PESHAWAR: The Peshawar High Court has directed the director general of mines and mineral department to decide within 15 days an appeal of a mining company against an order of the department, asking it to pay ‘outstanding’ social uplift money or it would be declared a defaulter.

A bench consisting of Justice Kamran Hayat Miankhel and Justice Shahid Khan disposed of a petition filed by the firm, M/s Malik Mineral & Mining Company, with the direction to the department to maintain status quo over the matter and not to forfeit the security deposited by the company.

Advocate Nauman Muhib Kakakhel appeared for the petitioner and stated that the petitioner was having a mining lease of emeralds in Shangla district. He stated that the department had issued an order to the petitioner, directing him to pay social uplift money or the company would be declared a defaulter and the security of Rs788 million would be forfeited.

The counsel argued that the company had been mining emerald in the subject mine for many decades and its mining lease was being renewed every 10 years. He stated that last time the mining lease had expired in 2021 and was thereafter renewed after paying all government dues and getting a clearance certificate to that effect.

Petitioner claims department demanding dues already paid by it

He said that after the new mining lease was given to the petitioner, the company wrote a letter to the mines and mineral department to return its security given in the former lease. He added that to the surprise of the petitioner, a letter was sent to company to pay arrears of dues despite a clearance certificate issued to the petitioner.

The counsel stated that the company had paid all the dues and a clearance certificate was issued for that very reason and the dues as sent in the impugned letter were an outcome of malice and inapplicable.

He informed the bench that an appeal to that effect had also been filed before the mines and minerals appellate tribunal along with an application for interim relief but they had not been entertained till date.

The court after hearing arguments of the counsel for petitioner, ordered that the appeal should be decided within 15 days and till decision of the appeal status quo should be maintained in the case.

Published in Dawn, Aug 6th, 2023