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1992 Supreme(Gau) 119
GAUHATI HIGH COURT
MANISANA AND Smt. M. SHARMA, JJ.
Shri.Mamat Chandra Das -Appellant
Versus
State of Assam and others -Respondent
Civil Rule No. 1441 of 1992
Decided On : 27-07-1992
Mr. S. N. Medhi, Mr. A. Choudhury, Ms. M. Das, Advs., Mr. A. C. Buragohain, G. A., Assam
The exercise of statutory power interfering with property rights must strictly comply with pre-conditions, and the grounds for suspension must be clearly indicated in the order.
Headnote:
Suspension of Licence - Public Distribution of Articles - The court set aside the order of suspension of the petitioner's licence under the Assam Public Distribution of Articles, 1982, due to lack of indication of specific irregularities and failure to comply with the pre-conditions for exercising statutory power.
Fact of the Case:
The Deputy Commissioner suspended the petitioner's licence based on irregularities detected in the functioning of the FP shop, without specifying the irregularities or indicating who contravened the terms and conditions of the licence.
Finding of the Court:
The court set aside the order of suspension, stating that the Deputy Commissioner did not apply his mind at the time of passing the order and failed to comply with the pre-conditions for exercising statutory power.
Issues: Suspension of licence under the Assam Public Distribution of Articles, 1982.
Ratio Decidendi: The court emphasized that the exercise of statutory power interfering with property rights must strictly comply with pre-conditions, and the grounds for suspension must be clearly indicated in the order.
Final Decision: The order of suspension of the petitioner's licence was set aside, with the direction for the Deputy Commissioner to issue notices or pass orders in accordance with the law.
MANISANA, J. :- The facts leading to this petition under Art. 226 of the Constitution of India may, in brief, be noticed. The petitioner Shri Mamat Chandra Das is an "appointed dealer" under the Assam Public Distribution of Articles, 1982 (Order for short). The Deputy Commissioner Kamrup, by his order dated, 15-7-92, suspended the licence of the petitioner. The ground of suspension of the licence was that, on perusal of the report dated 23-6-92 submitted by Shri B. K. Singh Inspector of Food and Civil Supplies Guwahati regarding functioning of the FP shop of the petitioner, the Deputy Commissioner found that some irregularities were detected in respect of the FP shop.
2. Sub-clause (1) of clause 15 of the Order provides that, if the licensee or his agent or servant or any other person acting on his behalf contravenes any of the terms and conditions of the licence, his licence may be cancelled or suspended by any order in writing of the Licensing Authority. It is well-recognised that any exercise of statutory power interfering with the property rights of the citizens is possible only after strictly complying with the pre-conditions of the exercise of that power. Therefore, the conditions precedent for cancellation of licence must exist at the time when the order of suspension of the licence was passed.
3. As already stated, the ground for suspension of licence in this case was that irregularities were detected. It may be stated here that the irregularities which were detected have not been indicated in the impugned order. Under clause 15, a licence can only be suspended, if licensee or his agent or servant or any other person acting on his behalf contravenes any of the terms and conditions of licence. The impugned order does not indicate which of the terms and conditions of the licence that have been contravened nor indicate who has contravened the terms and conditions of the licence. It, therefore, shows that the Deputy Commissioner has not applied his mind at the time when the impugned order of suspension of licence was passed. Accordingly, the order of suspension of licence is set aside. Needless to say that it is open to the learned Deputy Commissioner Kamrup to issue notices or pass such orders in accordance with law.
4. With the aforesaid observations and direction the petition is disposed of.
Petition allowed.
