Sealing of licensed facilities requires adherence to procedural laws; failure to observe legal protocols invalidates administrative actions.

1. The petitioner has challenged communications dated 16th May, 2023 and 07.09.2022, issued by respondents No.5 and 3 respectively, whereby petroleum storage point being operated by the petitioner at Village D. K. Marg Tehsil D. H. Pora, Kulgam, has been directed to be sealed.

2. According to the petitioner, he was granted a license for importation and storage of 300 litres of petroleum Class - A by respondent No.2 in terms of license No.DCK / Acctts / 2017-2018/2933 dated 20.03.2018 on the terms and conditions enumerated in the license. It is further averred that the petitioner was also granted license by respondent No.2 for importation and storage of 25,000 / litres of petroleum Class - B vide license No.DCK / Acctts / 2017-2018/2934 dated 20.03.2018. Both the licenses were valid upto 31.12.2020.

3. According to the petitioner, before the expiry of these licenses, he had applied for renewal before respondent No.2 on 22.12.2020. However, no decision on the said application was taken by the respondents. It is contended that as per R.148 of the Petroleum Rules, 2002 (hereinafter referred to as the Rules of 2002), once the petitioner had applied for renewal of the licenses before the date of expiry thereof and no intimation regarding refusal for renewal of the license was given to the petitioner, the licenses are deemed to be in force.

4. It is averred in the petition that on the basis of some complaint, respondent No.3 vide impugned communication dated 07.09.2022, which owes its origin to some enquiry conducted by Tehsildar, D. H. Pora, respondent No.4 has been directed to seal the storage point of the petitioner on the ground of violation of terms and conditions of the license, inasmuch as it has been alleged that the petitioner is running a full - fledged petrol pump instead of a storage point. It is contended that that respondent No.4 has, without any jurisdiction, proceeded to seal the storage point of the petitioner on the ground that the petitioner does not hold a valid license.

5. The petitioner has challenged the action of the respondents whereby his storage point has been sealed, on the grounds that the impugned action has been undertaken in contravention of the Act and the Rules framed thereunder, inasmuch as the same has been undertaken by an authority which is not competent to do so. It has been further contended that in view of R.148(5) of the Rules of 2002, the license of the petitioner is in operation and, as such, action of the respondents of sealing his storage point is illegal. It has been also contended that while taking impugned action against the petitioner, the respondents have not followed the principles of natural justice and they have not followed the procedure prescribed under law.

6. Respondent No.2 has filed a reply to the writ petition, in which it has been contended that validity of the licenses issued in favour of the petitioner has expired on 31.12.2020. It has also been contended that under the garb of permission granted to the petitioner for import and storage of Class - A and Class - B petroleum products, he has established a full - fledged petrol pump in gross violation of the terms and conditions of the license dated 20th March, 2018. It is further averred that a complaint against the petitioner was received and the same was forwarded to District Vigilance Officer (Additional Deputy Commissioner), Kulgam, who, in turn, sought a factual report from the Tehsildar concerned. It has been submitted that the Tehsildar vide his report No.TDHP / OQ / 2021-22/1