Major Mineral 1960


 

GRANTS OF RECONNAISSANCE PERMITS

 

Appplication for reconnaissance permit :-
(1) An application for reconnaissance permit shall be made to the State Government in Form 'A' through such officer or authority as the State Government may specify in this behalf.
(2) (a) Every such application shall be accompanied by a non-refundable fee calculated at the rate of five rupees per square kilometre.
(b) A valid clearance certificate, in the form prescribed by the State Government for payment of minining dues, such as royalty or dead rent or surface rent payable under the Act or rules made there under, from that Government or any officer or authority authorised by that Government in this behalf:
Provided that where a person has furnished an affidavit to the satisfaction of the State Government stating that he does not hold (and has not held) reconnaissance permit, it shall not necessary for him to produce the said valid clearnace certificate:
Provided that an affidavit stating that no dues are outstanding shall suffice subject to the condition that the certificate required as above shall be furnished within ninety days of the date of application and the application shall become invalid if the party fails to file the certificate within the said ninety days :
Provided also that where any injunction has been issued by a court of law or any other competent authority staying the recovery of any such mining dues or income tax, non-payment there of shall not be treated as a disqualification purpose of granting the reconnaissance permit :
Provided further that in case the applicant is a partnership firm or a private limited company, such certificate shall be furnished by all persons of the partnership firm or, as the case may be, all members of the private limited company.
(c) An affidavit stating that the applicant has -
(i) Filed up-to-date income-tax returns;
(ii) Paid the income-tax assessed on him; and
(iii) Paid the income tax on the basis of his assessment as provided in the Income Tax Act, 1961 (43 of 1961) .
(d) An affidavit showing the particulars of areas, mineral-wise, in the State, which the applicant or any person jointly with him -
(i) already holds under a reconnaissance permit;
(ii) has applied for but not granted; and
(iii) being applied for simultaneously.
4A. Acknowledgement of application :- (1) Where an application for the grant of reconnaissance permit is delivered personally, its receipt shall be acknowledged forthwith.
(2) Where such application is received by registered post, its receipt shall be acknowledged on the same day.
(3) In any other case, the receipt of such application shall be acknowledged within three days of the receipt.
(4) The receipt of every such application shall be acknowledged in Form 'D-1'.
(5) Refusal of application for a reconnaissance permit :
(1) The State Government may after giving an opportunity of being heard and for reasons to be recorded in writing and communicated to the applicant, refuse to grant a reconnaissance permit over the whole or part of the area applied for.
(2) Where it appears that the application is not complete in all material particulars or is not accompanied by the required documents, the State Government shall, by notice, require the applicant to supply the ommission or, as the case may be, furnish the documents without delay and in any case not later than thirty days from the date of receipt of the said notice by the applicant.
(6). Status of grant on death of the applicant for rconnaissance permit :
(1) Where an applicant for the grant of reconnaissance permit dies before the order granting him a reconnaissance permit is passed, the application for the grant of reconnaissance permit shall be deemed to have been made by his legal representatives.
(2) In the case of an applicant in respect of whom an order granting a reconnaissance permit is passed but who dies before the deed referred in sub-rule (1) of rule 7A is executed, the order shall be deemed to have been passed in the name of the legal representative of the deceased.
(7) Condition of a reconnaissance permit :- (1) Every reconnaissance permit granted under these rules, shall, in addition to any other conditions that may be specified therein be subject to the following conditions namely,
(i) The holder of reconnaissance permit shall progressively relinquish the area granted under the permit as follows :-
(a) After completion of two years, the area shall be reduced to one thousand square kilometers or fifty percent of the area granted, whichever is less; and
(b) The area would be further relinquished so that the permittee is left with an area not more than twenty five square kilometres at the end of third year.
(ii) The holder of the reconnaissance permit shall strictly adhere to the minimum expenditure commitment and specific physical targets specified in the order of grant of the permit failing which reconnaissance permit may be cancelled.
(iii) The holder of reconnaissance permit shall make available all data collected by him during the reconnaissance operations to the Geological Survey of India, Indian Bureau of Mines and the State Government which may be made available to any prospecting investor after a minimum period of two years of the completion of the period of reconnaissance permit.
(iv) The holder of reconnaissance permit shall not enter any forest land or any private land without obtaining permission of the Forest Department or the owner of the private land, as the case may be.
(v) The holder of reconnaissance permit shall maintain accurate faithful account of all the expenses incurred by him on the reconnaissance operations.
(vi) The holder of reconnaissance permit shall submit to the State Government a six monthly report of the work done by him and the valuable data collected by him during the period. The report shall be submitted within 3 months of the close of the period to which it relates.
(vii) The permit holder shall also submit to the State Government within three months of the expiry of the permit, or abandonment of operations or termination of the permit whichever is ealier, a full report of the work done by him and all information relevant to mineral resources acquired by him in the course of reconnaissance permit in the area covered by the permit.
(viii) While submitting reports sub clause (vi) or (vii), the permit holder may specify that the whole or any part of the report or data submitted by him shall be kept confidential; and the State Government shall thereupon, keep the specified portions as confidential for a period of two years from the expiry of the permit, or abandonment of operations of termination of the permit, whichever is earlier.
(ix) The permit holder shall allow every officer authorised by the Central Government or the State Government in this behalf to examine at any time accounts maintained and furnish the Central Government or the State Government or any other officer authorised by it in that behalf such information and returns.
(x) The permit holder shall allow officer authorised by the Central Government or the State Government in this behalf to inspect any reconnaissance operations carried on by him.
(xi) The permit holder shall pay such permit fee as may be fixed by the State Government, being not less than five rupees per square kilometre and not more than twenty rupees per square kilometre of land held by the permit holder for each year or part there of.
(2) The reconnaissance permit may contain such other conditions as may be imposed by the Central Government which inter-alia may include the condition that the representative of the Directorate General, Civil Aviation or Ministry of Defence shall be present during the aerial surveys.
(3) The State Government may, with the approval of the Central Government, impose such further conditions in the permit as it may think necessary in the interest of mineral development and for compliance of various legal provisions.
