Patna: The Patna High Court on Thursday declared illegal the forfeiture of security deposits by district authorities in connection with the e-auction of sand ghats in Rohtas and Bhojpur, holding that the action violated principles of natural justice.
Hearing a petition filed by Bimal Kumar and others, a single-judge bench led by Justice Sandeep Kumar observed that forfeiting deposits worth crores of rupees without prior notice or an opportunity to be heard was a “gross violation” of legal norms.
Court Sets Aside Orders, Orders Fresh Hearing
The court quashed the orders passed by the respective district magistrates and remanded the matter to the collectors, directing them to take a fresh decision only after granting the petitioners a proper hearing.
It reiterated that the principle of “hearing before action” is fundamental to the rule of law and must be followed in administrative decisions.
Dispute Over Sand Ghat Auction
According to the case, the petitioners had emerged as highest bidders in e-auctions conducted by the state’s mines and geology department and had deposited the required security amounts.
However, after the 2023 monsoon season, sand mining operations became unviable due to inadequate replenishment. Despite this, authorities moved to forfeit the deposits, citing the bidders’ failure to pay the first instalment.
Scientific Study Ordered
The court also directed that a scientific replenishment study be conducted for the concerned sand ghats within eight weeks, with the cost to be borne by the petitioners. Based on the findings, authorities have been asked to hold hearings and arrive at a fresh decision.
Wider Context Of Sand Mining Disputes
The ruling comes against the backdrop of recurring disputes over sand mining in districts such as Rohtas and Bhojpur, where enforcement drives against illegal extraction are frequently undertaken.
The judgment underscores the judiciary’s insistence on due process in administrative actions, particularly in high-value contracts involving natural resources.
