State Of Rajasthan & Anr vs J.K. Synthetics Ltd. & Anr

The Supreme Court upheld the Rajasthan High Court's decision to restrict the interest on arrears of royalty under Rule 64-A of the Minerals Concession Rules, 1960 to 12% per annum, instead of the 24% per annum demanded by the State of Rajasthan. The Court clarified that while Section 9(3) of the Mines and Minerals (Development and Regulation) Act, 1957 allows for the amendment of royalty rates, the interest rate applicable to arrears is governed by the specific provisions of the Rules. The Court affirmed the High Court's interim orders and the validity of the notifications increasing the royalty rates, thus dismissing the appeals of the State.