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2022 Supreme(AP) 783

IN THE HIGH COURT OF ANDHRA PRADESH
Battu Devanand, J.
M. Dali Naidu - Petitioner
Versus
State of A.P. – Respondent
Writ Petition No.2514 OF 2014
Decided On : 28-10-2022

Advocates:
Advocate Appeared:
For the Petitioner: T V Sri Devi

Headnote:

Constitution of India, 1950 - Article 226 - Essential Commodities Act, 1955 - Section 6-A - Fair Price Shop dealer - Cancelling authorization - Discharging his duties with utmost satisfaction of authorities and to cardholders - writ petition is filed under Article 226 of Constitution of India, questioning order issued by third respondent in Rc. in cancelling authorization of petitioner’s Fair Price Shop in Sancham Village as illegal, arbitrary and violative of principles of natural justice – Held, It is duty of disciplinary authority to conduct independent enquiry in disciplinary proceedings and he has to apply his mind independently to pass final orders. While passing final order, disciplinary authority ought to have afforded opportunity of personal hearing to delinquent dealer and he has to record reasons for not getting convinced with explanation submitted by petitioner and to come to a conclusion to cancel authorization of petitioner. While issuing show cause notice, third respondent shall furnish a copy of report of Deputy Tahsildar, which formed basis of charges to petitioner. On careful examination of order impugned in this writ petition, all these essential ingredients are missing. In view of same, inaction of respondents in not furnishing enquiry report to petitioner and not conducting detailed enquiry independently and not recording reasons for not accepting explanation of petitioner vitiates proceedings due to violation of principles of natural justice - Writ petition is allowed.

ORDER:

1. This writ petition is filed under Article 226 of the Constitution of India, questioning the order issued by the third respondent in Rc.No.1930/2011-H dated 18.01.2014 in cancelling the authorization No.57/1991 of petitioner’s Fair Price Shop in Sancham Village of Ranasthanam Mandal, Srikakulam District, as illegal, arbitrary and violative of principles of natural justice.

2. Heard learned counsel for the petitioner, learned Government Pleader for Civil Supplies and perused the record.

3. The case of the petitioner is that, he was appointed as Fair Price Shop dealer of Sancham Village, Ranasthalam Mandal, Srikakulam District. The petitioner was issued authorization No.57/1991 dated 05.07.1991. Since then, he has been discharging his duties with utmost satisfaction of the authorities and to the cardholders. The petitioner was also kept in-charge of the Fair Price Shop No.34 of Naruva Village in the year 2006.

4. The Deputy Tahsildar and some other staff inspected the Fair Price Shop No.34 of Naruva Village on 09.09.2011 and drafted mediator’s report, alleging certain irregularities and registered a case under Section 6-A of the Essential Commodities Act, 1955. Basing on the report of the Deputy Tahsildar, Ranastalam, the third respondent cancelled the authorization of the petitioner by order in Rc.No.1930/2011-H dated 18.01.2014.

5. Learned counsel for the petitioner submits that, the third respondent did not conduct any enquiry, as stipulated in Clause (5) of the Andhra Pradesh State Targeted Public Distribution System (Control) Order, 2018. Except quoting the provisions of the Control Order, 2018, the impugned order does not disclose the reasons for cancellation. Though there are no irregularities found for the shop of Sancham Village for which the petitioner was originally granted authorization, the third respondent cancelled the authorization of the said shop, which is not valid and in violation of principles of natural justice. Learned counsel for the petitioner finally submitted that, at the political pressure, the third respondent has issued the impugned order of cancellation of authorization No.57/1991 of the petitioner.

6. A counter affidavit has been filed on behalf of the respondents. It is the contention of the learned Government Pleader for Civil Supplies that, on 20.09.2011, the inspecting officials inspected the Fair Price Shop No.34 of Naruva Village, for which the petitioner is working as in-charge dealer. They found certain irregularities in running the fair price shop, besides huge variation of stocks. Basing on the report of the Deputy Tahsildar, originally the authorization of the petitioner was suspended on 01.10.2011. The appeal filed by the petitioner before the Joint Collector, Srikakulam was remanded to the third respondent for conducting enquiry and to pass final orders.

7. Learned Government Pleader further submits that, a show cause notice was issued to the petitioner framing two charges. Charge No.1 is that, the fair price shop dealer is diverting essential commodities to open market and thus, he is doing clandestine business in storing unauthorizedly 1.97 qtls of Rice, 45 liters of Kerosene Oil, in variation of ground stock with reference to the stock Register and in contravention to the provisions of the Control Order, 2018. Charge No.2 is that the fair price shop dealer has failed to maintain records properly.

8. The petitioner has submitted his explanation. In the explanation, the petitioner submitted that, the quantity of 0.80 Qtls of Rice was issued to MPPE School, Jeerupeta and similarly, quantity of 1.00 Qtls of Rice was issued to MPEE School, Boyapalem. Thus, a total quantity of 1.80 Qtls of Rice was given to concerned Mid Day Meals Agency on 09.09.2011 morning. As such, there is only shortage of 17 Kgs of rice. Though it is brought to the notice of the inspecting officials, they did not consider the same. The shortage of 17 Kgs of rice is within the permissible limits. The MDM Agency has

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