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IN THE HIGH COURT AT CALCUTTA
BIVAS PATTANAYAK, J.
Rita Nandi - Appellant
Versus
Indian Oil Corporation Limited & Ors. – Respondent
W.P.A. 21365 of 2019
Decided on : 24-04-2024
LPG Distributorship - Land Offered, Terms and Conditions - [Unified Guidelines for Selection of LPG Distributors] - The court considered the land offered by the petitioner for LPG distributorship and found that it fell within the advertised location at Shyambazar. The court also examined the alleged violation of terms and conditions regarding the construction of the showroom and godown, and concluded that the petitioner did not violate the terms and conditions as no approval for construction was issued by the respondents-IOCL.
Fact of the Case:
The petitioner applied for LPG Distributorship at Shyambazar, but the respondents-IOCL withheld commissioning, alleging that the offered land did not fall within the advertised location. The petitioner challenged this action in the writ petition.
Finding of the Court:
The court found that the land offered by the petitioner fell within the advertised location at Shyambazar and that there was no violation of terms and conditions regarding construction, as no approval for construction was issued by the respondents-IOCL.
Issues: 1. Whether the land offered by the petitioner for showroom under Mouza-Pandugram is within the advertised location at Shyambazar. 2. Whether the petitioner violated the terms and conditions of the brochure by making construction of godown and showroom at Plot Nos. 2804 and 2810 and not at Plot No. 2805 as detailed in the application.
Ratio Decidendi: The land offered by the petitioner fell within the advertised location at Shyambazar, and there was no violation of terms and conditions regarding construction, as no approval for construction was issued by the respondents-IOCL.
Final Decision: The writ petition was allowed, and the respondents-IOCL was directed to extend the validity period of the Letter of Intent in favor of the petitioner. The petitioner was directed to comply with the formalities as required under the Letter of Intent, including construction of the showroom in the offered land at Plot No. 2805 within the directed period. Subject to compliance and verification, the respondents-IOCL was directed to commission the LPG distributorship to the petitioner.
JUDGMENT :
Bivas Pattanayak, J.
1. This writ petition has been filed by the petitioner under Article 226 of the Constitution of India for directing the respondents-Indian Oil Corporation Ltd. (hereinafter referred to as ‘IOCL’) for commissioning of LPG Distributorship at the advertised location at Shyambazar, under Shyambazar Gram Panchayat, P.S.- Goghat, District-Hooghly pursuant to advertisement of vacancy declaration dated 31st August, 2017.
2. The brief fact of the case is as follows:
(i) On 31st August, 2017, the Bharat Petroleum Corporation Ltd. (BPCL), Hindustan Petroleum Corporation Ltd. (HPCL) and Indian Oil Corporation Ltd. (IOCL) jointly published advertisement in the Bengali newspaper Ananda Bazar Patrika for appointment of LPG Distributorship in different places of West Bengal.
(ii) One vacancy for appointment of Gramin LPG Distributor at Shyambazar, under Shyambazar Gram Panchayat, Block- Goghat-II, District-Hooghly reserved under the category OBC(W) at serial no.75 of the advertisement was declared by the respondents-IOCL authority.
(iii) The petitioner having all the eligibility criteria including land for construction of showroom and godown applied for appointment of LPG Distributor against the subject vacancy.
(iv) Save and except the petitioner, there was no applicant for appointment of LPG Distributorship at the subject location. As such the petitioner was declared as successful candidate for appointment of LPG Distributor against the subject location.
(v) The petitioner was instructed to deposit a sum of Rs. 30,000/- for field verification and also instructed to submit other documents.
(vi) Upon such instruction, the petitioner deposited a sum of Rs.30,000/-. The respondents-IOCL scrutinized the documents including the document of land offered by the petitioner for construction of godown and showroom and it conducted field verification on 9th January, 2018.
(vii) On receipt of the field verification report, the respondents-IOCL being satisfied issued Letter of Intent in favour of the petitioner on 28th February, 2018 and instructed the petitioner to take all efforts for commissioning of the distributorship within four months from the date, failing which the Letter of Intent will be withdrawn.
(viii) The petitioner thereafter made construction of showroom and godown on the plot of land offered mentioned in the application expending almost an amount of Rs. 40,00,000/-.
(ix) The name of petitioner’s LPG Distributorship i.e. ‘Pandugram Indane Gramin Vitrak’ was approved by respondents-IOCL vide memo dated 11th August, 2018.
(x) Thereafter the petitioner applied for fire licence, NOC from the District Magistrate, trade licence, NOC from the Panchayat and Panchayat Samity, conversion of land which were duly granted by the authorities in favour of the petitioner.
(xi) Despite fulfilling all criteria of eligibility and completing necessary formalities, the respondents-IOCL authority had withheld to allow the petitioner to commission the LPG Distributorship.
(xii) Being aggrieved by such action of respondents-IOCL, petitioner has filed the present writ petition.
3. The respondents-IOCL filed its affidavit-in-opposition and contented inter alia as follows:
(i) Upon verification it was found that the land offered by the petitioner falls under Mouza-Pandugram and not in the advertised location-Shyambazar. The GST Certificate and the First Trade Licence as provided by the petitioner also reflect her address as Pandugram. The village code of Shyambazar is different that of Pandugram, though both the mouzas namely Pandugram and Shyambazar exist under Goghat Police Station.
(ii) The showroom land offered by the petitioner did not fall in the advertised location, nor any document was found to prove ownership of the petitioner with respect to the showroom land before the last date of submission of application i.e. 18th October, 2017.
(iii) The petitioner at the time of application did not have any land for construction of showroom in the adve
The court emphasized the importance of compliance with the terms and conditions of the brochure and the need for approval before concluding a violation.
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The court affirmed that adherence to procedural guidelines and prior court orders is essential in administrative decisions regarding distributorship licenses.
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The main legal point established in the judgment is the significance of meeting the eligibility criteria, particularly the requirement of ownership or registered lease deed for the plot of land offer....
Section 105 of Transfer of Property Act, 1882 read with Section 17(1)(d) and Section 49 of Registration Act, 1908 which specifically mandates that a lease deed for a period exceeding one year is comp....
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