Hyderabad: The Hyderabad High Court on Wednesday granted stay on levy and collection of cess under the provisions of the AP Mineral Bearing Lands (Infrastructure) Cess Act, 2005, by the AP and TS governments.
Justice M. Seetharama Murti granted the interim order while dealing with a batch of writ petitions by various mineral companies across both states challenging the action of the governments in collecting the cess.
Counsels appearing for the petitioner companies said the Act was stayed by the Supreme Court, despite which the state government had been collecting cess from the mining companies.
This was a brazen defiance and disobedience of the Supreme Court, counsels told the High Court.
Justice Seetharama Murti directed both governments to file counter affidavits, while granting the stay.