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1991 Supreme(SC) 387

SUPREME COURT OF INDIA
N.M. KASLIWAL AND K. RAMASWAMY, JJ.
Doongaji and Co., Appellant

Versus

State of M.P. and others, Respondents.
Civil Appeal No.5483 of 1983

Decided on 9-8-1991.

Advocates:
F.NARIMAN, P.H.Parekh, R.S.SINGHAL, RAJINDAR NARAIN, RAMESHWAR NATH ROY, S.K.AGNIHOTRI, S.K.Sinha, V.M.TARKUNDE, V.N.GANPULE

Headnote:RIGHT TO CARRY ON THE BUSINESS OR TRADE IN INTOXICANTS NOR THE STATE BE COMPELLED TO PART WITH ITS EXCLUSIVE RIGHT OR PRIVILEGE OF MANUFACTURE, SALE, STORAGE OF LIQUOR.

JUDGMENT

K. RAMASWAMY, J.:—This appeal by special leave arises against the judgment of the Division Bench of the Madhya Pradesh High Court, Indore-Bench dismissing M. P. No. 169 of 1982 dated October 7, 1982. The appellant, a partnership firm filed the writ petition seeking writ of mandamus and other direction to remove Rajdhani Distilleries Corporation, the 7th respondent in the writ petition in the High Court and 6th respondent in this appeal for short respondent, or his servants or agents and to deliver vacant and peaceful possession of Ujjain Distillery and warehouses attached to it and the plant and machinery mentioned in the schedule Annexure P-3 to the writ petition. It also sought for mandamus or other order to have the valuation of the plant and machinery in Annexure P-3 assessed or direction to return the goods or things described in Annexure P-7 or on its failure to pay a sum of Rupees 8,48,179.28 and a mandamus directing the State Govt. to terminate the licence granted on August 25, 1981 to the respondent and to issue licence to the appellant under S. 13 of the M. P. Excise Act, 1915, for short the Act, etc. Thus this appeal.

2. The material facts, to dispose of the point arose in this appeal, lie in a short compass as stated hereunder:

In the State of Madhya Pradesh nine distilleries for the manufacture of spirit were established and one of which was situated at Ujjain. The appellant and its predecessors continuously had licence under Ss. 13 and 14 of the Act in form D-2 to distill rectified spirit or denatured spirit or liquor and D-1 licence for wholesale supply of country made liquor in the distillery to retail vendors in the area attached to the distillery. The licence was for a period of 5 years. The last licence of which was for the period from April 1, 1977. to March 31, 1981. The normal procedure in vouge was to call for tenders and the lowest was being accepted, though sometimes highest was also preferred. Next licensing period commenced from April 1, 1981 to March 31, 1986 and the respondent became the successful tenderer which the appellant impugned in Misc. Petition No. 701/ 81 and obtained stay of dispossession from the distillery and the attached warehouses, The interim stay was later vacated and the petition was dismissed on August 20, 1981. We may also mention here that the writ petition was also dismissed and the special leave petition was dismissed by this court. Thus grant of licence to the respondent under Forms D-1 and D-2 licences became final. On August 21, 1981 the Officer-in-Charge of the distillery wrote a letter to the appellant calling upon them to be present on August 22, 1981 to deliver the distillery, plant, machinery, etc. to the respondent. The appellant neither received it nor co-operated to deliver possession of the distillery, etc. to the respondent. Instead it locked the distillery and went away. in the meanwhile the Excise Department also put their locks on the distillery etc. On August 27, 1981 the District Excise Officer again called upon the appellant to be present on August 28, 1981 to deliver possession of the distillery, etc. to the respondent. But the appellant remained absent. Consequently possession was taken of the distillery and warehouses, after taking inventory of stock in hand in the presence of the witnesses and the same were handed over to the respondent on August 28, 1981. The appellant sent a letter on February 23, 1982 valuing. the goods taken possession of at Rs. 8,36,989.61. On August 8, 1982 the appellant demanded redelivery of the distillery, plant and machinery and warehouses and the value of the stock in trade or to pay the amount. On March 16, 1982 the appellant filed the writ petition in the High Court but was dismissed.

3. The appellant contended in the High Court that it had been in exclusive possession of the distillery, plant and machinery at Ujjain and the attached warehouses and dispossession was unlawful and that, therefore, the. appellant was




























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