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2024 Supreme(Online)(KER) 33061
IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE SATHISH NINAN &
THE HONOURABLE MR. JUSTICE JOHNSON JOHN MONDAY, THE 14TH DAY OF OCTOBER 2024 / 22ND ASWINA, 1946 WA NO. 9 OF 2024 AGAINST THE JUDGMENT DATED 24.05.2023 IN WP(C) NO.14569 OF
2023 OF HIGH COURT OF KERALA -----
APPELLANT/PETITIONER:
ROSY JACOB, AGED 57 YEARS W/O JACOB K.JACOB, MANAGING PARTNER, MANNARKAD FILLING STATION (CC NO.116160), MANNARGHAT, RESIDING AT KARIPAPARAMBIL, PAYYANADAM P.O, MANNARGHAT, PALAKAD, PIN – 678582.
BY ADV V.M.KRISHNAKUMAR RESPONDENTS/RESPONDENTS:
1 BHARATH PETROLEUM CORPORATION LTD, REPRESENTED BY ITS DIVISIONAL-MANAGER,1ST FLOOR, PETRONET CCK LTD, IRIMPANAM, ERNAKULUM, PIN – 682030.
2 THE SALES TAX OFFICER (TPU), OFFICE OF THE SALE TAX OFFICER OF SALE TAX, STATE GOODS & SERVICES TAX DEPARTMENT, MANNARGHAT PALAKAD, PIN – 678582.
3 V.P.MUHAMMED AYOOB, S/O MOHAMMED HAJI, EDAVANNA AMSOM, ERANJIKODE, MALAPPURAM., PIN – 676511.
THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON 14.10.2024, ALONG WITH WP(C).38643/2023, & W.A.2023/2023, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE SATHISH NINAN &
THE HONOURABLE MR. JUSTICE JOHNSON JOHN MONDAY, THE 14TH DAY OF OCTOBER 2024 / 22ND ASWINA, 1946 WP(C) NO. 38643 OF 2023 PETITIONER:
V.P. MUHAMMED AYOOB AGED 62 YEARS S/O V.P. MOHAMMED HAJI, RESIDING AT VALIYAPEEDIKAKKAL HOUSE, ERANHIKODE P.O., EDAVANNA, MALAPPURAM, PIN – 676511.
BY ADVS.
NISHA GEORGE GEORGE POONTHOTTAM (SR.)
RESPONDENTS:
1 UNION OF INDIA, REPRESENTED BY ITS SECRETARY, MINISTRY OF PETROLEUM AND NATURAL GAS, SHASTRI BHAWAN, NEW DELHI, PIN – 110001.
2 M/S BHARAT PETROLEUM CORPORATION LIMITED BHARATH BHAVAN, 476, BALLARD ESTATE, MUMBAI-400 001, REPRESENTED BY ITS CHAIRMAN & MANAGING DIRECTOR, PIN – 400001.
3 M/S MANNARKAD FILLING STATION, REPRESENTED BY ITS MANAGING PARTNER, ROSY JACOB, W/O JACOB K. JACOB, AGED 57 YEARS, RESIDING AT KARIPAPARAMBIL, PAYYANADAM P.O., MANNARKAD, PALAKKAD, PIN - 678582 WP(C) NO. 38643 OF 2023 -2-
BY ADVS.
KIRAN M.S.
GOPIKRISHNAN NAMBIAR M V.M.KRISHNAKUMAR P.R.REENA(K/000510/1998)
K.JOHN MATHAI(K/413/1984)
JOSON MANAVALAN(J-526)
KURYAN THOMAS(K/131/2003)
PAULOSE C. ABRAHAM(MAH/58/2006)
RAJA KANNAN(K/356/2008)
NAYANPALLY RAMOLA(K/687-F/2014)
THIS WRIT PETITION (CIVIL) HAVING COME UP FOR ADMISSION ON
14.10.2024, ALONG WITH WA.9/2024 AND CONNECTED CASES, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT THE HONOURABLE MR. JUSTICE SATHISH NINAN &
THE HONOURABLE MR. JUSTICE JOHNSON JOHN MONDAY, THE 14TH DAY OF OCTOBER 2024 / 22ND ASWINA, 1946 WA NO. 2023 OF 2023 AGAINST THE JUDGMENT DATED 18.09.2023 IN WP(C) NO.19293 OF
2023 OF HIGH COURT OF KERALA -----
APPELLANTS/PETITIONER IN WPC 19293/2023:
ROSY JACOB, AGED 57 YEARS, W/O JACOB K.JACOB, MANAGING PARTNER, MANNARKAD FILLING STATION (CC NO.116160), MANNARKAD, RESIDING AT KARIPAPARAMBIL, PAYYANADAM P.0, MANNARKAD, PALAKAD DISTRICT, PIN – 678582.
