( 1 ) THE petitioner is a Cooperative Society. It is a functional society formed by 50 fishermen on 27-5-1985 who belong to Kothapet Mandal. The society has its operations in five villages namely Kothapet, Mandapally, Billakarru, Modekurru and Kondalapally. They filed this writ petition for a writ of mandamus declaring the action of the 3rd respondent Gram Panchayat represented by its Executive Officer in auctioning the fishing rights of Lingala Cheruvu of Kothapet village as being illegal and unconstitutional. The 3rd respondent in the auction conducted on 9-7-1988 leased out Lingala Cheruvu ad-measuring 3-00 acres to the 4th respondent. The grievance of the petitioner society is that the 3rd respondent is not competent to lease out the fishing rights of the said tank to the 4th respondent ignoring the claims of Fishermen Cooperative Society.

( 2 ) THIS Court ordered notice before admission on 14-9-1998. Notices were served and the 3rd and 4th respondents have filed counter-affidavits. The petitioners also filed reply affidavits to the counters filed by the 3rd and 4th respondents.

( 3 ) ADMITTED facts that can be culled out from these affidavits show that the fishing right in Linga Cheruvu was leased out in 1973 to one Sri Venkat Reddy. The lease was for a period of three years from 1973-76. After expiry, the lease did not hand over the fishing tank. The Gram Panchayat, the 3rd respondent herein filed OS No. 204 of 1977 on the file of the Court of the District Munsif, Kolhapet. The same was decreed on 23-3-1984 in favour of the 3rd respondent directing the defendant Venkat Reddy to hand over the tank and also coconut trees on the bank of the tank. There was an appeal to the Court of Sub-Judge, Rajole by the defendant Venkat Reddy. The appeal AS No. 7 of 1984 was dismissed on 19-3-1990. A second appeal to this Court SA No. 188 of 1990 was also dismissed on 10-6-1997. From the counter-affidavit of the 3rd respondent, it is also clear that an application for mesne-profits was filed by the Gram Panchayat in OS No. 204 of 1977 before the Court of Jr. Civil Judge, Kothapet. After all this civil judicial process, the tank was taken over possession by 3rd respondent on 7-7-1997.

( 4 ) THE Gram Panchayat itself maintained Lingala Cheruvu and could get an income of Rs. 65,000. 00 for the year 1997-98 from fishing operations and an amount of Rs. 20,000. 00 on coconut trees. So as to lease out the fishing rights in Lingala Cheruvu, the Gram Panchayat addressed the Divisional Panchayat Officer, second respondent to fix the upset price for three years from 1998-2001. Accordingly, the second respondent fixed an amount of Rs. 1,10,000. 00 as upset price for leasing of fishing rights and a sum of Rs. 20,000. 00 for coconut trees. The said orders were passed by the second respondent in ROC No. 1135 of 1998 dated 18-6-1998. On receipt of the said orders fixing the upset price, the 3rd respondent vide resolution No. 28 dated 30-6-1998 resolved to put the tank and coconut trees for public auction. Then the 3rd respondent informed the petitioner society vide letter No. RC 317/98 dated 1-7-1998 that as the Court case regarding enquiry into the mesne profits is pending, the Gram Panchayat has decided to put the. tank for public auction. The society was requested to participate in public auction. The public auction was held on 9-7-1998. The Society did not participate. This is presumably because of its preferential right as per the statutory rules. Be that as it may, the auction was knocked down for a sum of Rs. 1,28,000. 00 for coconut trees in favour of one V. Arjun Rao. Likewise the auction in respect of leasing of fishing rights was knocked down in favour of the 4th respondent for a period of three years for a sum of Rs. 1,11,000. 00. The 4th respondent paid Rs. 37,000. 00 being 1/3rd of the lease amount for one year - i. e. , 1/3rd of the total lease amount. The lease period started on 1-7-1998 and one year period would be expir