Municipalities must conduct timely public auctions upon the expiry of licenses granted for specified periods.

ORDER

The writ petition has been filed seeking a direction to the respondents to consider the representation of the petitioner and consequently direct the fourth respondent to conduct a public auction in respect of Virudhunagar Municipality’s MSP Raja Daily Santhai for the period 2024–2027, along with five other auctions for the same period, in accordance with law.

2. The grievance of the petitioner is that the licence for collection of daily Santhai charges had earlier been granted to a third party through a public auction. However, even after the expiry of the said period, no steps have been taken to conduct a fresh auction. In this regard, the petitioner submitted a representation dated 18.06.2024, which has not been acted upon.

3. The learned Standing Counsel appearing for the fourth respondent Municipality sought time to obtain instructions. However, considering the nature of the direction proposed to be issued, this Court takes up the writ petition for final disposal at the stage of admission itself.

4. It is evident that when a licence is granted for a specified period through a public auction for the collection of Santhai charges, it is incumbent upon the Municipality to conduct a fresh auction upon expiry of the said period. While, in cases of administrative delay, the existing licensee may be permitted to continue for a limited period, such continuation cannot be indefinite. In the present case, the licence period is stated to have expired in the year 2024, and therefore, the inaction on the part of the Municipality cannot be sustained.

5. Accordingly, the fourth respondent is directed to consider the petitioner’s representation dated 18.06.2024 and pass appropriate orders in accordance with law within a period of four (4) weeks from the date of receipt of a web copy of this order, without insisting upon a certified copy. It is made clear that this Court has not expressed any opinion on the facts as to whether there is any subsisting lease or not. It is further made clear that the Model Code of Conduct shall not stand in the way of compliance with this order.

6. With the above directions, this Writ Petition stands disposed of. No costs. Consequently, the connected Miscellaneous Petitions are closed.