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2021 Supreme(All) 1138

IN THE HIGH COURT OF ALLAHABAD
Neeraj Tiwari, J.
Jagdamba Prasad - Petitioner
Vs.
State Of U.P. And Others - Respondent
WRIT - C No. - 54917 of 2017
Decided On : 01-12-2021

Advocates Appeared:
For The Petitioner: Pankaj Kumar Gupta

Point of Law: License of fair price shop was cancelled only on the ground of lodging of FIR as well as pendency of criminal case. Apart from that there is no allegation with regard to black marketing or misuse of food-grains, therefore, this cannot be a ground for cancellation of license of fair price shop.

Headnote:

Indian Penal Code,1860 - Sections 147, 148, 149, 323, 504, 506, 307, 308, 452 and 341 - Criminal Law Amendment Act - Section 7 – Unlawful Assembly – Criminal Intimidation - Appeal against conviction - Court has stayed suspension order vide order dated - Enquiry has been initiated nor any proceeding is pending against petitioner and in aforesaid criminal case - Petitioner has already been enlarged on bail - There is no allegation of misuse of food grains or black marketing of same and the only ground of suspension of license of fair price shop is pendency of criminal case against petitioner - Criminal case and filing of charge sheet cannot be a ground for cancellation of license of fair price shop until there is order of conviction suspension order is bad and liable to be set aside.

Finding of the Court :

First information report is not a sufficient ground for canceling the fair price shop licence and authority canceling fair price shop agreement is required to apply mind - If petitioner has committed breach of any government order and in case it is found that petitioner committed any irregularity in the distribution of essential commodities it will be open to respondents to pass a fresh order - Order in question has been passed on account of complicity of petitioner in criminal case and charge sheet filed against him and till date no order of conviction has been passed - License of fair price shop was cancelled only on the ground of lodging of FIR as well as pendency of criminal case - Apart from that there is no allegation with regard to black marketing or misuse of food-grains, therefore, this cannot be a ground for cancellation of license of fair price shop.

Result: Writ petition is allowed

JUDGMENT :

1. Heard learned counsel for the petitioner and learned standing counsel for State- respondents.

2. Present petition has been filed with following relief;

    "(i) a writ, order or direction in the nature of Certiorari quashing the impugned order dated 17.10.2017 passed by Sub Divisional Magistrate, Meja, Allahabad, respondent no. 5."

3. Learned counsel for the petitioner submitted that license of fair price shop was issued to the petitioner on 22.3.2001 which, he was running smoothly. Due to village party bandi, a criminal case being case crime no. 391 of 2017, under Sections 147, 148, 149, 323, 504, 506, 307, 308, 452 I.P.C. was registered against the petitioner. He next submitted that considering the registration of criminal case against the petitioner, his license of fair price shop was cancelled by Sub Divisional Magistrate-respondent no. 5 vide order dated 17.10.2017. Against which, he has preferred present writ petition and after hearing the parties, Court has stayed the suspension order vide order dated 30.11.2017. He next submitted that till date, neither any enquiry has been initiated nor any proceeding is pending against the petitioner and in the aforesaid criminal case, petitioner has already been enlarged on bail. He next submitted that Government Order dated 17.08.2002 prohibits for allotment of fair price shop to a person against whom a criminal case is registered, but that is having no provision to cancel the license of fair price shop in case of involvement in a criminal case after allotment. There is no allegation of misuse of food grains or black marketing of the same and the only ground of suspension of license of fair price shop is pendency of criminal case against the petitioner. He next submitted that this Court in the matter of Anil Kumar Dubey Vs. State of U.P. and others; (Civil Misc. Writ Petition No. 16723 of 2010) decided on 17.01.2011 has considered this aspect that even after submission of charge sheet, Court is of the view that mere pendency of criminal case and filing of charge sheet cannot be a ground for cancellation of license of fair price shop until there is order of conviction, therefore, suspension order is bad and liable to be set aside.

4. Learned standing counsel has vehemently opposed, but could not dispute the factual and legal submission made by learned counsel for the petitioner before this Court.

5. I have considered the rival submissions made by the counsel for the parties and perused the record. Facts of the case are undisputed that license of fair price shop was issued to the petitioner on 22.3.2001 and due to only lodging of FIR against the petitioner, his license of fair price shop was suspended by respondent no. 5 vide order dated 17.10.2017, which was also stayed by this Court vide order dated 30.11.2017. Further, after suspension of shop, no enquiry has been initiated.

6. The very same issue was before this Court in the matter of Anil Kumar Dubey (Supra) and after considering the judgement of Division Bench in the matter of Raj Kumar Vs. State of U.P. and others (Civil Misc. Writ Petition No. 55977 of 2006) decided on 10.10.2006, Court has allowed the writ petition, setting aside the order of cancellation of license of fair price shop by Sub Divisional Magistrate as well as appellate order passed by Divisional Commissioner.

7. Relevant paragraphs of the aforesaid judgement are being quoted herein below;

    "Division Bench of this court in Civil Misc. Writ Petition No. 55977 of 2006 ( Raj Kumar Vs. State of U.P. and others), decided on 10.10.2006 has taken the view that mere lodging of the first information report is not a sufficient ground for cancelling the fair price shop license and the authority cancelling the fair price shop agreement is required to apply mind. Coupled with this court in Civil Misc. Writ Petition No. 43133 of 2008 (Ram Sewak Vs. State of U.P. and others) decided on 27.8.2008 has taken the view which is being extracted below:-

"The petitioner is a fair pric

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