(4) In case of breach of any condition imposed on any holder of reconnaissance permit by or under this rule, the State Government may be order in writing, cancel the permit, and/or forfeit in whole or in part, the amount deposited by the permit holder as security :
Provided that no such order shall be made without giving the permit holder a reasonable opportunity of stating his case.
7A. Reconnaissance Permit to be executed within three months :-
(1) Where, on any application for a reconnaissance permit, an order has been made for the grant of such permit, a deed granting such permit shall be executed within 90 days of the date of the communication of the order or such further period as the State Government may allow in this behalf, and if no such deed is executed within such period due to any fault on the part of the applicant, the State Government may revoke the order, granting the reconnaissance permit and in that event the fee paid shall be forfeited to the State Government.
(2) The deed referred to in sub rule 1 shall be in Form F-1 or in a Form as near there to as circumstances of each case may require.
(3) The date of the commencement of the period for which a reconnaissance permit is granted shall be the date on which the deed is executed after all necessary clearance have been obtained.
7B. Security deposit :- (i) An applicant for a reconnaissance permit shall before deed referred to in sub-rule 7A is executed, deposit as security for the observance of the terms and conditions of the permit a sum of twenty rupees in respect of every square kilometre or part there of for which the permit is granted.
(ii) Any deposit made under sub-clause (i) above if not forfeited under the rules shall be refunded to the applicant as soon as the report referred to in sub-rule (1) (vii) of rule 7 is submitted.
8. Applicability of Chapter II, Chapter III and Chapter IV :- The provisions of Chapter II, Chapter III and Chapter IVshall apply to the grant of reconnaissance permits as well as grant and renewal of prospecting licences and mining leases only in respect of the land in which the minerals vest in the Government of a State.
9. Application for prospecting licence and its renewal : (1) An application for a prospecting licence and its renewal in respect of land in which the minerals vest in Government shall be made to the State Government in Form B and Form E respectively through such officer or authority as the State Government may specify in this behalf.
(2) Every such application shall be accompanied by -
(a) a [non-refundable] fee calculated in accordance with the provisions of Schedule II; and
(b) (Omitted)
(c) (Omitted)
(d) A valid cleance certificate in the form prescribed by the State Government, of payment of mining dues, such as royalty or dead rent and surface rent payable under the Act or the rules made there under, from that Government or any officer or authority by that Government in this behalf;
Provided [omitted] that in case the applicant is a partnership firm or a private limited company such certificate shall be furnished by all partners of the partnership firm or, as the case may be, all members of the private limited company :
Provided further that where any injunction has been issued by court of law or any other competent authority staying the recovery of any such mining dues or income tax, non-payment there of shall not be treated as a disqualification for the purpose & granting or renewing the said prospecting licence :
Provided that where a person has furnished an affidavit to the satisfaction of the State Government stating that he does not hold and has not held a prospecting licence, it shall not be necessary for him to produce the said valid clearance certificate:
Provided further that a sworn affidavit stating that no dues are outstanding shall suffice subject to the condition that the certificate required as above shall become invalid if the party fails to file the said certificate within ninety days.]
(e) an affidavit stating that the applicant has -
i) filed up-to-date income tax return;
ii) paid the income tax assessed on him, and
iii) paid the income tax on the basis of self-assessment as provided in the Income Tax Act,1961;
(f) An affidavit showing particulars of areas mineral-wise in [the] state, which the applicant or any person jointly with him -
i) already holds under a prospecting licence;
ii) has applied for but not granted; and
iii) being applied for simultaneously.
(g) A statement in writing that the applicant, where the land is not owned by him, has obtained surface rights over the area or has obtained the consent of the owner for starting prospecting operations :
Provided that no such statement shall be necessary were the land is owned by the Government.
Provided [omitted] that the consent of the owner for starting prospecting operations in the area or part there of may be furnished after exeuction of the prospecting licence but before entry into the said area.
Provided further that no further consent would be required in the case of renewal where consent has already been obtained during grant of the licence.
[omitted]
(3) The State Government may, for reasons to be recorded in writing, relax the provisions of clause (d) of sub-rule (2) of rule 9.
(4) The grant of a clearance certificate under clause (d) of sub-rule (2) of rule 9 shall not discharge the holder of such certificate from the liability to pay the miningdues which may subsequently be found to be payable by him under the Act or the rules made there under.
10. Acknowledgement of application : - (1) where an application for the grant of renewal of a prosecuting licence is delivered personally, its receipt shall be acknowledged forthwith.
(2) Where such application is received by registered post, its receipt shall be acknowledged on the same day.
(3) In any other case, the receipt of such application shall be acknowledged within three days of the receipt.
(4) The receipt of every such application shall be acknowledged in Form D.
10A. (Omitted).
11. Disposal of application for the grant and renewal of prospecting
licence : (1) Omitted)
(2) (a) An application for the renewal of a prospecting licence shall be made at leastninety days before the expiry of the prospecting licence and shall be accompaanied by -
(i) a statement relating to the prospecting operations already undertaken by the applicant;
(ii) the amount of expenditure incurred;
(iii) the numbers of hours and days for which the work was undertaken; and
(iv) the period which is required to complete the prospecting work.
(b) An application for the renewal for a prospecting licence shall be disposed of by the State Government before the expiry of the period of prospecting licence and if the application is not disposed of within that period, the licence shall be deemed to have been renewed for a period not exceeding the period prescribed for renewal of prospecting licence under sub-section (2) of section 7 of the Act or the period for which an application is made, whichever is less. (3) The State Government may, for reasons to be recorded in writing and communicated to the applicant, at the time of renewal, reduce the area applied for.
(4) The State Government may condone delay in submission of an application for renewal of a prospecting licence made after the time limit prescribed in sub-rule (2) provided the application for the nenewal has been made before the expiry of the licence.
12. Refusal of application for a prospecting licence :- (1) The State Government may, after giving an opportunity of being heard and for reasons to be recorded in writing and communicated to the applicant, refuse to grant or renew a prospecting licence over the whole or part of the area applied for.
(1A) An application for the grant or renewal of a prospecting licence made under the rule 9 shall not be refused by the State Government only on the ground that Form B or Form E, as the case may be, is not complete in all material particulars or is not accompanied by the documents referred to in clauses (d), (e), (f) and (g) of sub-rule (2) of the said rule.
