Judgment

MOHAN, J.- Leave granted.

2. This appeal by special leave arises under the following circumstances. The first respondent is a voluntary Consumer Organisation in Kerala, registered under the Scientific, Literary and Charitable Societies Registration Act. Dr P. Kamalasanan, Ram Nivas (Gayathri), Sasthamcotta is a member and Secretary of Respondent 1. He had taken LPG connection through M/s Karthika Gas Agency who is the authorised distributor of the appellant. The said Karthika Gas Agency is the second respondent.

3. The second respondent committed several irregularities in giving gas connection and in providing refills of LPG cylinders to him. The Gas Agency had given more connections than authorised by the appellant, the Indian Oil Corporation. That amounted to deficiency in their service. The second respondent is the authorised agent of Indian Oil Corporation. However, the appellant-Corporation did not take adequate care to ensure that the agency would not cheat the consumers. Notwithstanding the fact that the appellant was aware of the misconduct of the second respondent, it did not take any effective steps to put a stop to the irregularities committed by the second respond