be carried on in or upon any public pleasure ground, burning or burial ground or

place held sacred by any class of persons or any house or village site, public road

or other place which the State Government may determine as public ground nor in

such manner as to injure or prejudicially affect any building, work, property or

rights of other persons and no land shall be used for surface operations which is

already occupied by persons other than the Government for works or purposes not

included in this lease/licence. They shall not also interfere with any right of way,

well or tank.

2. Permission for surface operations in a land not already in use.

Before using for surface operations any land which has not already been used for

such operations the lessee/ licensee shall give to the Competent Authority, sixty

days previous notice in writing specifying the name or other designation of the

situation and the extent of the land proposed to be so used and the purpose for

which the same is required and the said land shall not be so used if objection is

issued by the Competent Authority within one month after the receipt by him of

such notice unless the objections so stated shall on reference to the State

Government be annulled or waived.

3. To cut trees in unreserved lands.

(a) The lessee/licensee shall not cut or injure any tree in the leased/licensed areas

without the previous sanction in writing of the Competent Authority.

(b) Notwithstanding anything contained in sub-clause (a) the lessee/licensee shall

not cut or injure any tree in leased/licensed area falling within reserved/protected

forest without the previous permission in writing from the Forest Department or

the Officer authorised by the Forest Department in this behalf.

4. Permission for surface operations in a land not already in use.

49

Save as Provided in clause 9 PART II of this Schedule, the lessees/licensees shall

not without the previous sanction from the Forest Department cut down or injure

any timber or trees on the said lands but, may, without such sanction clear away

any brush-wood or under-growth which interferes with any operations authorised

by these presents and notwithstanding anything contained in this schedule shall

not enter upon any reserved forest included in the said lands without seven days

previous notice in writing to the Forest Department or the officer authorised by

the Forest Department.

5. No mining operations within 50 meters of public works etc.,

The lessee/licensee shall not work or carry on or allow to be worked or carried on

any quarrying operations at or to any point within a distance of 50 meters if no

blasting is involved from the boundary of any railway line except with the previous

written permission of the Railway Administration concerned or from the boundaries

of reservoir, canal, high tension electric line or other public works or buildings or

inhabited site except with the previous permission of Government or any other

officer authorised by the Government in this behalf and otherwise than in

accordance with such instructions, restrictions and conditions and either general

or special which may be attached to such permission. The said distances of 50

meters or 200 meters shall be measured in the case of railway, reservoir or canal

horizontally from the outer toe of the bank of the outer edge of the cutting as the

case may be and of building horizontally from the plinth thereof.

6. No mining operations without requisite clearance:

The Lessee or Licence shall not undertake any quarrying operations in the

area granted quarrying lease/licence without obtaining approved quarrying plan

and Environmental Clearance from the concerned authority as required for

undertaking quarrying operations.

7. Facilities for adjoining Government licenses and leases.

The lessee/licensee shall allow existing and future holders of Government licenses

or leases over any land which is comprised in or adjoins or is reached by the land

held by the land held by the lessee/licensee reasonable facilities of access thereto.

Provided that no substantial hindrance or interference shall be caused by such

holder of licenses or leases to the operations of the lessee/licensee under these

presents and the lessee/licensee shall be entitled to compensation as may be

mutually agreed upon between the lessee/licensee and such holders and in the

event of disagreement such fair compensation may be determined by the

Competent Authority or any other officer authorised by the State Government in

respect of all loss or damage sustained by the lessee/licensee by reason of or the

exercise of this liberty.

If the said lands or part thereof are forest lands, the lessees/licensees shall take

all steps to ease the slopes and restore top soil in lands worked out, exploited or

50

mined and it shall be open to the Government to afforest such lands even during

existence of the lease.

8. Protection of environment:- Every holder of a quarrying Lease/Licence or a lease

shall take all possible precautions for the protection of environment and control of

pollution while conducting quarrying, mining or processing minor mineral in the

area for which such license lease is granted.

9.Removal and utilization of top soil:-

(1) Where top soil exists and is to be excavated for quarrying operations for minor

mineral, it should be removed separately.

(2) The top soil so removed shall be utilized for restoration and rehabilitation of the

land which is no longer required for quarrying operations or for stabilizing or

landscaping the external dump.

(3) Where top soil cannot be used concurrently, it shall be stored separately for

future use, keeping in view that the bacterial organism should not die and

should be spread nearby area.

10. Storage of overburden, waste rock etc:-

(1) The overburden, waste rock and non-saleable minor mineral generated during

quarrying operations for minor mineral shall be stored separately in properly

formed dumps on grounds earmarked.

(2) Such dumps shall be properly secured to prevent the escape of material in

harmful quantities which may cause degradation of the surrounding land or

silting of water course.

(3) Wherever possible, such waste rock or overburden or other rejects, shall be

backfilled into the worked out minor mineral quarry, where minor mineral has

bee recovered up-to the optimum depth, with a view to restore the land to its

original use or desired alternate use, as for as possible and where the backfilling

is not feasible, the waste dumps shall be suitably terraced and stabilized by

planting vegetation or otherwise.

1. (i) Reclamation and Rehabilitation of lands:-Every holder 0f Quarrying lease/ licence

shall undertake the phased restoration, reclamation and rehabilitation of land affected

by quarrying or mining operation and shall complete this work before the completion

of such operations and abandonment of quarrying.

(ii) Restoration, Reclamation and Rehabilitation in a cluster:-Where large number of

small mines are situated and worked out in clusters, at such places the provisions

of quarrying of minor minerals should be done in a systematic and scientific

manner. The programme of restoration and reclamation of the mined out area and

rehabilitation mush be made jointly in phased manner in the abandoned areas in

the entire cluster of the minor minerals. Environmental clearance may be obtained

by corporate body or the concept of Regional Environmental Assessment (REA) and

Regional Environmental Management Plan REMP) prepared accordingly.

2. Precaution against air pollution:-Air pollution due to dust, exhaust emissions or fumes

during prospecting, mining or processing operations for minor minerals and related

51

activities shall be controlled and kept within permissible limits specified under any

environmental laws for the time being in force.

