Varghese Kalliath, J.

This Original Petition comes up for hearing before us on a reference by a learned single judge of this Court. His Lordship is of opinion that the Original Petition requires to be considered by a Division Bench, since certain questions of law arise in this Original Petition, the result of which will have far-reaching public importance.

2. Petitioners are the legal representatives of one Narayana Pillai, who was the successful bidder of 12 arrack shops in Kunnathur Range. The Assistant Excise Commissioner, Quilon conducted the auction on 27-3-1981. This was done in accordance with S.18A of the Abkari Act read with R.3(1) of the Kerala Abkari Shops (Disposal in auction) Rules, 1974 hereinafter referred to as the Act and the rules). The notification in the gazette for the conduct of the auction was on 7th March, 1981. It was in terms of R.4 of the Rules. Narayana Pillai was the highest bidder for the privilege of vending arrack in the 12 arrack shops in Kunnathur Range. The bid amount was Rs. 29,01,000/- It was for the year commencing from 1-4-1981 to 31-3-1982.

3. The auction purchaser deposited an amount of Rs.8,70,300/- representing 30% of the bid amou