( 1 ) THESE two writ appeals are presented by the State of Karnataka, the Excise commissioner and the Deputy Commissioner (Excise), Mandya, against the order of the learned single Judge allowing the writ petitions presented by the respondents holding that sub-rule (3) of rule 12 of the Karnataka Excise (Sale of Indian and Foreign Liquors) Rules, 1968 (for short 'the Rules') was mandatory and consequently the licences granted by the third appellant in excess of the ratio prescribed in the said clause was illegal.

( 2 ) THE facts of the case in brief are as follow : By a notification dated 27-9-1983 issued under sub-rule (1) of rule 12 of the Rules by the Excise commissioner, with the previous approval of the State Government, inter-alia. the maximum number of retail licences for liquor shops which could be granted in respect of Mandya Taluk had been fixed at 22. Appellant-3, the Licensing Authority, however, during the last Excise year ending with 30th June, 1986 had granted as many as 26 retail licences in favour of individuals. Questioning the legality of the grant of the licences in excess of the number fixed under Rule 12 (1) of the Rules, the respondents presented