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2026 Supreme(Gau) 346

THE GAUHATI HIGH COURT (HIGH COURT OF ASSAM, NAGALAND, MIZORAM AND ARUNACHAL PRADESH) 
MANISH CHOUDHURY, J.
Md. Alkas Ali Sheikh, Son Of Late Asar Ali Sheikh – Appellant
Versus
The State Of Assam, Represented By The Commissioner And Secretary To The Government Of Assam, And Ors. Respondent
WP(C) 3515 of 2022 
Decided On : 26-02-2026

Advocates Appeared:
For the Appellant : Dr G J Sharma, Mr A Kuddus
For the Respondent: Ga, Assam, Sc, Btc

Conviction under Section 409, IPC influences the validity of a retail license under the APDA Order, necessitating the licensing authority's decision on license cancellation or renewal following due legal provisions.

Headnote:(A) Essential Commodities Act, 1955 - Sections 7 and Clause 15 of Assam Public Distribution of Articles Order, 1982 - Writ petition challenging multiple orders regarding license renewal for retail distribution of PDS articles - Petitioner convicted under Section 409, IPC for breach of trust, which may lead to cancellation of the retail license - Court directs Licensing Authority to decide on the license continuation within one month. (Paras 1, 15, and 16)

(B) Article 226 of the Constitution of India - Writ jurisdiction - The petitioner seeks to set aside orders impacting the operation of Fair Price Shop due to allegations and subsequent investigations - The court emphasized not to extend reliefs in light of petitioner's conviction affecting the license. (Paras 12 and 15)

Facts of the case:
The petitioner was granted a retail license under APDA Order in 2012, which was to distribute PDS articles. Following an FIR for illegal sale of kerosene, the license's operation was interrupted by several orders while the petitioner faced criminal prosecution. (Paras 2, 3, 5, and 12)

Findings of Court:
Given the conviction under Section 409, IPC, the court determined it cannot extend relief regarding the license renewal; the decision on continuation lies with the Licensing Authority based on the provisions of the APDA Order. (Paras 15 and 16)

Issues: The main issues included whether the petitioner's conviction should lead to license cancellation and if previous orders unlawfully impeded the operational capacity of the Fair Price Shop. (Paras 15 and 16)

Ratio Decidendi: The court ruled that due to the conviction, it cannot grant the relief requested, leaving the licensing authority responsible for any decisions regarding the license based on the provisions of the essential commodities laws. (Paras 15 and 16)

Result: Writ petition disposed of with a direction to the licensing authority.

Table of Content
1. petition seeks to set aside orders regarding retail license. (Para 1 , 2)
2. petitioner faced fir and criminal proceedings. (Para 3 , 4)
3. orders affecting the petitioner post-fir. (Para 5 , 6)
4. subsequent orders impacting petitioner's license. (Para 7 , 8 , 9)
5. petitioner seeks relief for operational license. (Para 10)
6. petitioner's counsel argues against license suspension. (Para 11 , 12 , 13)
7. conviction impacts license under apda conditions. (Para 14 , 15)
8. court directs licensing authority to decide on license. (Para 16 , 17)

JUDGMENT :

MANISH CHOUDHURY, J.

1. The present writ petition under Article 226 of the Constitution of India is preferred seeking inter alia setting aside of [i] an Order dated 22.02.2018; [ii] a Show Cause Notice dated 23.04.2018; and [iii] two other Orders dated 25.06.2018 and 10.07.2018. A further direction has also been sought for to direct the respondents to renew the retail license of the petitioner granted under the Assam Public Distribution of Articles [APDA] Order, 1982.

2. The petitioner has stated that he was granted the license under the Assam Public Distribution of Articles [APDA] Order, 1982 on 28.06.2012 by the Licensing Authority. On being granted the license, the petitioner carried on distribution of Public Distribution System [PDS] articles from his Fair Price Shop [FPS] located at Village – Mokrapara, K/Bhotgaon, Kokrajhar. The license was renewed from time to time and the last renewal was up to 31.03.2019.

3. On 12.02.2018, one First Information Report [FIR] came to be lodged by one Abdul Karim Paramanik, a resident of Mokrapara Village, before the Officer In-Charge, Kokrajhar Police Station alleging that on 10.02.2018, the petitioner was caught red-handed by the villagers while illegally selling around 10 litres of Kerosene from his Fair Price Shop [FPS]. The petitioner was also handed over to Police. On receipt of the FIR, the Officer In-Charge, Kokrajhar Police Station Case registered it as Kokrajhar Police Station Case no. 59/2018 under Section 7 of the Essential Commodities Act, 1955 [‘the EC Act’, for short] and initiated investigation. During the course of investigation, the petitioner was arrested and subsequently, he was released on bail.

4. After investigation, a charge-sheet under Section 173 [2] of the Code of Criminal Procedure, 1973 was laid finding a prima facie case to proceed against the petitioner for committing the offences under Sections 409 /419/411, Indian Penal Code [ IPC ]. On submission of the charge-sheet, a charge under Section 409 , was framed against the petitioner by the Court of the learned Sub- Divisional Judicial Magistrate [S], Kokrajhar [‘the Trial Court’, for short] in P.R. Case no. 212/2023.

5. Subsequently after registration of the FIR, the respondent no. 4 passed an Order on 22.02.2018 in reference to an Enquiry Report submitted by the Area Officer. By the Order dated 22.02.2018, the beneficiaries/consumers tagged with the Fair Price Shop [FPS] of the petitioner were transferred to another FPS dealer nearby in the interest of public and for the convenience of the beneficiaries/consumers until further order.

6. The Order dated 22.02.2018 was followed by the Show Cause Notice dated 23.04.2018. As per the Show Cause Notice, Enquiry Reports were submitted by an Inspector of Food, Civil Supplies & Consumer Affairs [FCS&CA], Kokrajhar on 21.02.2018 and 20.04.2018. From the Enquiry Reports, it was revealed that the petitioner failed to carry out the instructions laid down in the NFSA 2013 guidelines and the provision of PDS [Control] Order, 2001. Three allegations were made in the Show Cause Notice with a direction to the petitioner to submit his reply within a period of seven days therefrom. In response to the Show Cause Notice dated 23.04.2018, the petitioner submitted a reply on 02.05.2018 wherein the petitioner denied all the three allegations leveled against him in the Show Cause Notice.

7. On 08.05.2018, the respondent no. 4 p

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