3. Discharge of effluents:- Every holder of a prospecting license or a lease shall take all

possible precautions to prevent or reduce to a minimum the discharge to toxic and

objectionable liquid effluents from minor mineral quarry, workshop or processing plant

into surface of ground water bodies and usable lands. These effluents shall conform to

the standards laid down in this regard.

4. Precaution against noise:-Noise arising out of quarrying, mining and processing

operations for minor mineral shall be abated or controlled by the holder of quarrying

lease/license or a lessee at the source so as to keep it within the permissible limits.

5. Permissible limits and standards:-The standards and permissible limits of all

pollutants, toxins and noise referred to in Rule-48, 49 and 50 above shall be those

notified by the concerned authorities under the provisions of the relevant status from

time to time.

6. Restoration of Flora: - (1) Every holder quarrying lease/license shall carry out quarrying

or mining operations as the case may be, in such a manner so as to cause least damage

to the flora of the area held under quarrying lease/license in the nearby area.

(i)Take immediate measures for planting in the same area or any other area selected

by concerned authority or Regional Office of MOEF or the authorized officer not less

than twice the number of trees destroyed by reason of any quarrying operation.

(ii) Look after them during the subsistence of the license or lessee after which these

trees shall be handed over to the state Forest Department or any other authority as

may be nominated by the State Government.

(iii) Restore, to extent possible, other flora destroyed by quarrying lease/license.

7. Details regarding water management:- (a) Accumulated non-potable rain water shall be

dewatered and diverted to nearby pond/aquifer/river/nallah, catchment area by

providing suitable pipeline or drains or link canals or water harvestings, as the case

may be without harming the environment.

(b) if quarry depth intercepts the ground water table, necessary consultation be

made with central groundwater board/State groundwater Department and

implement such of the suggested remedial measures thereof.

8.Periodical examination of air, water and noise pollution after sanction.- Periodical

examination of air, Periodical examination of air, water and noise pollution after

sanction of quarry lease/licence/working permission shall be monitored by the

concerned Regional Officer of the State Pollution Control Board and results shall

be intimated to concerned Regional Environment Management Committee at least

once in six months.

9.Duties and Obligations of lessee/licensee/permission holder.- (a) The quarry

works shall be provided with safety equipments.

(b) The quarry workers shall be provided with blasting shelters, along with sirens

if necessary, flags, rest shelters and with a drinking water.

(c) Regular health checkup camps for the workers engaged in quarry shall be

organised and maintain First Aid Kit at the quarry site.

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(d) Occupational health surveillance program of the workers shall be undertaken

periodically to observe any contractions due to exposure to dust take corrective

measures, if needed.

(e) No bonded and child labours shall be engaged in quarry workings.

(f) Exhibit social responsibility towards local needs.

PART IV

LIBERTIES, POWERS AND PRIVILEGES RESERVED TO THE STATE

GOVERNMENT

1. To work other minerals.

Liberty and power for the State Government or any lessee/licensee or persons

authorised by it in that behalf to enter into and upon the said lands and to search

for, win, work, dig, get, raise, dress, process, convert and carry away any minerals

other than the said minerals and any other substances, and for those purposes to

sink, drive, make, erect, construct, maintain and use such pits, shafts inclines,

drifts, levels and other lines, waterways, airways, water courses, drains, reservoirs,

engines, machinery, plant buildings, canals, tramways, railways and other work

and conveniences as may be deemed necessary or convenient Provided that in the

exercise of such liberty and power no substantial hindrance or interference shall

be caused to with the liberties powers and privileges of the lessee/licensee under

these presents and that the lessee/licensee shall be entitled to such fair

compensation as may be mutually agree upon or in the event or disagreement as

may be determined by the Competent Authority appointed by the State Government

in respect of all loss or damage sustained by the lessee/licensee by reason or in

consequences, of the exercise of such liberty and power.

2. To make railways and roads.

Liberty and power to the State Government or Central Government to construct

any road, railway or canal reservoir or to carry electric or telephone lines in or over

the lands under the lease/licence is reserved. Provided that before such liberty or

power is exercised a notice of not less than thirty days shall be given to the

lessee/licensee and the area utilised by the Government for any of the aforesaid

purpose shall be excluded from the area under the lease/licence and

lessee/licensee will not be entitled to claim any compensation for such exclusion.

3. Liberty and power to the State Government to determine, at any time by giving

to the lessee/licensee a notice in writing the lease/licence if the area for which the

lease/licence has been granted or any part thereof is required by the State

Government for any public purpose and a declaration under the signature of the

Director that the area, or as the case may be, the part of the area is so required

shall, as between the lessee/licensee and the Government, be conclusive. On the

determination of the lease/licence under this power the area under the

lease/licence shall be resumed by the Government and the lessee/licensee shall be

53

paid such compensation as may be determined by an officer appointed by the

Government for the purpose and in assessing the amount of compensation, the

officer so appointed shall be guided by the principles laid down in the Right to Fair

Compensation and Transparency In Land Acquisition, Rehabilitation and

Resettlement Act, 2013, for such assessment.

3. Termination of the Lease/Licence:-

The competent authority shall have the right to suspend or prematurely terminate

the Lease/Licence,-

(a) If the royalty or surface rent or any other amount due to the Government are

not paid;

(b) If any of the terms and conditions of the permit agreement or conditions of grant

or permission to undertake mining by any other statutory authority/competent

authority is violated; and

(c) If any of the provisions of these rules and other laws both Central and State as

are applicable to mines and minerals, are not complied with:

Provided that, no orders of suspension or termination of the permit shall be

passed by the competent authority without giving reasonable opportunity to show

cause and following the procedure prescribed in the rules.