(IB) Where it appears that the application is not complete in all material particulars or is not accompanied by the required documents, the State Government shall, by notice, require the applicant to supply the omission or, as the case may be, furnish the documents without delay and in any case not later than thirty days from the date of receipt of the said notice by the applicant.
(2) An application for the grant of a prospecting licence shall not be refused on the ground only that, in the opinion of the State Government, a mining lease should be granted for the area for which the application for a prospecting licence has been made:
Provided that where applications for the grant of prospecting licence and applications for the grant of mining lease in respect of the same area are received on the same date or on different dates within a period of thirty days, the applications for the grant of mining lease shall, if the area was previously held and worked under a mining lease, be disposed of before the applications for the grant of prospecting licence are considered.
Provided further than the application received for grant of prospecting licence shall be liable to be considered only if they have not been already disposed of.
13. [Omitted].
13A. Status of grant on death of the applicant for prospecting license :
(1) Where an applicant for the grant of prospecting licence dies before the order granting him a prospecting licence is passed, the application for the grant of approspecting licence shall be deemed to have been made by his legal representative.
(2) In the case of an applicant in respect of whom an order granting a prospecting licence is passed but who dies before the deed referred to in sub-rule (1) of rule 15 is executed, the order shall be deemed to have been passed in the name of the legal representative of the deceased.
14. Conditions of a prospecting licence :- (1) Every prospecting licence granted under these rules, shall, in additions to any other conditions that may be specified therein, be subject to the following conditions, namely:-
(i) the lience shall pay such prospecting fee as may be fixed by the State Government, being not less than fifty paise and not more than five rupees per hectare of land covered by the licence for each year or part of a year of the period for which the licence is granted or renewed;
(ii) the licence may win and carry for purposes other than commercial purposes -
(a) any quantity of such minerals within the limits specified under column 3 of Schedule III without any payment;
(b) any quantity of such minerals not exceeding the limits specified under column 4 of Schedule III, on payment of royalty for the time being specified in the Second Schedule to the Act in respect to those minerals :
Provided that if any quantity in excess of the quantities specified in sub-clause (b) is won and carried away, the State Government may recover the cost of the excess quantity of minerals won and carried away.
(iii) with the written approval of the State Government, the licensee may carry away quantities of minerals in excess of the limits specified in Schedule III, on payment of royalty for the time being specified in the Second Schedule to the Act,for chemical, metallurgical, ore-dressing and other test purposes.
(iv) save in the case of land in respect of which the licensee is granted a mining lease, he shall, within six months next after the determination of the licence or the date of abandonment of the prospecting operations, whichever is earlier, securely plug all bores and fill up or fence all excavations in the land covered by the licence;
(v) the licensee shall report to the State Government the discovery of any mineral not specified in the licence within a period of sixty days from the date of such discovery. Consequent upon such reporting, such newely discovered mineral shall be deemed to have been included in the prospecting licence;
(vi) (Omitted)
(vii) the licencee shall not except with the previous sanction of the State Government transfer his licence;
[Provided that no prospecting licence shall be transferred to any person who has not filed an affidavit stating that he has filed an up-to-date income-tax returns and paid the income-tax assessed on him and paid the income tax on the basis of self-assessment as provided in the Income Tax Act, 1961 (43 of 196) and except on payment to the State Government of a fee of five hundred rupees].
(viii) the licensee shall not pay a wage less than the minimum wage prescribed by the Central or the State Government from time to time under the Minimum Wages Act, 1948;
(ix) the licensee shall observe the provisions of the Mines Act, 1952 [(35 of 1952) and the provisions of the Atomic Energy Act, 1962 (33 of 1962) in sofar as the latter relate to atomic minerals included in Part-'B' of the First Schedule to the Act].
(x) the licensee shall -
(a) take immediate measures for the planting in the same area of any other area selected by the Central or the State Government not less than twice the number of trees destroyed by reasons of any prospecting operations;
(b) look after them during subsistence of the licence after which these shall be handed over to the State Forest Department or any other authority as may be nominated by the Central or State Government'
(c) restore, to the extent possible, other flora destroyed by prospecting operations.
(xi) the licensee shall pay to the occupier of surface of the land such compensation as may become payable under these rules :
(xii) the licensee shall comply with the Mineral Conservation and Development Rules framed under section 18.
[Omitted]
(2) A prospecting licence may contain such other conditions relating to the following as the State Government may think fit to impose, namely :-
(i) compensation for damage to land respect of which the licence has been granted;
(ii) indemnity to Government against the claim of a third party for any damage, injury or disturbance caused to him by the licensee;
(iii) restrictions regarding felling of trees on unoccupied and unreserved Government land;
(iv) restrictions on prospecting operations in any area prohibited by any competent authority;
(v) operations in a reserved or protected forest;
(vi) conditions regarding entry on occupied land;
(vii) facilities to be given by the licensee for working other minerals in the licenced area or adjacent areas;
(viii) filing of civil suits or petitions relating to disputes arising out of the area under prospecting licence.
(3) The State Government may, either with the previous approval of the Central Government or at the instance of the Central Government, impose such further conditions as may be necessary in the interest of mineral development, including development of atomic minerals.
(4) In the case of breach of any condition imposed on any holder of prospectging licence by or under this rule, the State Government may, by order in writing, cancel the lincence and/or forfeit, in whole or part, the amount deposited by the licensee under rule 20 :
Provided that no such order shall be made without giving the licensee a reasonable opportunity of stating his case.
(5) Licence to the executed within three months : (1) Where on any application for a prospecting licence an order has been made for the grant of such licence, a deed granting such licence shall be executed within ninety days of the date of the communication of the order or such further period as the State Government may allow in this behalf, and if no such deed is executed within the said period due to any default on the part of the applicant, the State Government may revoke the order granting the licence and in that event the fee paid shall be forfeited to the State Government.
(2) The deed referred to in sub-rule (1) shall be in Form F, or in a form as near there to as circumstances of each case may require.
(3) The date of the commencement of the period for which a prospecting licence is granted shall be the date on which the deed is executed under sub-rule (1).

