The doctrine of promissory estoppel does not apply when a public authority's obligation to proceed with a distributorship license is impeded by existing legal disputes, and equitable considerations must be recognized.

JUDGMENT :

Subhendu Samanta J.

1. Indian Oil Corporation Limited published an advertisement for appointment of LPG Distributor in the State of West Bengal. The petitioner applied for the location at Dhupguri, Block- Dhupguri Municipality, District- Jalpaiguri under Category- Open. Draw of lots was held amongst the applicants for the said location wherein the petitioner declared successful IOCL informed petitioner vide a letter dated 31.5.2018 to deposit of Rs.50,000/- and to submit documents mentioned therein within 7 working days for conducting Field Verification Credentials (FVC). Accordingly, the petitioner has deposited the said amount along with all required document. It is the contention of the petitioner that petitioner has complied with the formalities as required by IOCL authorities but the IOCL authorities had not proceeded further due to some pending litigation.

2. Hence, the instant writ seeking mandamus upon the concerned authority to conclude the necessary formalities and allow the petitioner to run the LPG business.

3. Through the affidavits, it appears that in the same location there were existence of an agent, namely, M/s. Bimala Gas Service whose license was terminated by the IOCL authorities; against which he (Bimala) approached this Court in a writ petitioner for setting aside the order of termination. Hon’ble Single Bench of this Court has set aside the order of termination, thereafter, IOCL authority preferred an appeal before a Division Bench of this Court. The Division Bench in the appeal, has affirmed the order of learned Single Judge, against which the IOCL preferred a special leave petition (being SLP(C) diary no. 31111 of 2019) before the Hon’ble Supreme Court whereby the Hon’ble Supreme Court dismissed the SLP; thereby the order of Division Bench was affirmed. The IOCL showing the reasons thereof regarding the orders passed by Hon’ble Division Bench which was upheld by the Hon’ble Apex Court could not proceeded to conduct Field Verification Credential are issuance of LOI in favour of petitioner.

4. Initially, this writ petition was dismissed by a Coordinate Bench vide its order dated 06.12.2016 with observation that the writ petition as becoming infructuous in view of the Hon’ble Supreme Court’s order in Special Leave Petition (Civil) diary No. 31111 of 2019. Petitioner herein filed a mandamus appeal against the order by the Single Bench/wherein the Division Bench in MAT 1912 of 2019 observed, inter alia, “whether present writ petition had become infructuous could only be determined by impleading Bimala as a party and considering the facts and evidence of the previous writ. The rights, equities of the parties ought to have been determined fully and conclusively by this exercise.” By that order of remand the instant matter appears for final adjudication.

5. During the continuation of the instant writ petition a Coordinate Bench of this Court has passed an order of 23^rd March, 2021 directing IOCL authority to submit a report if there is any possibility to run two LPG Distributors in the same area so that petitioner as well as the private respondent (Bimala Gas) may be accommodated. By submitting affidavit after enquiry, the IOCL authority replied that it is not possible to run to LPG Distributors in the same location.

6. Facts suggest that the existing Distributor of LPG