Provided further that, in case of default in payment of Government dues such

as permit money, royalty, dead rent or any other dues payable under these

presents, the permit may be terminated by the competent authority without

affording hearing to the permit after serving upon a notice to make good the

payment within thirty days: Provided further that the competent authority may

also at any time after issuance of the notice for default on account of nonpayment

of dues, enter upon the said premises and detrain all or any of the mineral or

movable property therein and may carry away, detain or order the sale of the

property so detrained, or so much of it as will suffice for the satisfaction of the

permit money or rent or royalty or both dues and all costs and expenses occasioned

by the non-payment thereof.

4. Suspension of Mining operations:

The competent authority may order to suspend the quarrying operations after

serving a notice to the lessee/ licencee, in case, the following violations are noticed.-

(a) Unsafe and unscientific mining; or

(b) Non providing of safety appliances to the workers; or

(c) Nonpayment of compensation to the surface owners; or

(d) Non submissions of monthly returns.

In case of violations of the aforesaid conditions and also any other terms and

conditions of the agreement deed and the provisions of the rules, the competent

authority may give a notice to the Lease/Licence holder to remedy the violations

within a period of fifteen days from the date of issue of the notice. In case the

violations pointed out through authority may after affording an opportunity of

being heard to the Permit holder, order the suspension of the mining operations till

such time, the defaults/ defects are removed by the Lease/Licence holder within

54

the time frame granted by the competent authority. During the period of

suspension of mining operations, the Lease/Licence holder will be allowed only to

undertake rectification work for removal of the defects and shall not dispose off the

mineral: During the suspension period, the Lease/Licence holder shall be under

the obligation to deposit the amount of the Govt. dues on the dues dates. On

satisfactory removal of the defects, the competent authority may revoke the

suspension orders with or without any modification. Non removal of the defects or

defaults during the suspension period and within the time allowed by the

competent authority, shall lead to premature termination of Lease/Licence.

PART V

RENT AND ROYALTIES RESERVED BY THIS LEASE

1. Rate of mode of payment of Dead Rent.

As from the day of .......................20, during the subsistence of lease/licence, the

lessee/licensee shall pay the dead rent in advance at Rs................................. per

Acre per annum as per Schedule 1 in accordance with Rules.

2. Rate of mode of payment of royalty.

The lessee/licensee shall, pay royalty in advance to Government in respect of minor

minerals removed or consumed by him or his agent, manager, employee, contractor

or buyer at the rates prescribed in Schedule in accordance with the Rules.

3. Mineral Despatch Permits.- The lessee/licensee or his agents, managers,

employees, contractors or buyers/consumers shall not move the mineral quarried

without obtaining valid Mineral Despatch Permit (in short PERMIT) issued by the

Competent Authority under these rules.

4. Penalty.- Any lessee/licensee or his agents, managers, employees, contractors,

consumers or buyers contravening the above clause and transport mineral without

valid PERMIT, such persons shall be punishable as per the provisions of rules 43,

43-A and 44(3), 44(3-A), 44 (4) of these rules.

PART VI

PROVISIONS RELATING TO THE RENTS AND ROYALTIES

1. Rent and royalties to be free from deduction etc,.- The rents and royalties in

PART V of this Schedule shall be paid free from any deductions to the State

Government at District -Sub Treasury at............................................and in such

manner as the Competent Authority may prescribe.

2. Mode of computation of royalty.- For the purpose of computing the said royalties

the lessee/licensee shall keep a correct account of the mineral/ minerals actually

produced from the quarries/mines, lands and despatched from the quarry and

maintained stock, in the form prescribed by Government/Competent Authority.

The lessee/licensee shall also keep a correct account of the number of persons

employed therein and shall also maintained a complete set of plans and cross

sections of the quarry and furnish to the Competent Authority concerned such

information, reports and returns as required from time to time under these Rules

55

together with representative samples of minerals and processed materials from the

same obtained during the operations. The accounts as well as quantity (in volume

or in weight as the case may be) of the mineral/minerals in stock or in the process

of dispatch from the quarry may be checked by any officer authorised by the State

Government and or by the Competent Authority.

3.Course of action if rents and royalties are not paid in time.-

(a) Should the royalty and/or rent reserved and made payable by the

lessee/licensee is not paid within thirty days after the date fixed in

lease/licence for the payment of the same, State Government may enter upon

the premises and restrain all or any of the mineral or beneficiated /processed

or movable property there and may order the sale of the property to restrained

or so much of it as will suffice of the satisfaction of the rent and royalties due,

and all cost and expenses occasioned by the non-payment thereof.

(b) If the lessee or licence makes any default in the payment of royalty or dead rend

payable under rule 36, the competent authority shall give notice to such lessee

or licences, requiring him to pay the royalty or dead rent within sixty days

from the date of receipt to the notice, failing which the competent authority

may, without prejudice to any other action that may be taken against lessee

or licence the lease of licence or forfeit the whole or part of the Security

Deposit.

(c) Any rent, royalty, additional payment, tax, fees, penalty or other sums due to

Government under said Rules of under this lease/licence shall be recovered

as arrears of land revenue on the basis of certificate issued by the Competent

Authority as under these rules and concerned Act.

4. Stocks lying at the end of the quarry lease/licence.- The quarry lease/licence

holder on expiry of the quarry lease/licence period (successful completion of the

quarry lease/licence) shall remove already extracted all of the mineral from the

premises of the quarry within a period of six months. In case any quantity of the

already extracted mineral, in the said land is left undisposed off and is not removed

within six months from the date of expiry of the period of quarry lease/licence the

same shall be deemed to be the property of the Government who may dispose it off

in any manner it may like without pay anything thereof to the quarry lease/licence

holder.

PART VII

THE COVENANTS OF THE LESSEES/LICENSEES

1. Lessees to pay Dead rent, royalties and additional payment

(1) The lessee/licensee shall pay Dead rent, royalties and additional payment

reserved by this lease/licence at such times and in the manner provided in PARTV

and VI of these presents and also may and discharge all taxes, cesses, rates

assessments and impositions whatsoever being in the nature of public demands

which shall from time to time be charged, assessed or imposed by the authority of

56

the State Government upon or in respect of the premises and works of the

lessee/lessee in common with other premises and works of alike nature except

demands for land revenues.