GRANT OF MINING LEASES IN RESPECT OF LAND IN WHICH THE MINERAL VEST IN THE GOVERNMENT


Applications for grant of mining leases :-

(1) An application for the grant of a mining lease in respect of land in which the minerals vest in the Government shall be made to the State Government in Form I through such officer or authority as the State Government may specify in this behalf.
(2) Omitted.
(3) (i) Every application for the grant or renewal of a mining lease shall be accompanied by -
(a) a [non refundable] fee of five hundred rupees;
(b) omitted.
(c) omitted.
(d) A valid clearance certificate in the form prescribed by the State Government, of payment of mining dues, such as royalty or dead rent and surface rent payable under the Act or the rules made there under, from that Government or any officer or authority authorised by that Government in this behalf :
Provided that in case the applicant is a partnership firm or a private limited company, such certificate shall be furnished by all partners of the partnership firm or, as the case may be, all members of the private limited company :
Provided that where any injunction has been issued by a court of law or any other competent authority staying the recovery of any such mining dues or income tax non-payment there of shall not be treated as a disqualification for the purpose of granting or renewing the said mining lease :
Provided that where a person has furnished an affidavit to the satisfaction of the State Government stating that he does not hold and has not held a mining lease, it shall not be necessary for him to produce the said valid clearance certificate:
Provided that a properly sworn affidavit stating that no dues are outstanding shall suffice subject to the condition that the certificate required as above shall be furnished within ninety days of the date of application and the application shall become invalid if the party fails to file the certificate within the said ninety days:
Provided further that the grant of a clearance certificate under sub-clause (d) shall not be discharge the holder of such certificate from the liability to pay the mining dues which may subsequently be found to be payable by him under the Act or rules made there under:

(e) Omitted.

(f) an affidavit stating that the applicant has -

(i) filed up-to date income-tax returns;

(ii) paid the income-tax assessed on him; and

(iii) paid the income-tax on the basis of self-assessment as provided in the Income Tax Act, 1961;

(g) an affidavit showing particulars of area mineral-wise in the State, which the applicant or any person jointly with him -
(i) already holds under a mining lease;
(ii) has already applied for but not granted;
(iii) being applied for simultaneously;


(h) a statement in writing that the applicant has, where the land is not owned by him, obtained surface rights over the area or has obtained the consent of the owner for starting mining operations :
Provided that no such statement shall be necessary where the land is owned by the Government :
Provided further than the consent of the owner for starting mining operations in the area or part there of may be furnished after execution of the lease deed but before entry into the said area : Provided also that no further consent would be required in the case of renewal where consent has already been obtained during grant of the lease.
1(Omitted)
2(Omitted)
3(Omitted)
4(Omitted)

(ia) The State Government may, for reasons to be recorded in writing, relax the provision of sub-clause(d) of caluse(i).
(ii) Every application for the grant of a mining lease shall in addition to those special in clause (i) be accompained by a deposit of one thousand rupees for meeting the preliminary expenses in connection with the grant of the mining lease:
Provided that the applicant shall deposit such further deposit as may be asked for by the State Government, within one month from the date of demand of such deposit.


(4) On receipt of the application for the grant of a mining lease the State Government shal take decision to grant precise area for the said purpose and communicate such decision to the applicant. On receipt of communication from the State Government of the precise area to be granted, the applicant shall submit a mining plan within a period of six months or such other period as may be alowed lby the State Government, to the Central Government for its approval. The applicant shall submit the mining plan, duly approved by the Central Government or by an officer duly autholrised by the Central Government, to the State Government to grant mining lease over the area.


(4A) Notwithstanding anything contained in sub-rule (4), the State Government shall be competent to approve mining plan in respect of non-metallic or industrial minerals for mines other than 'A' category mines; as specified in sub-clause (i) of caluse (b) of sub-rule (1) rule 42 of Mineral Conservation and Development Rules, 1988:
Provided that the State Government shall exercise the power of approval of mining plan through an officer or officers having the requisite qualifications and experience for the purpose as may be prescribed by the Controller General, Indian Bureau of Mines from time to time:
Provided further where any State Government does not have such officer as having the requisite qualifications and experience, the power of approval of mining plan, as aforesaid, in respect of that State shall be exercised by the Central Government:
Provided also that in the event of the State Government having officer or officers with requisite qualifications and experience from any date in future the State Government shall report the matter to the Controller General, Indian Bureau of Mines and the State Government shall exercise the power of approval of mining plan as aforesaid, thereafter without any reference to the Central Government.


(5) The Mining Plan shall incorporate :-
[(i) the plan of the lease hold area showing the nature and extent of the mineral body, spot or spots where the mining operations are proposed to be based on the prospecting data gathered by the applicant or any other person].
(ii) details of the geology and lithology of the area including mineral reserves of the area;
(iii) the extent of manual mining or mining by the use of machinery and mechanical devices;
(iv) the plan of the area showing natural water courses, limits of reserves and other forest areas and density of trees, if any, assessment of impact of mining activity on forest, land surface and environment including air and water pollution; details of scheme of restoration of the area by afforstation, land reclamation use of pollution control devices and such other measures as may be directed by the Central Government or the State Government from time to time;
(v) a tentative scheme of mining and annual programme and plan for excavation from year to year for five years; and
(v) any other matter which the Central Government may require the applicant to provide in the mining plan.
[(6) The mining plan once approved shall be valid for the entire duration of the lease: Provided that any modification or modifications of the mining plan shall be approved by the competent authority and such approval of the modified mining plan shall remain valid for the balance duration of the mining lease. ]


22A. Minining operations to be in accordance with Mining Plans :-
(i) Mining operations shall be undertaken in accordance with the duly approved mining plan.
(2)Modification of the approved mining plan during the operation of a mining lease also requires prior approval.


22B.Mining plan to be prepared by recognised persons :- (1) No mining plan shall be approved unless it is prepared by a qualified person recognised in this behalf by the Central Government, or duly authorised officer.
(2) No person shall be recognised by the Central Government for purposes of sub-rule (1) unless he holds :-
(i) a degree in mining engineering or post-graduate degree in Geology granted by a university established or incorporated by or under a Central Act, a Provincial Act or a State Act, including any institution recognised by the University Grants Commission established under section 4 of the University Grants Commission Act, 1956 or any equivalent qualification granted by any University or Institution outside India; and
(ii) Professional experience of five years of working in a supervisory capacity in the field of mining after obtaining the degree.
(3) A person recognised to prepare a mining plan may also carry out modification of an existing mining plan.

 
[22BB. Procedure for approval of mining plans :- (1) Notwithstanding the provisions of rule 63 the mining plan shall be submitted for approval through authority notified by the Controller General of the Indian Bureau of Mines or by the State Government, as the case may be, in this behalf, except for minerals specified in Part A and B of the First Schedule to the Act.


(2) Notwithstanding the provisions of the rule 54, any person aggrieved by any order made or direction issued in respect of mining plan by an officer of the Central Government competent to approve mining plans other than the Chief Controller of Mines, Indian Bureau of Mines, for minerals other than those listed in Part A and B of the First Schedule to the Act, may within thirty days of the communication of such order or direction, apply to the authority to whom the said officer is immediately subordinate, for the revision of the order or direction.


