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Coalgate : SC rejects distribution of mines to private players

New Delhi, Sep 28 (): The Supreme Court on Thursday while announcing its reply regarding the presidential direction on the 2G judgment paid its attention to the Coalgate scam that delayed the parliament function by continuous disruption, said whatever is the form of allocation of natural resource, it cannot be given to private players.

The bench  headed by chief justice S H Kapadia admitted that the courts need the knowledge to carry out a relative study of unlikely methods of distribution of natural resources to recommend the most effective form and therefore it becomes indeed necessary to be handed over to the perception of the management to decide the case thoroughly.

“The provision is certain that selection will be made through auction by competitive bidding, for the grant of mining lease according to an area containing coal. No other method excluding auction will be eligible for the grant of coal mining lease,” admitted Justice Khehar after a long discussion of the MMDR act.

The judge also admitted  that natural resources cannot be donated free or much lower than their original price as each and every  piece of natural resource that has been allotted is bound to return its value to the country for the welfare of the society.

The judge observed that in case natural resources are donated free or at a much lower price than its original one then it would pave way for the enhancement of only few at the cost of a large section of society. “This cannot be regarded as fair or sensible,” Justice Khehar assumed.

Justice Khehar also stated that at every instance, whenever the subject of allocation of natural resources incurs loss of revenue, it will be considered as a loss to the nation which can create confusion and discussions at all levels will have to take place. One fundamental loss can involve a gain to the other. On such situations, country’s loss gets converted into profit for private players, observed the court.

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