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2026 Supreme(Online)(AP) 13145

IN THE HIGH COURT OF ANDHRA PRADESH AT AMARAVATI
Ravi Cheemalapati, J
G. NARAYANAMMA – Appellant
Versus
THE STATE OF ANDHRA PRADESH – Respondent
WRIT PETITION NO: 9781/2025



Advocates:
For the Appellants/Petitioners: Mahadeva Kanthrigala
For the Respondents: GP for Civil Supplies

An adjudicatory body cannot base its decision on any material or evidence unless the affected party has been apprised of it and given a real and effective opportunity to respond, as non-disclosure violates the principles of natural justice (audi alteram partem).

Headnote:The case involves the Andhra Pradesh State Targeted Public Distribution System (Control) Order, 2018. A Fair Price Shop dealer's authorization was cancelled by the Revenue Divisional Officer and subsequently confirmed by the Joint Collector based on a Tahsildar's report and panchanama alleging stock variations. The court found that the essential documents used to base the decision were not supplied to the dealer, rendering the process flawed. The primary issue is whether the cancellation of authorization is valid when the materials relied upon were not disclosed to the affected party. The court held that basing a decision on material without apprising the party and providing an opportunity to respond is a violation of the principles of natural justice, specifically the principle of audi alteram partem, as the right to know the material is an element of the right to defend oneself. In the said view of the facts, both the orders impugned are liable to be set aside and are accordingly set aside. The matter is remanded to the original authority for conducting fresh enquiry.

Table of Content
1. background of fair price shop authorization cancellation and subsequent appeal. (Para 1 , 2 , 3 , 4)
2. arguments regarding violation of natural justice versus procedural compliance. (Para 5 , 6)
3. court's finding on the non-disclosure of the tahsildar's report and panchanama. (Para 7 , 8 , 9)
4. the principle of audi alteram partem requires disclosure of all materials used in an adverse decision. (Para 10 , 11)
5. setting aside of impugned orders and remanding the matter for fresh enquiry. (Para 12 , 13 , 14)

Petition under Article 226 of the Constitution of India praying that in the circumstances stated in the affidavit filed therewith, the High Court may be pleased tomay be pleased to issue an appropriate Writ, Order or Direction, more particularly one in the nature of Writ of Mandamus, declaring the Proceedings Appeal Case No.CS.3/6/2025 dated 07.04.2025 issued by the 2nd respondent, confirming the Proceedings Rc.DT(LR)1415/2024 dated 23.12.2024 issued by the 3rd respondent in cancelling the Fair Price Shop Authorization of the petitioner in Shop No. 1318005, Thadakanapalli Village, Kallur Mandal, Kurnool District illegal, improper, unjust arbitrary, colorable exercise of power, without considering the contentions in the appeal, without following the procedure and contrary to Andhra Pradesh State Targeted Public Distribution System (Control) order, 2018 and further direct the respondents to permit the petitioner to distribute the essential commodities to the card holders and pass such

IA NO: 1 OF 2025

Petition under Section 151 CPC praying that in the circumstances stated in the affidavit filed in support of the petition, the High Court may be pleased may be pleased to stay the Proceedings Appeal Case No.CS.3/6/2025 dated 07.04.2025 issued by the 2nd respondent as well as the proceedings in Rc.DT(LR)1415/ 2024 dated 23.12.2024 issued by the 3rd respondent duly permitting the petitioner to run the Fair Price Shop No. No. 1318005, Thadakanapalli Village, Kallur Mandal, Kurnool District pending disposal of the writ petition and pass such

The Court made the following ORDER:

1. Impugning the proceedings of the 2nd respondent vide proceedings dated 07.04.2025 confirming the proceedings dated 23.12.2024 issued by the 3rd respondent, wherein the petitioner’s Fair Price Shop dealership authorization was cancelled, the present writ petition is filed.

2. Heard Sri Mahadeva Kanthirigala, learned counsel for the petitioner and Sri Vineeth Appasani, learned Assistant Government Pleader for Civil Supplies for the respondents.

3. While reiterating the contents of the affidavit, learned counsel for the petitioner submitted that the petitioner was appointed as a Fair Price Shop dealer for Shop No.1318005 of Thadakanapalli Village, Kallur Mandal, Kurnool District in the year 2015 i.e., on 15.05.2014, and ever since, she has been distributing the essential commodities to the cardholders to the satisfaction of the officials and the cardholders. While so, the authorities inspected the petitioner’s shop and on the alleged ground of variation in stock and basing on the recommendation of the 4th respondent-Tahsildar and his report dated 27.11.2024, a disciplinary action has been initiated and accordingly a show cause notice was issued to the petitioner calling upon her to submit her explanation as to why her authorization should not be cancelled. The petitioner submitted her explanation on 03.12.2024 denying the allegations, inter alia contending that she has not committed any irregularity as alleged in the show cause notice and in fact there are no variations in the stock. It is further submitted that the primary authority, along with the show cause notice, did not supply the panchanama and the report of the Tahsildar. Further, the Revenue Divisional Officer did not examine the inspecting authorities and the panchayatdars while conducting enquiry, particularly when the petitioner has denied the charges. However,

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