(3)On receipt of any application for revision under sub-rule (1), the authority after giving a reasonable opportunity of being heard to the aggrieved person, may confirm modify or set aside the order made or direction issued by any officer subordinate to him.


(4)Any person aggrieved by an order made or direction issued by the Chief Controller of Mines, Indian Bureau of Mines, concerning approval of mining plan may within 30 days of the communication of such order or direction, apply to the Controller General, Indian Bureau of Mines for a revision of such order or direction and his decision thereon shall be final :
Provided that any such application may be entertained after the said period of 30 days, if the applicant satisfies the Controller General, Indian Bureau of Mines that he had sufficient cause for not making the application in time.


(5)On receipt of any such application under sub-rule (4), the Controller General Indian Bureau of Mines may confirm, modify or set aside the order or direction issued by the Chief Controller of Mines, Indian Bureau of Mines.


(6)(a) Notwithstanding anything contained in the above sub-rules, any person aggrieved by any order or direction issued in respect of a mining plan by an authorised officer of the State Government, may within thirty days of the communication of such order or direction, apply to the Controller General, Indian Bureau of Mines for revision of the order or direction and his decision thereon shall be final.
(b) The procedure enumerated in the preceding sub-rules shall, mutatis mutandis, be followed in the disposal of such an application.

(7) The powers under sub-rules (1) and (2) in regard to approval of mining plans shall be exercised by Director, Atomic Minerals Directorate for Exploration and Research, Hyderabad, and in regard to revision under sub-rules (3) to (5) shall be exercised by Secretary, Department of Atomic Energy, Mumbai in sofar as they relate to atomic minerals specified in Part B of the First Schedule to the Act.

(8)The powers under sub - rules (1) to (5) in regard to approval of Mining Plan and revision shall be exercised by authorities designated in this behalf by notification by the Department of Coal in sofar as they relate to coal and lignite specified in Part A of the First Schedule to the Act].

22C.Grant of recognition by Central Government : (1) Any person processing the qualifications and experience referred to in sub-rule (2) of rule 22B may apply for being recognised as a recognised person to the competent authority appointed for the purpose by the Central Government.

(2)The competent authority, after making such enquiry as it deems fit, may grant or refuse to grant recognition and where recognition is refused, the competent authority shall record reasons in writing and communicate the same to the applicant.

[(3) A recognition shall be granted for an initial period of ten years and may be renewed for a period(s) not exceeding ten years at a time :

Provided that the competent authority may refuse to renew recognition for reasons to be recorded in writing after giving an opportunity of hearing to the person concerned.]

[(4) An appeal shall lie to the Controller General, Indian Bureau of Mines, against the order of the competent authority refusing to grant or renew an application for recognition and his order thereon shall be final.

Explanation : For the purpose of this rule, Chief Controller of Mines, Controller of Mines and the Regional Controller of Mines shall be deemed to be competent authority.

23.Acknowledgement of application :- (1) Where an application for the grant or renewal of a mining lease is delivered personally, its receipt shall be acknowledged on the same day.

(2)Where such application is received by registered post, its receipt shall be acknowledged on the same day.

(3) In any other case, the receipt of such application shall be acknowledged within three days of the receipt.

(4) The receipt of every such application shall be acknowledge in Form D.

23A.Omitted.

24. Disposal of the application for mining lease :- (1) Omitted.

(2) Omitted.

(3) Omitted.

(4) Where an application for a mining lease for a mineral or minerals not specified in the existing mining lease or mining leases is made for the whole or part of the area held under mining lease by a person other than the lessee,the State Government shall notify this fact by registered post/Acknowledgement Due to the person who already holds mining leases for another mineral in the land applied for.

(5)(a) If on receipt of the information referred to in sub-rule (4), from the State Government, the lessee applies either for prospecting licence or mining lease for newly discovered mineral or minerals within six months from the date of communication of the information by the State Government, the lessee shall be preferred in respect of such grant.

(b) If the lessee fails to apply for prospecting licence or mining lease within six months, then this fact will be intimated to the applicant by the State Government and the State Government will consider the original application in accordance with the rules.

(6) Omitted.

24A. enewal of mining lease :- (1) An application for the renewal of a mining lease shall be made to the State Government in Form J, at least twelve months before the date on which the lease is due to expire, through such officer or authority as the State Government may specify in this behalf.

[(2) The renewal of renewals of a mining lease granted in respect of a mineral specified in Part 'A' and Part 'B' of the First Schedule the Act may be granted by the State Government with the previous approval of the Central Government.]

(4) Omitted.

(5) Omitted.

(6) If an application for renewal of a mining lease made within the time referred to in sub-rule (1) is not disposed of by the State Government before the date of expiry of the lease, the period of that lease shall be deemed to have been extended by a further period till the State Government passes order thereon.

[(7) Omitted].

(8) Notwithstanding anything contained in sub-rule (1) and sub-rule (6) an application for the first renewal of a mining lease, so declared under the provisions of section 4 of the Goa, Daman and Diu Mining Concessions (Abolition and Declaration as Mining Leases) Act, 1987, shall be made to the State Government in Form J before the expiry of the period of mining lease in terms of sub-section (1) of section 5 of the said Act, through such office or authority as the State Government in this behalf :

Provided that the State Government may, for reasons to be recorded in writing and subject to such conditions as it may think fit, allow extension of time for making of such application up to a total period not exceeding one year.

(9) If an application for first renewal made within the time referred to in sub-rule (8) or within the time allowed by the State Government under the provision to sub-rule (8), the period of that lease shall be deemed to have been extended by a further period till the State Government passes orders thereon.

[(10) The State Government may condone delay in an application for renewal of mining lease made after the time limit prescribed in sub-rule (1) provided the application has been made before the expiry of the lease.

24B.Renewal of a mining lease in favour of a person using the mineral in his own industry :- Every person who is holding a mining lease for a mineral which is used in his own industry shall be entitled for the renewal of his mining lease for a period not exceeding twenty years unless he applies for a lesser period.

Explanation :- "Own industry" means an industry of which the lessee is the owner or in which he holds not less than fifty percent of controlling interest.

