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2013 Supreme(Pat) 266

IN THE HIGH COURT OF JUDICATURE AT PATNA
Dr. RAVI RANJAN, J.
Brahmdeo Rai Son Of Late Nirsu Rai Resident Of Village-Dumaria, P.O. Jamin Mathiya, P.S. Minapur, District-Muzaffarpur. - Petitioner
Versus
1. The State Of Bihar.
2. The Principal Secretary, Food And Civil Supplies Department, Government Of Bihar, Patna.
3. The District Magistrate, Muzaffarpur, District-Muzaffarpur.
4. The Sub-Divisional Officer, East Muzaffarpur, District-Muzaffarpur.
5. The Block Supply Officer, Minapur, District-Muzaffarpur. - Respondents
Civil Writ Jurisdiction Case No.18899 of 2011
Decided on: 04-03-2013

Advocates Appeared:
For the Petitioner:Mr. S. B.K. Manglam, Mr. Ravi Ranjan Chandan, Advocates.
For the State: Mr. J.S. Arora SC 6, Mr. Ajay Kumar, A.C. to S.C. 6.

Violation of natural justice and failure to consider the petitioner's reply led to the quashing of the order cancelling the licence.

Headnote:

Quashing of Order - Public Distribution System - The court quashed the order cancelling the petitioner's licence for running a shop under the Public Distribution System, citing violation of natural justice and failure to consider the petitioner's reply. The matter was remitted back to the licensing authority for fresh consideration.

Fact of the Case:

The petitioner sought quashing of the order cancelling their licence for running a shop under the Public Distribution System.

Finding of the Court:

The court found that the order cancelling the petitioner's licence could not be sustained due to violation of natural justice and failure to consider the petitioner's reply. The matter was remitted back to the licensing authority for fresh consideration.

Issues: Violation of natural justice, failure to consider petitioner's reply

Ratio Decidendi: Show cause notice and consideration of the reply are mandatory when an action or order of the authority is going to visit civil consequences upon a party. Non-supply of the enquiry report and statements of the charges to the petitioner violates the principle of natural justice. The licensing authority must consider the petitioner's reply before passing a final order.

Final Decision: The court quashed the order cancelling the petitioner's licence and remitted the matter back to the licensing authority for fresh consideration.

ORDER

Heard learned counsel for the petitioner and the State.

2. Through this writ application, the petitioner seeks quashing of the order dated 13.09.2011 passed by the Sub-Divisional Officer, East Muzaffarpur-cum-Licensing Authority, as contained in Annexure-5, by which the licence of the petitioner for running a shop under the Public Distribution System (Control) Order, 2001 has been cancelled.

3. At the time of hearing of this matter, learned counsel for the petitioner has raised two points which stand enumerated in the paragraph nos. 12, 13, 14, 15 and 16 of this writ application. First point is that the licensing authority has relied upon an enquiry report as well as the statements of the consumers which was recorded against him, however, it has been stated in clear terms in the aforesaid paragraphs that at no point of time either a copy of such report or the statements of such consumers were supplied to him before taking a final decision so that a proper reply to the show cause notice could have been given by the petitioner. Second issue raised by the petitioner is that so far consumers of Repura Village are concerned their names having been detached from the petitioner’s licence i.e., about ten months ago and attached to some other PDS dealers and, as such, show cause notice and decision of cancellation on the aforesaid ground would be bad in law. Learned counsel has made a reference in this regard to paragraph no.4 of his reply to the show cause notice which appended as Annexure- 4 to this writ application and has further submitted that even his reply has not been considered by the licensing authority while passing the final order.

4. Though a counter affidavit has been filed on behalf of the State and copy of the enquiry report as well as the statements of the complainants/consumers have been appended as Annexure- A series but so far as the allegation of the petitioner to the extent that those were not supplied to him have been evaded to be answered. Only submission to that regard, which stands recorded in the paragraph no.11 of the counter affidavit, is that the petitioner should have asked for any paper on document if that was felt necessary by him for giving a proper reply.

5. In my considered opinion, if any action or an order of the authority is going to visit some civil consequence upon a party or a person, a show cause notice and consideration of the reply thereafter would be mandatory. Show cause notice cannot be considered to be a simple notice describing the charges only as the basis for levelling it should also be known to the petitioner so that a proper reply to the notice could be furnished by him and be ultimately considered by the licensing authority before passing a final order. Non-supply of the copy of the enquiry report and the statements of the charges to the petitioner would lead to a situation when it can safely be construed that the principle of natural justice has been violated. So far the second issue is concerned though a specific averment has been made in the reply to the show cause notice (Annexure-4) that the Repura Village consumers have been detached from the shop of the petitioner and were attached with some other PDS dealers, thus, the charges to that extent cannot be levelled against the petitioner, that has not been considered by the licensing authority while passing the order as no reason has been recorded for rejecting such plea taken by the petitioner.

6. Thus, on both counts the impugned order, as contained in Annexure-5, cannot be sustained in its present form and, accordingly, the same is quashed and set aside. However, the matter is remitted back to the licensing authority for fresh consideration in accordance with law by recording a speaking order in terms of the observations made in the present order. Since a report of the enquiry as well as the statements of the complainants have already been appended with the counter affidavit, no fresh show cause notice along with the docu


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