BY ADVS.
V.M.KRISHNAKUMAR V.K.SANJANA KRISHNAN RESPONDENTS/RESPONDENTS IN WPC 19293/2023:
1 M/S BHARATH PETROLEUM CORPORATION LIMITED BHARATH BHAVAN, 4&6 CURRIMBHOY ROAD, BALLARD ESTATE, MUMBAI REPRESENTED BY ITS MANAGING DIRECTOR, PIN – 400001.
2 THE DIVISIONAL MANAGER BHARATH PETROLEUM CORPORATION LTD, 1ST FLOOR, PETRONET CCK LTD, IRIMPANAM, ERNAKULUM, PIN – 682030.
WA NO. 2023 OF 2023 -2-
3 DEPUTY CHIEF CONTROLLER OF EXPLOSIVES, PETROLIUM & EXPLOSIVE SAFETY ORGANISATION (PESO), KENDRIYA BHAVAN, BLOCK C2, 3RD FLOOR, CGO COMPLEX, KAKANAD, ERNAKULUM., PIN – 682037.
4 V.P.MUHAMMED AYOOB, S/O MOHAMMED HAJI, EDAVANNA AMSOM, ERANJIKODE, MALAPPURAM, PIN – 676511.
BY ADVS.
GOPIKRISHNAN NAMBIAR M NISHA GEORGE K.JOHN MATHAI(K/413/1984)
JOSON MANAVALAN(J-526)
KURYAN THOMAS(K/131/2003)
PAULOSE C. ABRAHAM(MAH/58/2006)
RAJA KANNAN(K/356/2008)
NAYANPALLY RAMOLA(K/687-F/2014)
GEORGE POONTHOTTAM (SR.)(K/000570/1979)
THIS WRIT APPEAL HAVING COME UP FOR ADMISSION ON 14.10.2024, ALONG WITH WA.9/2024 AND CONNECTED CASES, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING:
SATHISH NINAN &
JOHNSON JOHN, JJ.
= = = = = = = = = = = = = = = = = =
W.P.(C) No.38643 of 2023, W.A. Nos.2023 of 2023 and 9 of 2024 = = = = = = = = = = = = = = = = = =
Dated this the 14th day of October, 2024
V.M.KRISHNAKUMAR, NISHA GEORGE, GEORGE POONTHOTTAM (SR.), KIRAN M.S., GOPIKRISHNAN NAMBIAR, P.R.REENA(K/000510/1998), K.JOHN MATHAI(K/413/1984), JOSON MANAVALAN(J-526), KURYAN THOMAS(K/131/2003), PAULOSE C. ABRAHAM(MAH/58/2006), RAJA KANNAN(K/356/2008), NAYANPALLY RAMOLA(K/687-F/2014)
A dealer lacks standing to challenge the suspension of a license issued to a licensee, and issues of non-evictability must be resolved in civil court.
Headnote:
License - Petroleum Act, GST Act, Kerala Land Reforms Act - The court addressed the suspension of a petroleum license, cancellation of GST registration, and eviction of a licensee, interpreting the rights under the Petroleum Rules and KLR Act, ultimately ruling on the locus standi of the dealer and the non-evictability provisions.
Fact of the Case:
The case involved a dispute over the suspension of a petroleum license and cancellation of GST registration following the expiration of a lease for a retail outlet. The landowner sought eviction of the licensee and dealer from the property, claiming no rights existed post-lease.
Finding of the Court:
The court found that the dealer lacked the locus standi to challenge the suspension of the license, as it was issued to the licensee. The court also determined that the licensee's claim of non-evictability under the KLR Act was not appropriately raised in the current proceedings.
