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2023 Supreme(Cal) 1623

IN THE HIGH COURT OF JUDICATURE AT CALCUTTA
T.S. SIVAGNANAM, CJ., HIRANMAY BHATTACHARYYA, J.
M/s. N.K. Mondal & Sons, represented by its Prop. Sri Rabindra Nath Mondal - Appellant
Versus
Union of India & Ors. – Respondents
F.M.A. 215 of 2023 with I.A. No. CAN 1 of 2023
Decided On : 10-08-2023

Advocates Appeared:
For the Appellant : Mr. Kishore Dutta, Sr. Adv., Mr. Ramdulal Manna, Ms. Manju Manna (Dey), Mr. Sabyasachi Mondal, Mr. Sayan Mukherjee, Ms. Payel Khanra.
For the Union of India : Mr. Dwijadas Chakraborty.

Headnote:(A) Public Premises (Eviction of Unauthorised Occupants) Act, 1971 - The Court held that the provisions of the Act are inapplicable to the appellant as they only held a license and no possessory rights over the premises. (Paras 4, 6, 10)

(B) License Agreements - The Court noted that the appellant's continued operation without a valid license violates safety regulations and public health considerations. The argument regarding the requirement of a food license was dismissed. (Paras 5, 10)

Facts of the case:
The appellant challenged the sealing of their catering unit for non-compliance of license fee payments since the year 2000 and health standards. The railway administration contended that the appellant had circumvented compliance and resorted to dubious payments over the years.

Findings of Court:
The appellant did not establish a legitimate right to the premises due to expiration of the original license and absence of a valid agreement. The Court found no basis for interference with the learned single Bench's order dismissing the writ petition.

Issues: The main legal issue addressed whether the Public Premises Act applies to the appellant’s case and if health regulations were being violated by their catering service.

Ratio Decidendi: The Court reasoned that possession rights are not conferred by mere licensing and emphasized public health concerns as paramount, justifying the action taken by railway authorities against the appellant. The previous judgments did not impact the current proceedings. (Paras 6, 8)

Result: Appeal and connected application dismissed.

JUDGMENT :

(T.S. Sivagnanam, C.J.)

1. We have heard Mr. Kishore Dutta, learned senior advocate appearing for the appellant and the learned counsel appearing for the Union of India/respondent.

2. The present appeal is directed against an order passed by the learned single Bench dismissing a writ petition filed by the appellant challenging a notice issued by the railway administration dated 13th September, 2019. By the said notice, M/s. R. S. Mondal was informed that the occupational fee or in other words, the license fee of Rs.4,000/-per annum has not been paid since the year 2000. Further there was an allegation that M/s. R. S. Mondal has resorted to duplicious means to willfully avoid compliance of the order passed by the learned single Bench of this Court and sent cheques to fictitious payees, which could not be encashed by the railways and were sent back to M/s. R. S. Mondal with proper guidelines to make successful payment. Thereafter, also M/s. R. S. Mondal has adopted various dubious methods and continued to send cheques addressed to fictitious payments. Hence, since 1992/2000 neither the Indian Railways has earned a single rupee of revenue from M/s. R. S. Mondal nor have paid any service tax and later the G.S.T. while it continued to run the business of vending of food articles and earned substantial income at the cost of public exchequer. Further, it was pointed out that unavailability of food license for a catering unit is extremely dangerous and a serious cause of health hazard for travelling public as unavailability of medical fitness certificate of the staff handling the food. Thus, after considering these facts, the competent authority temporarily sealed the catering unit with effect from 16th September, 2019 for the safety of travelling public till M/s. R. S. Mondal rectifies all the deficiencies and clear the railway outstanding, as directed by this Court in an earlier writ petition.

3. Before the learned single Bench, the appellant had placed extensive reliance on the order passed by the learned single Bench of this Court in W.P. No.7531 (W) of 2000, firstly, on the interim order dated 7th July, 2000 and in the final judgment and order dated 29th June, 2001. It is, thereafter another eviction notice was passed on 14th November, 2003, wherein it was mentioned that a sum of Rs.2,20,885/-is the arrears of the license fee. Subsequently, another writ petition was filed in which the interim order, which was sought for was refused and the appellant was unsuccessful in his attempt to set aside the order before the Hon’ble Division Bench as the appeal stood dismissed. However, at that stage, when the appeal was heard by the Hon’ble Division Bench in M.A.T. 1475 of 2019, the appellant withdrew the writ petition with liberty to challenge afresh notice dated 4th July, 2011, which was challenged in the writ petition, which has culminated in the impugned order.

4. The argument of the learned senior advocate is largely based upon the earlier order passed in the appellant’s case, wherein there was a reference by the learned single Bench to the provisions of the Public Premises (Eviction of Unauthorised Occupants) Act, 1971. Firstly, we need to see as to whether the provisions of the 1971 Act would apply. Section 2 (1)(e) of the Act defines “public premises” to mean any premises belonging to, or taken on lease or requisitioned by, or on behalf of the Central Government, and includes any such premises which have been placed by that Government, whether before or after the commencement of the Public Premises (Eviction of Unauthorised Occupants) Amendment Act, 1980 (61 of 1980), under the control of the Secretariat of either House of Parliament for providing residential accommodation to any member of the staff of that Secretariat. Section (2)( e)(2) states that any premises belonging to, or taken on lease by, or on behalf of (i) any company as defined in Section 3 of the COMPANIES ACT , 2013, any university established or incorpora

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