( 1 ) THE two petitioners assail the order of first respondent, dated 19. 5. 2001, as illegal, void and opposed to principles of natural justice and seek to set aside the said order. The first respondent issued impugned order transferring b Form licence to the third respondent in respect of sri Rama Krishna Theatre, Machilipatnam. Be it noted, the first respondent exercised the powers under the provisions of a. P. Cinemas (Regulation) Act, 1955 (hereafter called, the Act) and A. P. Cinemas (Regulation) Rules, 1970 (hereafter called, the Rules ).

( 2 ) THE fact of the matter, in brief, is as follows. A cinema theatre known as M/s. Sagar Talkies was constructed by sava Srinivasa Sastry and Sava Nachara vara Prasad sometime prior to 1974. In that year, the two owners of the cinema theatre sold the theatre to fifteen persons under registered sale deed, dated 26. 5. 1974. Those persons constituted themselves into a partnership firm and were running the theatre in the name and style of Rama krishna Talkies. The firm was again reconstituted on 14. 7. 1990. The cinema theatre obtained b form licence under the Act and the Rules in the name of one Goriparthi narasimha Raju, who is the un

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