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2006 Supreme(Bom) 605

D.Y.CHANDRACHUD
HINDUSTAN PETROLEUM CORPN. LTD. – Appellant
Versus
PARSHWA AUTO CENTER, RAIGAD – Respondent


( 1 ) THE respondent had obtained a retail dealership for petrol and diesel from the First petitioner on the Mumbai-Pune Highway at hal Budruk, Taluka Khalapur, District Raigad. On 20th January, 2004, a communication was addressed by the Chief Regional Manager of the First petitioner adverting to a visit of the Executive Sales Officer on 1st December, 2003 during the course of which a sample of motor spirit was drawn from the retail outlet and was sent for testing. It was stated in the communication that the lab report showed that the sample did not meet the prescribed limit. A notice was issued to the respondent to show cause as to why action in terms of the dealership agreement should not be taken. An opportunity of submitting a reply was furnished to the respondent. After examining the reply of the respondent dated 30th January, 2004, the Chief Regional Manager informed the respondent on 4th february, 2004 that the failure of the sample to meet prescribed requirements was a major irregularity upon which supplies to the outlet were suspended for a period of 30 days and a penalty of Rs. 20,000/- was imposed. The respondent was informed that since this was the first violation, a st







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