Point of Law: When the distribution network of the present petitioner and the respondent no. 3 Society, who has a number of fair price shop retailers under its aegis.

JUDGMENT :

This writ petition under Article 226 of the Constitution of India has been preferred by the petitioner challenging an order dated 05.01.2015 passed by the respondent no. 2 i.e. the Deputy Commissioner, Hailakandi whereby an earlier order dated 31.12.2014 passed by the respondent no. 2 has been kept in abeyance until further orders. Both the orders are relatable to lifting of S.K. Oil under the Public Distribution System [PDS].

2. The petitioner is a Sub-Wholeseller of S.K. Oil for which he has been granted a license under the Assam Public Distribution of Articles Order, 1982 [‘the Articles Order’, for short]. The said license has been renewed from time to time. The license has permitted the petitioner to operate as a Sub-Wholeseller to carry on the business of Sub-Wholeseller of the notified article [S.K. Oil] in his area of operation : Village – Algapur-V. On the other hand, the respondent is a Co-operative society registered under the provisions of the Assam Co-operative Societies Act, 1949/2007. The area of operation of the respondent no. 3 is also Village -Algapur-V.

3. The petitioner also has a licence to import and store Petroleum Class B products which includes S.K. Oil, not exceeding 25,000 litres for storage of Petroleum Class B product i.e. S.K. Oil, the petitioner has a storage shed located at Village - Algapur-V.

4. The events which have relevance for the purpose of considering the submissions of the learned counsel for the parties, can be stated to have originated from the year 1996. From a letter dated 05.11.1996, it is noticed that the Assistant Director, In-charge, Food and Civil Supplies, Hailakandi wrote to the concerned S.K. Oil depot at Algapur-V to issue S.K. Oil allotted for the respondent no. 3 Society to the petitioner from the month of November, 1996 onwards. The Assistant Director, In-charge, Food and Civil Supplies, Hailakandi had also informed the Secretary of the respondent no. 3 Society to lift the allotted S.K. Oil for the Society from the S.K. Oil depot from that month onwards. At the same time, the petitioner was informed that he would lift S.K. Oil from S.K. Oil depot at Algapur-V and issue the same to the respondent no. 3 Society by maintaining proper accounts. At that point of time, the respondent no. 3 Society did not have any storage license to store S.K. Oil allotted to the respondent no. 3 Society.

5. On 06.06.2007, the In-charge, Zonal Joint Registrar of Co-operative Societies, Cachar & Karimganj by his letter of even date had instructed the Assistant Registrars of Co-operative Societies under his jurisdiction to direct all the Gaon Panchayat Samabai Samittees [GPSSs] within their respective circles to lift S.K. Oil from S.K. Oil depot and to distribute/deliver the same to the agents/fair price shops from the storage of the respective GPSSs after obtaining necessary licence/permission from the concerned authority. It was pursuant to the said direction contained in the letter dated 06.06.2007, the Executive Committee of the respondent no. 3 Society by a resolution passed on 03.07.2007, decided to initiate necessary steps so that the respondent no. 3 Society can lift and distribute the S.K. Oil to the consumers under it through its own storage premises. After such resolution, the respondent no. 3 applied to the Deputy Commissioner, Hailakandi on 27.07.2007 to allow it to lift PDS S.K. Oil from S.K. Oil Depot directly and distribute amongst its agents from the storage of the respondent no. 3 Society and it had also sought for a storage licence for the respondent no. 3 Society. Acting upon the said application, the authorities processed the matter of issuance of Petroleum Class B storage licence in favour of the respondent no. 3 Society. The land particulars for the proposed S.K. Oil storage premises of the respondent no. 3 Society was verified under the directions of the Sub-Divisional Magistrate, Hailakandi.

6. When the application submitted by the respondent no. 3 Society for issuan