Natural justice requires a speaking order before mining lease cancellation when the lessee's reply is not considered.

Cancellation of a mining lease cannot be sustained where the lessee's objection was not considered and the adverse decision was communicated only as a bare cancellation. An administrative or quasi-judicial order affecting civil rights must reflect application of mind, disclose reasons, and show that the affected party's reply was duly considered. A mere intimation that the lease stood cancelled, without a speaking order or proper hearing, does not satisfy natural justice or the duty attached to the Deputy Commissioner's exercise of power under the mineral concession framework. A fresh reasoned order was required after giving due opportunity of hearing.

---

---

Issues: Whether the cancellation of the mining lease could be sustained when the lessee's reply was not considered and the order was not communicated in a reasoned manner, in the context of the Deputy Commissioner's power under the applicable mineral concession rules.

Analysis: The impugned communication only stated that the lease had been cancelled because the land fell within a notified forest area. The lessee had filed a detailed objection disputing the applicability of the forest notification and other factual grounds, but the record did not show any consideration of that reply before taking the adverse decision. When an administrative or quasi-judicial decision affects civil rights, the affected party's objection must be considered and the decision must be supported by reasons. A mere communication that the lease stood cancelled did not amount to a proper communication of the actual decision, nor did it show compliance with the duty to pass a speaking order after hearing the lessee.

Conclusion: The cancellation could not be sustained in the manner adopted, and a fresh speaking and reasoned order had to be passed after affording due opportunity of hearing.

Ratio Decidendi: An adverse administrative decision affecting civil rights must be preceded by a fair hearing and must disclose reasons showing due consideration of the affected party's reply; absence of such consideration violates natural justice.

---