[25. Omitted]

25A. Status of the grant on the death of applicant for mining
lease :-

(1) Where an applicant for a grant or renewal of mining lease dies before the order granting him a mining lease or its renewal is passed, the application for the grant or renewal of a mining lease shall be deemed to have been made by his legal representative.

(2) In the case of an applicant in respect of whom an order granting or renewing a mining lease is passed, but who dies before the deed referred to in sub-rule (1) of rule 31 is executed, the order shall be deemed to have been passed in the name of the legal representative of the deceased.

26. Refusal of application for grant and renewal of mining
lease :-

(1) The State Government may, after giving an opportunity of being heard and for reasons to be recorded in writing and communicated to the applicant, refuse to grant or renew a mining lease over the whole or part of the area applied for.

(2) An application for the grant or renewal of a mining lease made under rule 22 or rule 24A, as the case may be, shall not be refused by the State Government only on the ground that Form 1 or Form J, as the case may be, is not complete in all material particulars, or is not accompanied by the documents referred to in sub-clauses (d), (e), (g) and (h) of clause (i) of sub-rule 3 of rule 22.

(3) Where it appears that the application is not complete in all mattered particular or is not accompanied by the required documents, the State Government shall, by notice, require the applicant to supply the omission or, as the case may be furnish the documents, without delay and in any case not later than sixty days from the date of receipt of the said notice by the applicant.

27. Conditions :- (1) Every mining lease shall be subject to the following conditions :-

(a) the lessee shall report to the State Government the discovery in the leased area of any mineral not specified in the lease, within sixty days of such discovery;

(b) if any mineral not specified in the lease is discovered in the leased area, the lessee shall not win and dispose of such mineral unless such mineral is included in the or a separate lease lease is obtained therefore;

(c) the lessee shall pay, for every year, except the first year of the lease, such yearly dead rent at the rates specified in the Third Schedule of the Act and if the lease permits the working of more than one mineral in the same area the State Government shall not charge separate dead rent in respect of each mineral.

Provided that the lessee shall be liable to pay the dead rent or royalty in respect of each mineral whichever be higher in amount but not both;

(d) the lessee shall also pay, for the surface area used by him for the purposes of mining operations, surface rent and water rate at such rate, not exceeding the land revenue, water and cesses assessable on the land, as may be specified by the State Government in the lease :

(e) Omitted.

(f) the lessee shall commence operations within two years from the date of execution of the lease and shall thereafter conduct such operations in a proper, skillful and workman-like manner. Explanation :- For the purpose of this clause, mining operations shall include the erection of machinery, laying of a tramway or construction of a road in connection with the working of the mine;

(g) the lessee shall at his own expenses erect and at all times maintain and keep in good repair boundary marks and pillars necessary to indicate the demarcation shown in the plan annexed to the lease;

(h) The lessee shall not carry on, or allow to be carried on, any mining operations at any point within a distance of fifty meters from any railway line, except under and in accordance with the written permission of the railway administration concerned or under or beneath any ropeway or ropeway trestle or station, except under and in accordance with the written permission of the authority owning the ropeway or from any reservoir, canal or other public work, or buildings, except under and in accordance with the previous permission of the State Government;

(i) the lessee shall keep [accurate and faithful] accounts showing the quantity and other particulars of all minerals obtained and dispatched from the mine, the number and nationality of persons employed therein, and complete plans of the mine, and shall allow any officer authorised by the Central Government or the State Government in this behalf to examine at any time any accounts, plans and records maintained by him and shall furnish the Central or the State Government with such informtion and returns as it or any officer authorised by it in this behalf may require;

(j) the lessee shall keep accurate records of all trenches, pits and drillings made by him in the course of mining operations carried on by him under the lease, and shall allow any officer authorised by the Central or the State Government to inspect the same. Such records shall contain the following particulars, namely :-

(a) the subsoil and strata through which such trenches, pits or drillings pass;

(b) any mineral encountered;

(c) such other particulars as the Central or the State Government may from time to time require;

(k) the lessee shall strenthen and support, to the satisfaction of the railway administration concerned or the State Government, as the case may be, any part of the mine which in its opinion requires such strenthening or support for the safety of any railway, reservoir, canal, road or any other public works or buildings;

(l) the lessee shall allow any officer authorised by the Central or the State Government to enter upon any building, excavation or land comprised in the lease for the purpose of inspecting the same; (m) the State Government shall at all times have the right of pre-emption of the minerals won from the land in respect of which the lease has been granted;

Provided that the fair market price prevailing at the time of pre-emption shall be paid to the lessee for all such minerals.

(n) the lessee shall store properly the unutilized or non-saleable sub-grade ores or minerals for future beneficiation;

(o) in respect of any mineral which in relation to its use for certain purposes is classified as a major mineral and in relation to its use for other purposes as a minor mineral, the lessee who holds a lease for extraction of such minerals under these rules whether or not it is specified as a major mineral in the leasedeed, shall not use or sell the mineral or deal with it in whatsoever manner or knowingly allow anyone to use or sell the mineral or deal with it in whatsoever manner as a minor mineral :
Provided that if on an application made to it in this behalf by the lessee, the State Government is satisfied that having regard to the inferior quality of such mineral, it cannot be used for any of the purposes by reason of which use it can be called a major mineral or that there is no market for such mineral as a major mineral, the State Government may by order permit the lessee to dispose of the mineral in such quantity and in such manner as may be specified therein as a minor mineral.
(p) the lessee shall, in the matter of employment, give preference to the tribals and to the persons who become displaced because of the taking up of mining operations;
(q) the lessee shall not pay a wage not less than the minimum wage prescribed by the Central or State Government from time to time under the Minimum Wages Act,1948;
(r) the lessee shall observe the provisions of MinesAct, 1952 [and of the Atomic Energy Act, 1962, (33 of 1962) in sofar as they relate to Atomic Minerals included in Part 'B' of the Schedule to the Act;]
(s) the lessee shall -
(i) take immediate measures for planting in the same area or any other area selected by the Central or State Government not less than twice the number of trees destroyed by reasons of any mining operations;
(ii) look after them during the subsistence of the lease after which these trees shall be handed over to the State Forest Department or any other authority nominated by the Central or State Government;
(iii) restore, to the extent possible other flora destroyed by the mining operations;
(t) the lessee shall pay to the occupier of the surface of the land such compensation as may become payable under these rules;
(u) the lessee shall comply with the Mineral Conservation and Development Rules framed under section 18;
(2) A mining lease may contain such other conditions as the State Government may deem necessary in regard to the following, namely :-
(a) the time-limit, mode and place of payment of rents and royalties;
(b) the compensation for damage to the land covered by the lease;
(c) the felling of trees;
(d) the restriction of surface operations in any area prohibited by any authority;
(e) the notice by lessee for surface occupation;
(f) the provision of proper weighing machines;
(g) the facilities to be given by the lessee for working other minerals in the leased area or adjacent area;
(h) the entering and working in reserved or protected forest;
(i) the securing of pits and shafts;
(j) the reporting of accidents;
(k) the indemnity to Government against claims of third parties;
(l) the delivery of possession of lands and mines on the surrender, expiration or determination of the lease;
(la) the time limit for removal of mineral, ore, plant, machinery and other properties from the lease hold area after expiration, or sooner determination or surrender or abandonment of the mining lease.]
(m) the forfeiture of property left after determination of lease;
(n) the power to take possession of plant, machinery, premises and mines in the event of war or emergency;
(o) filing of civil suits or petitions relating to disputes arising out of the area under lease.