Where the quarrying lease is granted by competitive bid/auction under

Chapter-IV-A of KMMCR-94:- the highest bid received in the auction at the rate of

………… per annum shall become the ‘annual dead rent’ amount payable by the

lessee. The rate of annual dead rent initially determined on the basis of competitive

bids/auctions shall be increased @ ….% on completion of each block of three years:

Provided that, if the lease permits the working of more than on minor mineral

in the same area, the Government may charge separate dead rent in respect of each

minor mineral.

Provided further that, the mining one minor mineral does not involve the

working of another minor mineral.

Provided also that, the lessee shall be liable to pay the dead rent or royalty

in respect of each mineral, whichever be higher but not both.

Provided also that, lessee shall deposit the dead rent at the rates as revised

and notified from time to time by the State Government.

2. Amount to be deposited on account of District Mineral Foundation Trust Fund.-

Where the lessee/licensee shall also deposit/pay an additional to Royalty an

amount as prescribed in 36-A of these rules, towards the ‘District Mineral

Foundation Trust Fund’.

3. To maintain and keep boundary marks in good order.- The lessee/licensee shall

at his own expenses erect and at all times maintain and keep in repairs boundary

marks and pillars according to the demarcation to be shown in the plan annexed

to this lease/licence. Each of the pillars should be numbered and every pillar shall

have Differential Global Positioning System (DGPS)/GPS readings. Such marks

order and pillars shall be sufficiently clear of the shrubs and other obstructions as

to allow easy identifications.

4. To commence operations within a year and work in a workman like manner.-

Unless the Competent Authority for good cause permits otherwise the

lessee/licensee shall commence operation within a year from the date of execution

of the lease/licence and shall thereafter at all times during the continuance of this

lease /licence search for, win, work and develop the said minerals without

voluntary intermission in proper skilful and workmanlike manner without doing or

permitting to be done any unnecessary or avoidable damage the surface of the said

lands or the crops, buildings or other property thereon. The lessee/licensee shall

prevent waste by removal of overburden, careful storage of waste, drainage and

removal of valuable minerals. For the purpose of this clause quarrying operations

shall include the erection of machinery, laying of a tramway or construction of a

road in connection with the quarry. The lessee/licensee shall not dump the

overburden or waste rock or mineral on the workable deposit. If lessee/licensee

does not find suitable place to dump the waste material generated from the quarry

57

within the leased/licensed area he may dump in nearly Government land obtaining

prior approval from Competent Authority in writing.

5. To indemnify Government against all claims.- The lessee/licensee shall make

and pay such reasonable compensation as may be assessed by lawful authority in

accordance with the law in force on the subject for all damage, injury or

disturbance which may be done by him in exercise of the powers granted by this

lease/licence and shall indemnify and keep indemnified fully and completely State

Government against all claims which may be made by any person or persons in

respect of any such damage, injury or disturbance and all costs and expenses in

connection therewith.

6. To secure and keep in good condition pits shafts etc.,- The lessee/licensee shall

during the subsistence of this lease/licence well and sufficiently secure and keep

open with timber or other durable means all pits shafts and make and maintain

sufficient fences to the satisfaction of the State Government round every such pit,

shaft or working in the said lands, except such as may be abandoned accessible

free from water and foul air as far as possible. The lessee/licensee shall also take

adequate steps to ensure that:

(a) heights and widths of trenches in open quarries are properly maintained to

facilitate easy removal of the mineral and the muck;

(b) The working faces are always kept clean;

(c) The mineral and or beneficiated, processed dressed products there from won are

stacked in suitable dimensions and each such stock is numbered or marked in

a manner prescribed by the Competent Authority; and

(d) The proper sanitation of the area leased/licensed to him maintained.

7. To strengthen and support the quarry to necessary extent.- (1) The

lessee/licensee shall strengthen and support to the satisfaction of the Railway

administration concerned or the State Government or any other Competent

Authority controlling the provisions or any law for the time being in force relating

to the working of quarries and matters affecting safety, health and labour matter

as the case may be any part of the quarry which in its opinion requires such

strengthening or support for the safety of any railway, reservoirs, canal, road high

tension electric line and other public works or structures.

(2) The lessee/licensee shall submit from time to time or when required, progress

reports to the Director of Mines and Geology, along with analysis and representative

samples of the minerals collected during the quarrying operations as also the

periodical returns prescribed in the said Rules or in the manner prescribed by him

from time to time.

(3) The lessee/licensee shall submit to the Director of Mines and Geology, the

Competent Authority and any other officer as may be specified by the Director of

Mines and Geology in this behalf, quarterly returns in FORM-Q and annual returns

in FORM-Y appended to the said Rules, for each financial year ending 31st March,

before the 31st April of the succeeding year, and to allow inspection of working.

58

8. To allow inspection of working.- The lessee/licensee shall allow any officer

authorized by the Central Government or the State Government or the Competent

Authority or the Director of Mines and Geology under the said rules in that behalf

to enter upon the premises including any building excavation or land comprised in

the lease/license for the purpose of inspecting, examining, surveying and making

plans thereof, sampling and collecting any data and the lessee/licensee shall with

proper person employed by the lessee/licensee and acquainted with the

mine/quarry and works effectively assist such officers, agents servants and

workmen in conducting every such inspection and shall afford them all facilities,

information connected with the working of the quarry which they may reasonably

require. Such officer may issue such reasonable directions as he may deem fit to

prevent wasteful extraction of minerals and it shall be the duty of the

lessee/licensee, his/their agent/manager to carry out directions

within such period as the officer may specify if the lessee/licensee, his agent or

management fails to carry out such directions within the specified period, the

Competent Authority may determine the lease/licence or may impose a penalty not

exceeding twice the amount of the annual dead rent.

