LALIT MOHAN SHARMA, J.

1. In all these four writ applications, the petitioners have challenged the order as contained in letter No. B/C5-206/76 E-1981 dated 1-4-1977 reducing the price of country spirit to be supplied by the petitioners to Government Warehouses during the period 1-4-1977 to 31-3-1980. The letter has been annexed to the writ application in C. W. J. C. 892/77 as Annexure 4, in C. W. J. C. 698/77 as Annexure 2, in C. W. J. C. 909/77 as Annexure 3 and in C. W. J. C. 945/77 as Annexure 2. As suggested by the parties, all the four applications have been heard together and are being disposed of by this common judgment. The parties have addressed arguments with reference to C W. J. C. 892/77 and, accordingly, in this judgment reference will be made to the records of that case.

2. By Sec. 22 of the Bihar and Orissa Excise Act, 1915 (hereinafter referred to as the Act), the State Government has been given the power to grant to any person the exclusive privilege of supplying wholesale country liquor within the specified areas on such conditions and for such period as it may think fit. Section 7 (1) (e) of the Act permits the State Government to delegate to the Board of Revenue any of its powers conferred by the Act (excepting the rule-making power) and by Cl. III (4) of the Notification 470-E dated 15-1-1919, the State delegated its power under S. 22, to the Board of Revenue, the respondent No. 2. Tenders were invited for supply of liquor during the period 1-4-1977 to 31-3-1980 in terms of the instructions issued by the Board under S. 91 of the Act. A number of persons including the four petitioners submitted their tenders with reference to different areas within the State of Bihar mentioned their respective rates for supply. It has been jointly stated by both sides before us that there was a negotiation in regard to the rate between the authorities on the one hand and the petitioners on the other and it was agreed that cost price might be fixed at 72 paise per L. P. litre. The areas in respect of which the privilege had to be granted in favour of the different petitioners were, however, fixed independently by the Board of Revenue, and by the letter No. B/C-5-206/ 76E-1852, dated 28-3-1977, the Commissioner of Excise, respondent No. 3 communicated to the petitioners formal orders passed by the Board of Revenue in these regards. The petitioners communicated their acceptance of the grants and on 31-7-1977 offered by way of security deposits, promissory notes which were lying with the department from before. They claim that the entire transaction was fully acted upon. On 1-4-1977 they were surprised to receive the impugned letter No. B/C-5-206/76E-1981 reducing the price of the liquor by 7 paise per L. P. litre. This was done ex parte and illegally. They want to have the order in the letter quashed.

3. In C. W. J. C. 698 of 1977, the petitioner, besides praying for quashing of the aforementioned letter, has also prayed that the respondents should be directed to allot those areas to the petitioner which were mentioned in his application. After some argument on this point, Mr. Basudeva Prasad, learned Counsel for the petitioner, stated that the petitioner did not want to press this claim and the prayer in this regard may be rejected as not pressed. The result is that the only question which now remains to be decided in all the four writ applications is whether the subsequent order reducing the price of the liquor is illegal and fit to be quashed.

4. A copy of the notice issued by the Excise Department inviting tenders has been attached to the writ application as Annexure 1 and it was mentioned therein that the contractors would be required to construct 9 new warehouses and renovate the existing warehouses. Certain other duties of the contractors were also mentioned like maintenance of well furnished quarters to house inspecting officers. It was further provided that an amount equivalent to 5 per cent of the price woul