(3) The State Government may, either with the previous approval of the Central Government or at the instance of the Central Government, impose such further conditions as may be necessary in the interests of mineral development, including development of atomic minerals.
(4) If the lessee does not allow entry or inspection under clause (i), (j) or (l) of sub-rule (1), the State Government shall give notice in writing to the lessee requiring him to show cause within such time as may be specified in the notice why the lease should not be determined and his security deposits forfeited; and if the lessee fails to show cause within the aforesaid time to the satisfaction of the State Government may determine the lease and forfeit the whole or part of the security deposit.
(5) If the lessee makes any default in the payment of royalty as required under section 9 or payment of dead rent as required under section 9A or commits a breach of any of the conditions specified in sub-rules (1), (2) and (3), except the condition referred to in clause (f) of sub-rule (1), the State Government shall give notice to the lessee requiring him to pay the royalty or dead rent or remedy the breach, as the case may be, within sixty days from the date of the receipt of the notice and if the royalty or dead rent is not paid or the breach is not remedied within the said period, the State Government may, without prejudice to any other proceedings that may be taken against him, determine the lease and forfeit the whole or part of the security deposit.
28. Lapsing of leases :- (1) Subject to the conditions of this rule where mining operations are not commenced within a period of two years from the date of execution of the lease, or is discontinued for a continuous period of two years after commencement of such operations, the State Government shall, by an order, declare the mining lease as lapsed and communicate the declaration to the lessee.

(2) Where a lessee is unable to commence the mining operation within a period of two years from the date of execution of the mining lease, or discontinues mining operations for a period exceeding two years for reasons beyond his control, he may submit an application to the State Government explaining the reasons for the same, at least three months before the expiry of such period;
(3) Every application under sub-rule (2) shall be accompanied by a fee of Rs.200/-
(4) The State Government may on receipt of an application made under sub-rule (2) and on being satisfied about the adequacy and genuineness of the reasons for the non-commencement of mining operations or discontinuance there of, pass an order before the date on which the lease would have otherwise lapsed, extending or refusing to extend the period of the lease :
Provided that where the State Government on receipt of an application under sub-rule (2) does not pass an order before the expiry of the date on which the lease would have otherwise lapsed, the lease shall be deemed to have been extended until the order is passed by the State Government or until a period of two years, whichever is earlier.

Explanation 1 : Where the non-commencement of the mining operations within a period of two years from the date of execution of mining lease is on account of -

(a) delay in acquisition of surface rights; or
(b) delay in getting the possession of the leased area; or
(c) delay in supply or installation of machinery; or
(d) delay in getting financial assistance from the banks, or any financial institutions; or
(e) ensuring supply of the mineral in an industry of which the lessee is the owner or in which he holds not less than 50% of the controlling interest and the lessee is able to furnish documentary evidence supported by a duly sworn affidavit, the State Government may consider if there are sufficient reasons for non-commencement of operations for a continuous period of more than two
years.
Explanation 2 : Where the discontinuance of mining operations for a continuous period of two years after the commencement of such operations is on account of -

(a) Orders passed by any statutory or judicial authority; or
(b) perations becoming highly uneconomical; or
(c) strike or lock out;

and the lessee is able to furnish documentary evidence supported by a duly sworn affidavit, the State Government may consider if there are sufficient reasons for discontinuance of operations for a continuous period of more than two years.
[Explanation 3 : In case of mining lessee who has undertaken reconnaissance operations or in case of mining lessee whose capital investment in mine development is planned tgo be in excess of Rs.200 crores and where the mine development is likely to take more than two years, the State Government shall consider it to be sufficient reason for non-commencement of mining operations for a continuous period of more than two years].
28A. (1) Where a lessee is unable to commence the mining operations within a period of two years from the date of execution of the mining lease, or discontinuous mining operations for a period of exceeding two years for reasons beyond his control, he may submit an application to the State Government explaining the reasons for the same at least within six months from the date of its lapse :
Provided that the lease has not been revived under this provisions for more than twice during the entire period of the lease.
(2) Every application under sub-rule (1) shall be accompanied by a fee of Rs.500/- <
(3) The State Government on receipt of an application made under sub-rule (1) and on being satisfied about the adequacy and genuineness of the reasons for non-commencement of mining operations or discontinuance there of taking into consideration the matters specified in the Explanation to rule 28, pass an order reviving the lease.
29. Restriction on determination of lease :- (1) The lessee shall not determine the lease except after notice in writing of not less than twelve calendar months to the State Government or to such officer, or authority as the State Government may specify in this behalf :
Provided that where a lessee holding a mining lease for a group of minerals applies for the surrender of any mineral from the lease on the ground that deposits of that mineral have since exhausted or depleted to such an extent that it is no longer economical to work the mineral, the State Government may permit the lessee to surrender that mineral, subject to the following conditions, namely :
(a) the lessee applies for such surrender of mineral at least six months before the intended date of surrender; and
(b) the lessee gives an undertaking that he will not cause any hindrance in the working of the mineral so surrendered by any other person who is subsequently granted a mining lease in respect of that mineral :
Provided further that where a lessee applies for the surrender of the whole or a part of lease-hold area on the ground that such area is barren or the deposits of minerals have since exhausted or depleted to such an extent that it is no longer economical to work such area, the State Government shall permit the lessee, from the date of receipt of the application, to surrender that area if the following conditions are satisfied, namely :-
(a) the lease-hold area to be surrendered has been properly surveyed and is contiguous.
(b) the lessee has paid all the dues payable to the Government under the lease up to the date of application, and
(c) (Omitted).
Provided also that surrender of the lease area by the lessee shall be permitted only thrice during the period of the lease on fulfilling the conditions -
(i) that at least a period of five years has elapsed since the last surrender; and
(ii) that the provisions of the mining plan including the environment management plan there of have been complied with.
(2) Every application for the surrender of a part of lease-hold area in accordance with the provisions of sub-rule (1), shall be accompanied by a deposit of two hundred rupees for meeting the expenditure for the purpose of survey and demarcation of the area to be surrendered :
Provided that the lessee shall deposit such further amount, not exceeding two hundred rupees, as may be demanded by the State Government for meeting any additional expenditure for the said purpose within one month from the date of demand of such deposit :
Provided further that where the whole or any part of the amount deposited has not been expended, it shall be refunded to the lessee within two months from date of the completion of the work of survey and demarcation of the area to be surrendered.
(3)Omitted.
30. Rights of lessee :- Subject to the conditions mentioned in rule 27, the lessee with respect to the land leased to him shall have the right for the purpose of mining operations on that land -

