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2025 Supreme(Kar) 2978

2025 KHC 42937
IN THE HIGH COURT OF KARNATAKA AT BENGALURU
RAVI V.HOSMANI, J.
Shree Bhagavathi Amman Fruits – Appellant
Versus
State of Karnataka – Respondent
Writ Petition No. 17773, 27494 of 2025
Decided On : 28-10-2025
Advocates Appeared : 
For the Appellants : M.R. Rajgopal, Shilpa Rani
For the Respondents : Bhojegouda T. Koller, T. Swaroop, Jayakumar S. Patil, D.S. Manjegowda, Chinmay Kurandwad

The court reaffirmed that compliance with publicity requirements under the allocation rules was sufficient, despite claims of irregularities, leading to the dismissal of the petitions challenging the notification process.

Headnote:(A) Karnataka Agricultural Produce Marketing (Regulation) Act, 1966 - Sections relevant to allotment rules; Karnataka Agricultural Produce Marketing (Regulation of Allotment of Property in Market Yards) Rules, 2004 - Rule 3(2) - Notification for allotment challenged for lack of due publicity - Requirement for widely circulated newspapers not met, impacting applications received - Court found process continued despite inquiry reporting irregularities. (Paras 3, 6, 19, 32)

(B) Administrative powers - Question of whether an Administrator can initiate allocation process addressed - No unlawful deterrence found based on administrator's actions. (Paras 36)

Facts of the case:
Petitioners contested the allotment of shops in a market yard's recent notification, claiming lack of sufficient publicity in compliant newspapers, resulting in minimal response. They argued this indicated collusion and violations of their legitimate expectations.

Findings of Court:
The court upheld the validity of the notification process, asserting adequate compliance with publicity requirements, and that the allegations of malfease were unsubstantiated.

Issues: The case primarily addressed the legality of the notification process and whether the administrator overstepped bounds.

Ratio Decidendi: The court concluded that the newspapers chosen were compliant, determined that the reports of inquiry did not warrant restarting the process as eligibility was still considered valid among remaining applicants.

Result: Writ petitions dismissed.

Table of Content
1. challenge to notification for shop allotment. (Para 1)
2. failure of apmc to publish notification properly. (Para 2 , 3 , 4 , 5 , 6)
3. irregularities in allotment process. (Para 8 , 9 , 10 , 11)
4. defense of respondents regarding publication of notification. (Para 12 , 13 , 14 , 15)
5. respondents argue compliance with legal requirements. (Para 16 , 17 , 18 , 19)
6. validity of new arguments in rejoinder. (Para 21 , 22 , 24 , 25)
7. analysis of statutory requirements for notification. (Para 26 , 27 , 28 , 29)
8. interpretation and application of rules for allotment process. (Para 30 , 31 , 32 , 33 , 34 , 35)
9. conclusion - dismissal of writ petitions. (Para 36)

ORDER :

1. Challenging notification bearing no.HaHuMaTha (Vi) KruVuMaSa(Ben)/2036/2024-25 dated 01.03.2025 issued by respondent no.3 at Annexure-B and seeking for direction respondents to issue fresh notification for allotment of shops no.F52, F56 and E32 in Singena Agrahara Sub-Market Yard, Anekal Taluk, Bengaluru District, in accordance with Rule 3 (2), these writ petitions are filed. In W.P.no.27494/2025, an additional prayer for quashing allotment letters dated 18.06.2025 issued by respondent no.3 in favour of respondents no.4, 5 and 6 as per Annexures-H, H1 and H2 respectively is also sought.

2. Sri MR Rajagopal, learned Senior Counsel appearing for Smt.Shilpa Rani, advocate for petitioners submitted, petitioners were licence holders/market functionaries in respondent no.3 ('APMC' for short) since many years. On 02.03.2025, APMC got published notification dated 01.03.2025 in Samyuktha Karnataka, Kannada daily newspaper, which was not widely circulated in market area, calling for applications from eligible market functionaries for allotment of shops no.F52, F56 and E32 in APMC.

3. It was submitted, Rule 3 of Karnataka Agricultural Produce Marketing (Regulation of Allotment of Property in Market Yards) Rules, 2004 ('Rules' for short) mandates that notification calling for allotment of shops was required to be given due publicity by specifying location, number of sites/shops/godowns etc., by stipulating last date for submission of application by affixing copy of notification on notice board of APMC and publication in not less than two Kannada daily newspapers of wide circulation in market area. It was submitted, clause (2) of Circular dated 09.02.2023 (Annexure-G) issued by DMA, mandated publication to be in two Kannada Daily Newspapers having wide publication in market area and APMC was required to obtain prior approval from Director, Department of Information and Publicity ('DIP' for short) for publication.

4. It was submitted, publication of notification in Samyuktha Karnataka and Hosa Diganta, newspapers which did not have wide circulation in market area led to most of traders being unaware of notification and thereby preventing them from filing application. It was submitted, fact that only 17 applications were received in a market yard having over thousand market functionaries was indicative of same. Relying upon decision of this Court in Sri Venkatesh v. Sri P. Subbaiah & Anr. ILR 2007 KAR 3912 , it was submitted, this Court had held, word 'daily newspaper' should be understood to mean not only a newspaper which is circulated on all seven days of week, but also should be of repute, published as morning edition. It was further held, publication in evening editions or in newspapers which are not seriously taken, object and purpose of publication would not be served and would end up as an empty formality.

5. It was submitted, APMC has been consistently publishing notifications in Prajavani, Kannada Daily Newspaper and deviated only insofar as impugned notification. Same not only violated legitimate expectation of petitioners, but also indicated collusion between APMC and allottees. It was submitted, in their objection statement, respondents had merely stated that DIP was informed. Thus there was failure to produce material to establish recording of satisfa

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