HIGH COURT OF TRIPURA AGARTALA
S. Talapatra, J.
Neermahal Gas Agency - Appellant
Versus
State of Tripura & Ors. - Respondents
WP(C) No. 467 of 2020
Decided On : 26-08-2021
| Table of Content |
|---|
| 1. petitioner licensee faces allegations of non-compliance. (Para 1 , 2 , 3 , 5) |
| 2. defendant claims pandemic affected gas supply. (Para 6 , 7) |
| 3. court examines inquiry process and respondent's claims. (Para 9 , 10 , 11) |
| 4. validity of licensing authority's decision process reviewed. (Para 15 , 18 , 19 , 20) |
| 5. guidelines and statutory compliance discussed. (Para 23 , 24) |
| 6. writ petition partially granted; license cancellation set aside. (Para 28) |
JUDGMENT
The petitioner is a sole proprietorship firm. The petitioner was holding a license for dealing in cooking gas under Tripura Cooking Gas [Licensing, Control and Maintenances of Supplies] Order 1985. According to the petitioner, on 04.06.2020, the petitioner was served a showcause [Annexure-3 to the writ petition] whereby the petitioner was asked to showcause as to why lawful action shall not be taken against her [the sole proprietor] for violation of provisions of the Tripura Cooking Gas [Licensing, Control and Maintenances of Supplies] Order 1985 and liquefied Petroleum Gas [Regulation of Supply and Distribution] Order 2000 including suspension/cancellation of the license.
2. For issuing the showcause notice, the licensing authority who issued the said showcause dated 04.06.2020 has laid down the background facts, which are in brief as follows:
1) The petitioner failed to maintain adequate stock of cooking gas at the business place for sale to the bonafide customer(s) whose names are registered with the agency for getting supply of cooking gas and to make home delivery of LPG cylinders at the address of registered customers.
2) During the visit of the Chief Minister in different villages of Sepahijala District on 29.05.2020, it was reported by the people of various villages in Kathalia, Nalchar and Mohanpur Blocks that Neermal Gas Agency, Sonamura [the petitioner herein] was not giving required number of gas cylinders to the public and they were made to visit again and again to the agency and had to wait for a long time in queue as the agency was not making home delivery of cylinders.
3) The Sub-Divisional Magistrate, Sonamura got the complaint inquired through one Hamenda Bikash Paul, Deputy Collector & Magistrate, Sonamura. It has been observed in the inquiry report, inter alia, thus:
a) The agency did not supply LPG cylinder as per requirement of the customers.
b) The local people have complained that the said agency [the petitioner] has been harassing the customers when they go for taking delivery of LPG cylinders. The said officer found such allegations to be correct. To mitigate the situation, the petitioner was instructed on several occasions to be consumer friendly but the petitioner did not give any heed to such instructions at all.
c) The agency [the petitioner] has not been delivering LPG cylinders to the consumers by home delivery mode.
As the licensing authority found the acts of the petitioner in gross violation of the provisions of those orders, as quoted above, the petitioner was asked to give the reply by 12.06.2020, meaning within ten days.
3. The petitioner denied all the three major allegations by filing a reply to the said showcause notice dated 04.06.2020.The petitioner has asserted in the said reply that he has been running the business of cooking gas with due integrity, diligence and sincerity and without any blemish whatsoever. The petitioner had been maintaining adequate number of LPG cylinders for supply as per the requirement without causing any inconvenience to the registered customers. The petitioner has, however, partly admitted that for a short period there had been some difficulties in supplying the cylinders to the customers as per their requirement.
4. The petitioner has further asserted that she was dealing in the cooking gas following a consumer friendly policy but she has apprehended that “in order to quench their thirst of revenge they might have falsely reported against me.”
5. Immediately thereafter, the petitioner has further stated
L.K. Verma vs. HMT Limited and Another (2006) 2 SCC 269
Rashid Ahmed vs. Municipal Board
Sanjana M. Wig vs. Hindustan Petroleum Corpn. Ltd. (2005) 8 SCC 242
SBI vs. Ramesh Dinkar Punde (2006) 7 SCC 212 : 2006 SCC (L&S) 1573
State (NCT of Delhi) vs. Sanjoy (2014) 9 SCC 772
State Bank of India and Others vs. Narendra Kumar Pandey (2013) 2 SCC 740
State of A.P. vs. S. Sree Rama Rao AIR 1963 SC 1723
State of H.P. vs. Gujarat Ambuja Cement Ltd. (2005) 6 SCC 499
State of Jharkhand and Others vs. Jitendra Kumar Srivastava and Another (2013) 12 SCC 210
State of U.P. vs. Mohd. Nooh AIR 1958 SC 86 : 1958 SCR 595
Whirlpool Corpn. vs. Registrar of Trade Marks (1998) 8 SCC 1
Calcutta Discount Co. Ltd. vs. ITO
District Mining Officer and Others vs. Tata Iron and Steel Co. and Another (2001) 7 SCC 358
Hindustan Times and Others vs. State of U.P. and Another (2003) 1 SCC 591
K.S. Rashid & Son vs. Income Tax Investigation Commission AIR 1954 SC 207 : (1954) 25 ITR 167
K.T. Plantation Private Limited and Another vs. State of Karnataka (2011) 9 SCC 1
Licensing authorities must maintain regulatory compliance; license cancellation justified based on proven negligence without breaching natural justice principles.
The main legal point established in the judgment is the requirement for the Licensing Authority to provide reasoned decisions, consider specific pleas and evidence, and adhere to principles of natura....
In case of seizure of scheduled commodities, for any violation or contravention of the provisions of this Order, a report of seizure shall be submitted to the Collector/Joint Collectors, as the case ....
Point of Law : For want of the inspection report before this Court, it cannot be presumed that the substance of the inspection report or the summary of the documents was furnished and that the summar....
The licensing authority's power to suspend a licence under Clause 28 can be invoked based on preliminary findings, independent of concurrent legal proceedings under the Essential Commodities Act.
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