9. To report accidents.- The lessee/licensee shall report all accidents to the Director

of Mines and Geology the District magistrate and the District Superintendent of

Police concerned, in case of any accident causing death or serious bodily injury or

serious injury to property or seriously affecting or endangering life or property

which may occur in the course of the operations under this lease/ licence, the

lessee /licensee shall send a complete report without any delay of such an accident

to the said officers.

10. To report discovery of other minerals.- Whenever the lessee/licensee shall find,

in the said lands, any mineral other than the said mineral the lessee /licensee shall

immediately report such discovery in writing to the Competent Authority with full

particulars of the nature and position of each such find.

11. The lessee/licensee shall, at all times.- During the said term keep or cause to

be kept, at an officer to be situated upon or near the said lands, correct and

intelligible books of accounts which shall contain accurate entries, showing from

time to time;-

(a) Quantity and quality of the said mineral/minerals realised from the said lands;

(b) Quantity of the various qualities of the said mineral/ minerals beneficiated,

processed or converted,

(c) Quantities of the various qualities of the said mineral/minerals sold at the

quarry head or despatched to any mineral processing units, granite cutting

and polishing units within the country and quantity exported and the manner

and purpose of such sale and disposal;

(d) Details of royalty paid and PERMITS obtained,

(e) The prices and all other particulars of all sale of the said mineral/minerals;

(f) The number of persons employed in the mines or work or upon the said lands

specifying nationality, qualifications and pay of the technical personnel,

59

(g) Such other facts, particulars and circumstances as the Competent Authority or

the Director of Mines and Geology may from time to time require and shall

also furnish of charge to such officers and at such times they may prescribe

true and correct abstracts of all or any such books of accounts and shall at

all reasonable times allow such officers or any other officers as the State

Governments shall, in that behalf appoint, to enter in to and have free access

to, for the purpose of examining and inspecting the said books of accounts

and to make copies thereof and to make extracts there from.

12. To maintain plans etc.- The lessee/licensee shall at all times during the said

term maintain at the quarry office correct, intelligible, up to-date and complete

Contour and Geological plans and cross sections of the quarries in the said lands.

They shall show all the operations, workings, and all the trenches, pits and drillings

made by the lessee/licensee in the course of operations carried on by him/them

under the lease/licence. The lessee/licensee shall update such quarry planes and

section at the end of each year or any period specified from time to time and the

lessee/licensee shall furnish free of charge such plans, sections and mineral

specimens, to the Competent Authority whenever these required. Accurate records

of all trenches, pits and drillings shall show:-

(a) The sub-soil and strata through which they pass.

(b) Any other minerals encountered.

(c) Any other matter of interest and all data required by the State Government the

Competent Authority from time to time.

13. To abide by the provisions of the laws in force in respect of labour welfare,

safety measures, ecology and environment.- (1) The lessee/licensee shall be bound

by the provisions of To abide by the provisions any laws for the time being in force

of the laws in force in relating to ecology and environment, of the laws in force in

the working of the quarries (Mines respect of labour welfare, and minerals) and

matters affecting safety measures, ecology safety, health and convenience of and

environment. The lessee/licensee employees or the public. The lessee/licensee

shall abide by the conditions laid down in the payment of wages Act 1936 (Central

Act IV of 1936), the Mines Act 1952(Central Act XXXV of 1952), the Metalliferous

Mines Regulations, 1961 the Indian Explosives Act 1984 (Central Act of IV of 1884)

and the Water and Air (prevention and control of pollution) Act 1974.

(2) The lessee/licensee shall respect all existing rights of way, water and other

basements and shall not carry on mining/quarrying or other operations under the

said lease/licence in any way than as prescribed under the Rules.

14. Responsibility of sand lease/license holder.- Sand quarrying activity shall take

place only in accordance with terms and conditions of the environmental clearance

and the lease deed or licence under these rules and methods approved in the quarry

plan, the lessee may stone the sand beyond 20 meter but within 200 meter or such

distance from the river bank area as may be decided by the competent authority

depending on the geographical condition from the river bank. The lessee shall make

his own arrangements for same;

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15. Notice for use of explosives, etc:- The lessee shall immediately give notice in

writing to the following authorities, namely:-

(1) The concerned Deputy Director General, Mines Safety;

(2) The concerned District Magistrate;

(3) The concerned Deputy Director/Senior Geologists; and

(4) The Office-in-charge as soon as,-

(a) The working in the mines extend below superjacent ground; or

(b) The depth of any open cast excavation measured from its highest to the

lowest point reaches six meters; or

(c) The number of persons employed on any day is more than 50; or

(d) Any explosives are used.

16. Government indemnified from paying compensation for in-jury to third parties.-

The lessee/ licensee shall make and pay reasonable compensation for all damage,

injury disturbance to person or property which may be caused by or on the part of

lessee/licensee in exercise of the liberties and power granted by these presents and

shall at all times have harmless and kept indemnified the State Government from

and against all suits, claims and damages which may be brought or made by any

person or persons in respect of any such damage, injury or disturbance.

17. Not to obstruct working of other minerals.- The lessee/licensee will exercise the

liberties and powers hereby granted in such a matter as to offer no unnecessary or

reasonable avoidable obstructions interruption to the development and working

within the said lands of any minerals not included in this lease/licence and shall

at all times afford to the Central and State Government and to the holder quarrying

lease, of quarrying licence and prospecting licence or mining lease in respect of any

such minerals or any minerals within any land adjacent to the said lands as the

case may be reasonable means of access and safe and convenient passage upon

and across the said lands to such minerals for the purpose of getting working,

developing and quarrying away the same provided that the lessee/licensee shall

have receive reasonable compensation for any damage or injury which he may

sustain by reason or in consequence of the use of such passage by such

lessee/licensee or holders of prospecting licences.

18. Lessee shall deposit any additional amount necessary equal to the security

deposit.- (1) Whenever the security deposit as provided in the 9(1) and 21(1) of the

said rule or any part thereof or any further sum hereafter deposited with the State

Government in replenishment thereof shall be forfeited or applied by the Competent

Authority pursuant to the power hereinafter declared in that behalf the

lessee/licensee shall deposit with the State Government such further sum as may

be sufficient with the un appropriated part thereof to bring the amount in deposit

with the State Government up to the sum of equal to the said full security deposit

amount.

