IN THE HIGH COURT OF MADHYA PRADESH
G.S. Ahluwalia, J.
Abhishek Jain v. Hindustan Petroleum Corporation Ltd.
Writ Petition No. 4020 of 2021 (G); Decided on 13.8.2021*
(1) Constitution of India -- Arts. 226 and 19 -- notice issued for appointment of Regular/Rural Retail Outlet (Petrol Pump) dealership -- petitioner aspirant for Rural Retail Outlet (Petrol Pump) dealership -- Letter of Intent issued to petitioner -- security amount deposited -- later on, advertisement cancelled -- difference in Rural Retail Outlet and Regular Outlet is amount of security -- petitioner ready to deposit difference -- rationale behind classification of location as Regular Retail Outlet and Rural Retail Outlet is amount of business -- if contention of petitioner is accepted, it would be violative of Article 19 -- deposit of security amount and issuance of Letter of Intent would not create any right -- as regards security amount invested, petitioner has remedy for damages under civil law -- petition dismissed. Civil Appeal No. 4358 of 2016 dated 23.7.2021 (SC) and (2001) 2 SCC 167 followed. [Paras 12, 13, 16 & 21]
(2) Constitution of India -- Art. 226 -- maintainability of writ petition -- writ petition for enforcement of contractual right -- not maintainable. (2001) 2 SCC 167 followed. [Para 18]
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ORDER
1. This petition under Article 226 of the Constitution of India has been filed seeking the following relief:-
“(i) That, the order impugned annexure P/1 dated 22.1.2021 passed by respondent No. 1 may kindly be quashed.
(ii) That, the respondents be directed to proceed further as per the letter of intent issued to the petitioner dated 17.6.2019 annexure P/6 with regard to establishment of retail outlet as per location No.116 as advertised in the publication dated 14.12.2018.
(iii) Any other writ, order or direction as this Hon'ble Court may deems fit in the facts and circumstances of the case be granted to the petitioner. Costs be awarded.”
2. It is submitted by the counsel for the petitioner that on 13.12.2018 (annexure P-2), a notice for appointment of Regular/Rural Retail Outlet (Petrol Pump) Dealerships was issued. The petitioner was one of the aspirant for the Rural Retail Outlet (Petrol Pump) Dealership “within 1.5 kilometers from Dabra Pichhore Tiraha towards Pichhore” and accordingly, he submitted his application. By order dated 17.6.2019, a Letter of Intent was issued to the petitioner. All the paper requirements sought by the respondents/Corporation were completed. The security amount was also deposited. However, by the impugned order dated 22.1.2021, the advertisement in respect of “Rural Retail Outlet (Petrol Pump) Dealership within 1.5 kilometers from Dabra-Pichhore Tiraha towards Pichhore” has been cancelled on the ground that earlier the advertisement in respect of location No.116 “within 1.5 kilometers from Dabra-Pichhore Tiraha towards Pichhore LHS” was issued in ignorance of fact that the said area is already having a State Highway, therefore, the location does not come within the definition of “Rural Retail Outlet”.
3. Challenging the impugned order dated 22.1.2021, it is submitted by Shri Gupta that it is true that location, which was advertised for Rural Retail Outlet is having State Highway and, therefore, the area would not come within the definition of Rural ROs. However, it is submitted that the only difference between Rural RO and Regular RO is that the security amount is slightly higher. Since, only two persons had applied for allotment of Rural Retail Outlet (Petrol Pump) Dealership and the petitioner was successful and he has also invested huge amount, therefore, he is ready and willing to deposit difference in the security amount.
4. Per contra, the petition is vehemently opposed by the counsel for the State. It is submitted that mere issuance of Letter of Intent Abhishek Jain v. Hindustan Petroleum Corporation Ltd. And anr. does not confer any indefeasible right on the petitioner and when the respondents came to know that the advertisement was issued by wrongly showing location within the rural area, and in fact, it would fall within Regular RO, then the respondent instead of perpetuating the mistake, decided to cancel the advertisement and accordingly, it cannot be said that the action of the respondents is bad in law.
5. Heard the learned counsel for the parties.
6. The controversy involved in the present case evolves in a very narrow compass. In notice for appointment of Regular/Rural Retail Outlet (Petrol Pump) Dealership (Annexure P-2), the location No.116 was described as “within 1.5 kilometers from Dabra-Pichhore Tiraha towards Pichhore on LHS”. The Regular RO and Rural RO have been defined in brochure for selection of dealers (Annexure P-10), which reads as under:-
“1. IDENTIFICATION OF LOCATIONS
Locations for setting up Retail Outlets are identified by the respective oil company based on commercial/minimum volume considerations. Accordingly, Regular and Rural outlets are set up by Oil Marketing Companies (OMC) as under:-
(i) Regular ROs: Locations on Highways (National Highways/State Highways etc.) & Urban/Semi-urban areas (Within Municipal Limits of a town).
(ii) Rural ROs: Locations in rural areas but not on Highways (NH/SH etc.) and outside Municipal Limits of a
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