(a) to work the mines;
(b) to sink pits and shafts and construct buildings and roads;
(c) to erect plant and machinery;
(d) to quarry and obtain building and road materials and make bricks;
(e) to use water and take timber;
(f) to use land for stacking purpose;
(g) to do any other thing specified in the lease.

31. Lease to be executed within six months:- (1) Where, on an application for the grant of a mining lease, an order has been made for the grant of such lease, a lease deed in Form K or in a form as near there to as circumstances of each case may require, shall be executed within six months of the order or within such further period as the State Government may allow in this behalf, and if no such lease deed is executed within the said period due to any default on the part of the applicant, the State Government may revoke the order granting the lease and in that event the application fee shall be forfeited to the State Government.
[(2) The date of the commencement of the period for which a mining lease is granted shallbe the date on which a duly executed deed under sub-rule (1) is registered.]
32. Security deposit :- An applicant for a mining lease, shall before the deed referred to in rule 31 is executed, deposit as security for the due observance of the terms and conditions of the lease [ten thousand rupees].
33. Survey of the area leased :- When a mining lease is granted by the State Government, arrangements shall be made by the State Government at the expense of the lessee for the survey and demarcation of the area granted under the lease.
34. Manner of exercise of preferential rights for mining lease :-
A mining lease to any person who has a preferential right there to under sub-section (1) of section 11, may at his option, be granted to him either for the whole of the area for which he holds the prospecting licence or such part or parts there of as he may select but the State Government may for any special reasons to be recorded in writing reduce the area or exclude a portion therefrom.
[35. Preferential rights of certain persons :- Where two or more persons have applied for a reconnaissance permit or a prospecting licence or a mining lease in respect of the same land, the State Government shall, for the purpose of sub-section (2) of Section 11, consider, besides the matters mentioned in clauses (a) to (d) of sub-section (3) of section 11, the end use of the mineral by the applicant.]
36. Boundaries below the surface :- The boundaries of the area covered by a mining lease shall run vertically downwards below the surface towards the centre of the earth.
37. Transfer of lease:- (1) The lessee shall not, without the previous consent in writing of the State Government and in the case of mining lease in respect of any mineral specified in '[Part 'A' and Part 'B' of] the First Schedule to the Act, without the previous approval of the Central Government :-
(a) assign, sublet, mortgage, or in any other manner, transfer the mining lease, or any right, title or interest therein, or
(b) enter into or make any [bonafide] arrangement, contract or understanding whereby the lease will or may be directly or indirectly financed to a substantial extent by, or under which the lessee's operations or undertakings will or may be substantially controlled by, any person or body of persons other than the lessee:
(Omitted)
Provided further that where the mortgagee is an institution or a Bank or a Corporation specified in Schedule V, it shall not be necessary for the lessee to obtain any such consent of the State Government.
(1A) he State Government shall not give its consent to transfer of mining lease unless the transferee has accepted all the conditions and liabilities which the transferor was having in respect of such mining lease.
(2) Without prejudice to the provisions of sub-rule (1) the lessee may, subject to the conditions specified in the provision to rule 35, transfer his lease or any right, title or interest therein to a person who has filed an affidavit stating that he has filed an up-to-date income-tax returns, paid the income tax assessed on him and paid the income tax on the basis of self-assessment as provided in the Income Tax Act, 1961 (43 of 1961), on payment of a fee of five hundred rupees to the State
Government;
Provided that the lessee shall make available to the transferee the original or certified copies of al plans of abandoned workings in the area and in a belt 65 metres wise surrounding it; Provided further that where the mortgagee is an institution or a Bank or a Corporation specified in Schedule V, it shall not be necessary for any such institutioin or Bank or Corporation to meet with the requirement relating to income tax :
Provided further that the lessee shall not charge or accept from the transferee any premium in addition to the sum spent by him, in obtaining the lease, and for conducting all or any of the operations referred to in rule 30 in or over the land leased to him.
[Omitted]
(3) The State Government may, by order in writing determine any lease at any time if the lessee has, in the opinion of the State Government, committed a breach of any of the provisions of sub-rule (1) or sub-rule (1A) or has transferred any lease or any right, title, or interest therein otherwise than in accordance with sub-rule (2) :
Provided that no such order shall be made without giving the lessee a reasonable opportunity of stating his case.
37A. Transfer of lease to be executed within three months :- Where on an application for transfer of mining lease under rule 37, the State Government have given consent for transfer of such lease, a transfer lease deed in Form O, or a form as near there to as possible, shall be executed within three months of the date of the consent, or within such further period as the State Government may allow in this behalf.
[38. Amalgamation of leases :- The State Government may, in the interest of mineral development and with reasons to be recorded in writing, permit amalgamation of two or more adjoining leases held by a lessee :
Provided that the period of amalgamated leases shall be co-terminus with the lease whose period will expire first;
Provided further that prior approval of the Central Government shall be required for such amalgamation in respect of leases for minerals specified in Part 'A' and Part 'B' of the First Schedule to the Act]
[39. Pending applications for transfer and amalgamation :- An application for the transfer of a mining lease or the amalgamation of mining leases pending at the commencement of these rules shall be disposed of in accordance with these rules].
 

   


 

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