(2) Delivery of working in good order to State Government after determination

of lease. The lessee/licensee shall at the expiration or sooner determination of the

61

said term or any renewal thereof deliver up to the State Government all mines,

quarries, pits, shafts, inclines, other works now existing or hereafter to be sunk or

make on or under the said lands except such as have been abandoned with the

sanction of the Competent Authority in an ordinary and fair course of working all

engines, machinery, plant, buildings, structures, other works and conveniences

which at the commencement of the term were upon or under the said lands and all

such machinery set up the lessee/licensee below ground level which cannot be

removed without causing injury to the mines, quarries or works under the said

lands (except such of the same as may with the sanction of the Competent

Authority) and all buildings and structures of bricks or stone erected by the

lessee/licensee above ground level in good repaired order and condition and fit in

all respects for further working of the said mines and the said minerals.

19. Right of pre-emption.- (1) The Government shall from time to time and all times

during the said term have the right to be exercised by notice in writing to the

lessee/licensee or pre-emption of the said minerals and all products thereof, lying

in or upon the lands hereby demised or elsewhere under the control of the

lessee/licensee shall with all possible expedition deliver all minerals or products of

minerals purchased by the State Government under the power conferred by this

provision be exercising the said right.

(2) In the event of the existence of State or War or emergency (of which

existence the President of India shall be the sole judge and a notification to this

effect in the Gazette of India shall be conclusive proof) the State Government with

the consent of the Central Government shall from time to time and at all times

during the said term have the right to be exercised by a notice in writing to the

lessee/licensee shall forth with take possession and control of the works plant,

machinery premises of the lessee/licensee on or in connection with the said lands

or preparations under this lease/licence and during such possession or control the

lessee/licensee shall confirm and obey all directions given by or on behalf of the

Central or State Government regarding the use of employment of such works,

plants, premises and minerals:

Provided that, after compensation which shall be determined in default of

agreement by the State Government shall be paid to the lessees/licensee or all loss

or damage sustained by him/them by reason or in consequence of the exercise of

the powers conferred by this clause..

Provided further that, the exercise of such powers shall not determine the

said term hereby granted or affect the terms and provisions of their presents further

than may be necessary to give effect to the provisions of this clause. The

Government or the Competent Authority shall have the right to dispose of the minor

mineral waste generated during the course of quarrying in accordance with the

provision of Schedule-II.

20. Not to light fire in Forest Areas.- The lessee/licensee shall not light any fire

upon the said lands if lying within the reserved forest except under such conditions

as the Forest Department may in writing specify and the lessee/licensee and

62

his/their workmen and employees shall render prompt assistance in extinguishing

any fire on the said lands or in their vicinity. The lessee/licensee shall be liable for

all damage resulting from fire caused by the act or omission of the lessee/licensee

or his/their employees and shall pay such compensation for the Forest

Department. The decision of the Forest Department as the amount of compensation

payable by the lessee/licensee shall be final and binding on the lessee/licensee.

21. No right over produce other than minerals ores mentioned in the lease/licence.-

(1) The lessee/licensee shall not remove any other produce except the minor

mineral mentioned in this lease. The lessee/licensee shall without delay, report to

the Competent Authority and the Director of Mines and Geology, the discovery in

this areas, comprised in his/their lease/licence of any minerals not specified in the

lease,.

(2) If any mineral/s not specified in the lease/licence is/are discovered in the

leased/licensed area he/they shall not win and dispose of such mineral/s, without

obtaining lease/licence therefore. If he fails/they fail to apply for such lease/licence

within three months from the discovery of the said mineral/minerals, the

Competent

Authority

may

grant

a

lease/licence

in

respect

of

such

mineral/minerals to any other person/persons in respect of such mineral/minerals

to any other person/persons,

(3) Without the prior permission of the Director of Mines and Geology the

lessee/licensee shall not use the minor minerals quarried under these rules for a

purpose which will classify them as major minerals.

(4) The lessee/licensee shall make available to the Government of India, beryl

or any other "Substance prescribed" under section of the Atomic Energy Act (XXIX

of 1948) if they are found to occur in the said lands.

(5) The State Government shall be immune from the lessee/licensee claims

for damage and account or any land having been included in this lease which may

subsequently be discovered not have been available for the lease.

(6)The lessee/licensee or his assignees shall not erect any building in

contravention of the provisions of any law for the time being in force relating to the

erection of buildings or in contravention of any order is issued by any officer or

authority composed to issue such order any such law within whose jurisdiction the

leased area is situated.

(7) The lessee/licensee shall abide by such reasonable instructions and

direction as may be issued by the Director of Mines and Geology from time to time

regarding conservation and development of minerals.

(8) The lessee/licensee shall minimise the air and water pollution keeping in

view the local atmosphere/environment.

63

PART-VIII

THE COVENANTS OF THE STATE GOVERNMENT

1. Lessee may hold and enjoy rights quietly.-Lessee/licensee paying the rents

and royalties hereby reserved and observing and performing all the covenants and

agreements herein contained and on the part of the lessee/licensee is to be

observed and performed shall and may quietly hold and enjoy the rights and

premises hereby demised for and during the term hereby granted without any

unlawful interruption from or by the State Government, or any person rightfully

claiming under it.

2. To renew.- If the licensee be desirous of taking licence of the premises

hereby demised or of any part of them for a further term on the expiry of the term

hereby granted and if he/they give the Competent Authority an application in

writing ninety days before the expiry of the licence as prescribed in the said Rules,

and shall pay the rents and royalties hereby reserved and shall observe and

perform the several covenants and agreements herein contained and on the part of

the licensee to be observed and performed up to the expiration of the term hereby

granted the Competent Authority will upon his/their executing and delivering to

the State Government if required a counterpart thereof execute and deliver to the

licensee a renewal lease/licence of the said premises for the further term not

exceeding the term of this licence at such rents and royalties and no such terms

and subject to such covenants and agreements including this present covenants to

renew as shall be in accordance with the said Rules applicable to

................................ (name of minerals) on the day next following the expiration of

the term hereby granted.