Issues: The main issues were the dealer's right to challenge the suspension of the petroleum license, the cancellation of GST registration, and the landowner's right to evict the licensee and dealer from the property.
Ratio Decidendi: The court held that the dealer, not being the licensee, could not challenge the license's suspension. It also ruled that the issues regarding non-evictability under the KLR Act should be resolved in a civil court, not in writ proceedings.
Final Decision: The Writ Appeals and Writ Petition were dismissed, with the finding on the licensee's 'right to the site' set aside.
J U D G M E N T
Sathish Ninan, J.
The issues involved in these proceedings relate to :
(i) Challenge against suspension of licence under the Petroleum Act ;
(ii) Challenge against cancellation of registration under the GST Act; and, (iii) Eviction of the licensee and occupant from the premises.
2. An extent of 27.88 cents of property situated in Re-
survey Nos.70/5B and 105/3 of Mannarghat Village, belonged to one V.K. Kunhunni Sahib, who is the predecessor-in- interest of the petitioner in W.P.(C) No.38643/2023 (hereinafter referred to as “the landowner”). As per a lease deed dated 30.01.1964, the property was granted on lease by the landowner to M/s Burmah-Shell Oil Storage and Distributing Company of India Ltd., for a period of 20 years from 01.12.1963. The purpose of the lease was to conduct a 2024:KER:75777 -: 2 :-
retail petroleum outlet.
3. Consequent to the Burmah Shell (Acquisition of Undertaking in India) Act, 1976 the rights of M/s Burmah Shell became vested with M/s Bharat Petroleum Corporation Ltd. (hereinafter referred to as “the licensee”). On the strength of the licence issued in favour of the licensee under the Petroleum Rules, the appellant in the appeals is running the petroleum pump as dealer of the licensee (hereinafter referred to as “the dealer”).
4. The lease granted under the deed dated 30.01.1964 was for a period of twenty years. On the expiry of the period, since the landowner failed to renew the lease, the licensee filed a suit as O.S. No. 149/1986 before the Munsiff's Court, Mannarghat, seeking renewal of the lease for a further period of twenty years. By then, the original landowner was no more, and his legal heirs were the defendants-landowners. As per Ext.B3 judgment dated 25.03.1989, the suit was decreed directing renewal of lease
2024:KER:75777 -: 3 :-
for a further period of twenty years from 01.12.1983. In execution of the said decree, a lease deed was executed through Court.
5. The period of lease expired in the year 2003. The landowner sought eviction of the licensee from the property. A notice dated 24.10.2002 was issued in the said regard. The licensee issued a reply claiming the right of non- evictability under Section 106 of the Kerala Land Reforms Act , 1963 (hereinafter referred to as “the KLR Act”). The landowner filed O.S. No. 180 of 2003 before the Subordinate Judge's Court, Ottappalam, seeking recovery of possession. In the suit, the licensee claimed protection under of the KLR Act. In the year 2009, the suit was dismissed for non-prosecution.
6. In the meantime, the landowner approached the Parliamentary Committee for Petroleum and Natural Gas, alleging that the licensee failed to surrender the premises after the expiry of the lease period. The Committee
2024:KER:75777 -: 4 :-
recommended that the licensee surrender the premises. The dealer challenged the same before this Court in W.P.(C) No.12710/2008, which was dismissed. The writ appeal filed as W.A. 1958/2008 was also unsuccessful.
7. The licensee did not surrender the premises to the landowner. The licensing authority under the Petroleum Rules viz. PESO, suspended the license, stating the reason that the licensee did not have the “right to the site”.
8. Challenging the order suspending the license, the dealer approached this Court in W.P.(C) No.8322/2023, raising the grievance that she was not heard prior to the suspension of the licence. This Court disposed of the writ petition directing that the dealer also be heard. Thereafter, after hearing the dealer, the suspension of the license was affirmed by the authority. WP(C) No.19293/2023 was filed by the dealer, challenging the suspension of the license.
2024:KER:75777 -: 5 :-
9. Following the suspension of the license, the authorities under the Goods and Services Tax Act cancelled the dealer's registration under the GST Act. The said order is under challenge in WP(C) No.14569/2023.
10. The landowner has filed WP (C) No. 38643/2023 seeking direction from this Court to evict the licensee
