In a 26-page decision, Associate Judge David A. Wiseman said the decision to revoke JG’s mining permit was reasonable based on substantial evidence.
Wiseman said JG was notified well before the permit was actually terminated, and two other permits of the company were terminated for similar reasons but after lesser violations.
JG cannot assert that its permit was unreasonably revoked, the judge added.
JG was granted a 20-year term to mine pozzolan and basalt on the northern island of Pagan on Sept. 8, 1995.
On May 3, 2006, DPL Secretary John Del Rosario notified JG that its permit was terminated.
The notice listed seven bases for termination, including JG’s failure to produce revenues for the commonwealth from its two years activities on Pagan, and failure to provide the government within 180 days of the issuance of permit a detailed proposal of how the company intended to develop the pozzolan and basalt recovery.
According to DPL, JG conducted mining and related activities not included in the mining permit.
JG, moreover, failed to pay royalties and other unpaid amounts totaling to $345,914.17, DPL stated.
Wiseman said JG failed to present evidence to prove that it did not violate the permit during the hearing on July 14, 2006.
On Oct. 3, 2007, the Superior Court issued an order granting DPL’s motion for summary judgment.
The court stated that DPL afforded JG sufficient due process before revoking its mining permit.
The court issued a second order denying DPL’s second motion for summary judgment in June 2008 after holding that JG did not violate Article 14 of the permit and the alleged violation could not form the basis for the revocation of the mining permit.
The court enumerated the alleged violations of JG and these included its failure to generate revenue for two consecutive years, failure to provide a development plan, straying outside of the area stipulated in the permit, and unpaid royalties.
JG answered these alleged violations point by point.
JG argued that the government and Del Rosario committed affirmative misconduct, but Wiseman said “the court will not rely on an excerpt from Del Rosario’s decision to determine that affirmative misconduct actually existed.”
