Suraj owned a mining company and had a lease of 99 years for exploting coal from the coal blocks of the State B. His lease was cancelled by the revenue minister under the provisions of one of the applicable Laws of the S

CS Executive · Jurisprudence, Interpretation and General Laws · PYQS · December 2024
Suraj owned a mining company and had a lease of 99 years for exploting coal from the coal blocks of the State B. His lease was cancelled by the revenue minister under the provisions of one of the applicable Laws of the State. Suraj had a past record of rivalry with the minister, as he had fought elections against him few years back. The minister too had filed a case against him of defamation in the past. Discuss the rule, which attracts this situation, and whether the cancellation order can become vitiated in law.

Answer & Explanation:

This situation attracts the rule against bias ( nemo judex in causa sua ). According to this rule no person should be made a judge in his own cause. Bias means an operative prejudice whether conscious or unconscious in relation to a party or issue. It is a presumption that a person cannot take an objective decision in a case in which he has an interest. The rule against bias has two main aspects- one, that the judge must not have any direct personal stake in the matter at hand and two, there must not be any real likelihood of bias. Bias can be of the following three types: Pecuniary bias: The judicial approach is unanimous on the point that any financial interest of the adjudicatory authority in the matter, howsoever small, would vitiate the adjudication. Thus a pecuniary interest, howsoever insufficient, will disqualify a person from acting as a Judge. Personal bias: There are number of situations which may create a personal bias in the Judge's mind against one party in dispute before him. He may be friend of the party, or related to him through family, professional or business ties. The judge might also be hostile to one of the parties to a case. All these situations create bias either in favour of or against the party and will operate as a disqualification for a person to act as a Judge. Subject matter bias: A judge may have a bias in the subject matter, which means that he himself is a party, or has some direct connection with the litigation. To disqualify on the ground of bias there must be intimate and direct connection between adjudicator and the issues in dispute. The facts of the given situation are similar to the case Mineral Development Ltd. v. State of Bihar, AIR 1960 SC 468 . In this case, the petitioner company was a lessee for 99 years of 3026 villages, situated in Bihar, for purposes of exploiting mica from them. The minister of revenue acting under Bihar Mica Act cancelled his license. The owner of the company had opposed the minister in general election of 1952 and the minister had filed a criminal case under section 500, Indian Penal Code, against him. The act of cancellation by the Minister was held to be a quasi-judicial act. Since the personal rivalry between the owner of the petitioner's company and the minister concerned was established, the cancellation order became vitiated in law. In view of the above discussion, it can be said that the cancellation order can become vitiated in law.

Topics: Administrative Law

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