3. Liberty to surrender the Lease/Licence.-The lessee/licensee shall be at

liberty to surrender this lease /licence by giving notice of not less than three

months in writing to the Competent Authority and no fresh liability shall accrue to

the lessee/licensee from the date of such surrender provided that all the

Government dues on rents, royalties and taxes shall be cleared off arising upon the

date of the surrender.

4. Refund of security deposit.-On such date as the Competent Authority may

within two months after the determination to this lease or of any renewal thereof,

the amount of the security deposit paid in respect of this lease and than remaining

in deposit with the State Government and not required to be applied to any of the

purpose mentioned in this lease shall be refunded to the lessee/licensee. No

interest shall run on the security deposit.

64

PART IX

GENERAL PROVISION

1. Breach of Conditions.- In case of breach of any of the conditions of the

lease other than mentioned in clause 2 and 3 of this part, then the Competent

Authority may require the lessee/ licensee or his/their assigns to pay penalty not

exceeding an amount equivalent ten times in the amount of the annual dead rent.

2. Obstruction to inspection.- In case lessee/licensee or his/their assignees

does/do not allow or obstruct entry or inspection, by the Officers authorised by the

State Government, the Competent Authority may cancel the lease and forfeit the

whole or part of the deposit made under these rules.

3. In case the lessee/licensee or his/their assignees commit any breach of

any of the conditions specified in the clauses, sub-rule (1) to (2) of rule 6 of the said

Rules then and in any such case the Competent Authority shall give notice in

writing to the lessee/licensee or his/their or assignees as the case may be, asking

him/them to remedy the breach within thirty days from the date of the notice and

if the breach is not remedied within such period the Competent Authority under

the said rules may determine the lease provided that nothing therein contained

shall debar the State Government from enforcing any other right or remedy that

the State Government may have against the lessee/licensee or his assignees under

any other provisions herein contained.

4. To pay penalty in case of breach.- In case of the breaches of the covenants

and agreements by the lessee/licensee or any other officer authorised by the

Government on which aforesaid notice has been given the Competent Authority

under the said rules in lieu of giving notices, may impose such penalty appropriate

in accordance with the sub-rule(3) of rule 6.

5. If the lessee/licensee ceases/cease to work the quarry for a continuous

period of one year the lease/licence shall liable to cancellation as per the rules:

Provided that, the lease/licence shall not be cancelled if the lessee/licensee

are prevented from working the quarry owing to some reasonable cause or if the

lessee/licensee ceases/cease to work with prior permission of the Competent

Authority.

6. Interpretation.- If there is any dispute regarding their lease/licence or any

other matter or thing construction of a term or condition in the lease/licence

anything connected with the quarries or minor minerals specified in this

lease/licence or the working or non-working of the quarry operated under this

lease/licence, the amount of payment of royalty or dead rent or its mode of payment

to the Competent Authority it shall be referred to the State Government whose

decision shall be final and binding on the lessee/licensee.

7. Lessee/Licensee to remove his properties on the expiry of lease.- The

lessee/licensee having first paid and discharged the rents and royalties payable by

virtue of these presents may at the expiration or sooner determination of the said

terms or within three months thereafter (unless the lease/license shall be

65

determined under clause 1 and 2 of this PART and in that case at any time not less

than three calendar months after such determination), take down and remove for

his own benefit all or any engines, machinery plant, buildings, structures,

tramways, railway, railways other works, erection and conveniences which may

have been erected, set up or placed by the lessee/licensee in or upon the said lands

and which the lessee/licensee is/arrears bound to deliver to the State Government

under clause 18 of PART VII of this Schedule and which the State Government shall

not desire to purchase.

8. Forfeiture of property left more than six months after determination of

lease.- If at the end of six months after the expiration or sooner determination of

the said term or after the date from which after determination of lease any

surrender by the lessee/licensee of part under the provisions contained in clause

3 of PART VIII of this schedule become effective there shall remain or upon the said

land or the surrendered part or parts thereof the case may be any engine,

machinery, plant, building, structures, tram ways, railways and other work,

erections and conveniences or other property which are not required by the

lessee/licensee in connection with his/their operations in these parts of the said

lands which he/they has/have surrendered or in any other lands held by

him/them under quarrying lease the same shall not remove by the lessee/licensee

within one calendar month after notice in writing requiring their removal has been

to the lessee/licensee by the State Government be deemed to become the property

of the State Government and may be sold or disposed of in such manner as the

State Government shall deem fit without liability to pay compensation or to the

lessee/licensee in respect thereof.

9. Service of notice.- Every notice by these present required to be given to

Service notice. the lessee/licensee shall be given in writing to such person resident

on the purpose of receiving such notices and if there shall have been no such

appointment then every such notice shall be sent to the lessee/licensee by the

registered post addressed to the lessee/licensee at the address recorded in this

lease/license or at such other address in India as the lessee/licensee may from

time to time in writing to the State Government designate for the receipt of notices

and every such service shall be deemed to be proper and valid service upon the

lessee/licensee and shall not be questioned or challenged by him.

10. In respect of all quarrying leases or license a quarrying plan shall be

submitted by the lessee or licensee as per the provisions of chapter II-A of these

rules.

In witness where of these presents have executed in the manner here under

apprising the day and year first above written.

Signed by

(for and on behalf of the Governor of Karnataka in the presence of)

1.

66

Signed by

(for and on behalf of in the presence of )

1.

2.

Signature of the Witness”

55. Substitution of Form-GL.- In the said rules, for Form GL and the

entries relating thereto the following shall be substituted, namely:-

“Government of Karnataka

No.

