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Issues: (i) Whether the Central Government's revisional order under the Mineral Concession Rules, 1960 was invalid for want of recorded reasons. (ii) Whether the High Court could sustain the order by examining the Government file and drawing inferences not stated in the order. (iii) Whether the State Government's earlier grant of a mining lease could be treated as a nullity or could be questioned in revision despite objections as to limitation and maintainability.
Issue (i): Whether the Central Government's revisional order under the Mineral Concession Rules, 1960 was invalid for want of recorded reasons.
Analysis: The revisional power under the Rules was required to be exercised judicially. Where an order affects valuable rights and is subject to further appeal, the authority must record the reasons for its decision and communicate them to the parties. A non-speaking order in revision is ex facie defective, and the defect cannot be cured by subsequent speculation about what the authority may have had in mind.
Conclusion: The Central Government's revisional order was invalid for want of reasons.
Issue (ii): Whether the High Court could sustain the order by examining the Government file and drawing inferences not stated in the order.
Analysis: The High Court was not entitled to supply reasons that the Central Government itself had not recorded. It could not reconstruct the basis of the decision from file notings or infer findings as to priority, limitation, or other matters when those matters were not adjudicated in the order under challenge.
Conclusion: The High Court's approach was impermissible.
Issue (iii): Whether the State Government's earlier grant of a mining lease could be treated as a nullity or could be questioned in revision despite objections as to limitation and maintainability.
Analysis: A grant made on a defective application is not for that reason alone a nullity capable of being ignored. Questions whether the revision was within time and whether delay could be condoned were matters for the revisional authority to decide under the Rules. Those questions could not be concluded by the High Court or by the appellate court on assumptions not recorded by the authority.
Conclusion: The earlier grant could not be treated as a nullity, and the limitation issue had to be decided by the Central Government.
Final Conclusion: The appeal succeeded, the High Court's dismissal was set aside, the Central Government's order was quashed, and the revision was remitted to the Central Government for decision according to law.
Ratio Decidendi: Where a statutory revisional authority exercises quasi-judicial power affecting civil rights and the decision is appealable, it must record and disclose reasons, and a court cannot uphold the order by supplying reasons from the record or by inferring findings not stated in the order.
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