Office of the_____

FORM GL

(see sub-rule (1) of rule 16)

NOTIFICATION

1. In pursuance of rule ___________of these rules, grant of quarry lease/licence of

quarrying__________ (Minerals) for _____years to Smt/Sri/M/s.___________ over an

extent of __ Acres of ___ (Revenue/Forest/Private) land in Sy.Nos_______ of

village__Taluk______ District, as per the enclosed sketch.

2. The grant of the above lease/license for quarrying is subject to the terms and conditions

mentioned hereunder,-

(a) Quarrying lease/license shall be in respect of ____Minor Mineral only. If any other

mineral (s) is/are found in association with the said minor mineral or new mineral

discovered, it/they should be brought to the notice of the Competent Authority and if

the lease/licensee desires to quarry these mineral only after obtaining approval of the

Competent Authority include the minor mineral so discovered in the lease/license deed

as specified in rule 3-E.

(b) The lessee/licensee shall at his own expense erect and at all times maintain and keep

in good repair, boundary pillars as specified in rule 2 (a-2).

(c) Quarrying work shall not be started based on this Notification, quarrying should be

started only after executing the lease/license deed.

(d) The grant of this quarry lease/license for quarrying shall be subject to the various other

provision of these rules.

(e) The grantee shall produce approved quarry plan and Environment Clearance before

execution of lease/license in Form-E.

(f) The grantee shall pay all necessary fees before execution of lease/license in Form-E.

(g) The grantee shall produce DGPS/ Drone survey report for freezing levels by agency

empanelled by the KSRASC.

(h) The lessee shall produce no due certificate to competent authority before execution of

lease/license in Form-E.

(i) This notification for grant of Quarry lease or License may contain such other conditions

as the competent authority may deemed necessary.

Competent Authority

67

To

……………………………..

……………………………….

Copy to:

1. The Controlling Authority (Director of Mines and Geology) Bangalore

2. The Deputy Commissioner,………….District.

3. The Deputy Conservator of Forest (Territorial) …… District.

4. The Tahsildar, ………….District.”

56. Substitution of Form-S.- In the said rules, for Form S and the entries

relating thereto the following shall be substituted, namely:-

“FORM –S

(see rules-8,31Z and 32)

INSPECTION REPORT OF APPLIED AREA FOR QUARRY LEASE/LICENCE.

Name of the District:

Name of the Taluk:

1. Name of applicant

:

2. Status (State Govt. undertaking/Central Got.

Reg. Co. Corporation/ Individual)

:

3. Name of the Inspecting Officer and Date of

Inspection

:

4. Details of Area

applied:

a. Name of the Mineral

:

b. Name of the Village

:

c. Survey No’s

:

d. Extent (in Acres)

:

5. Whether the applied area is Government

land/ private land/forest land (as per RTC)

:

6. (a) Are they any public structures like roads,

bridges, railway, school, residences, temples,

irrigation tanks/structures, forts etc, within

200 meters. or 100 meters or 50 meters from

the applied area? If so, give details and

indicate them on the applied area map.

(b) In case of sand mining in patta/private

land,-

(i) Distance between the applied area and

bank of the river or streams.

(ii) Width of the river / streams.

:

:

:

a. Q.L. No.

:

68

7. Whether the area

was held previously

under quarry

lease/licence by the

applicant or others:

if so, give details:

b. Name of

lessee/licencee

:

c. Date of Grant

:

d. Date of Expiry

:

e. Type of Mineral

:

f. Volume of the pit

:

8. Court orders held by

the

applicant

or

others

over

the

applied area, with

details, district wise

a. Name of the Court

:

b. W/P No.

:

c. Name of the

petitioner

:

d. Date of Order

:

e. Extent (in Acres)

:

f. Sy. No.

:

g. Village,

:

h. Taluk& District

:

9. Whether consent of the land owner has been

obtained before making the application over

private land, details to be furnished.

:

10. Whether

the

applicant

has

an

existing Granite /

Shahabad

tone/other minerals

cutting

and

polishing

industry

in Karnataka.

Details

to

be

furnished

with

copies of supporting

Documents

and

capacity of the unit.

a. Whether 100%

E.O.U or SSI

:

b. Location

:

c. Cubic meters/ MT

per month/year

:

d. Sq.Mt.per

month/year (Tiles,

slabs, Monuments)

:

11. Whether

the

applicant

has

an

existing

stone

crusher/m-sand

unit/ other mineral

processing unit in

the Karnataka.

a. Name of the

Unit

:

b. Location

c. License No.

:

d. Unit Capacity

:

69

Details

to

be

furnished

with

copies of supporting

documents

and

capacity of the unit.

12. Whether

the

applicant

has

a

distinct

Industrial programme for utilization of granite

in a cutting and polishing unit within the

State of Karnataka.

13. FIELD DETAILS

a. Topography and

Geology of the

applied area

:

b. DGPS location of

the applied area

c. Trend (Dip and

Strike) of Mineral

Deposit.

:

d. Length width and

Breadth of the

Mineral Deposit

:

e. Approximate quantity

of mineral available

above and six meter

below the ground level

:

14. If quarrying is done in the applied area is it

going to harm the surrounding environment?

If so in what manner. Specify.

:

15. Any other point of relevance

:

16. Specific recommendation of the inspecting

Officer (Whether the area is free for grant or

not, Specify)

:

17. Specific recommendation of the forwarding

Officer for Grant of Quarry Lease/License.

:

Signature of the

Signature of the

Inspecting Officer

Forwarding Officer

By order and in the name of the

Governor of Karnataka,

(SUMA S.)

Under Secretary to Government,

Commerce and Industries Department (Mines).

ಮುದÎಕರು ²ಾಗೂ ಪΐಾಶಕರು:- ಸಂಕಲ£ಾĩಾĸಗಳ…, ಕ£ಾಟಕ ªಾಜÍಪತÎ, ಸಾĸ ೇಂದÎ ಮುದΞಾಲಯ, ¦ೆಂಗಳˆರು

R.N.I. No. KARBIL/2001/47147 POSTAL REGN. No. RNP/KA/BGS/2202/2017-19

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Date: 2023.03.18 15:18:31 +05'30'