Case Note & Summary
The dispute arose from the selection process for an LPG distributorship by Indian Oil Corporation Ltd. (IOC) in Sohawal, Faizabad, Uttar Pradesh. The appellants issued an advertisement for applications and formed a Dealer Selection Committee that declared a merit panel on 30.3.2005, placing Guru Shakti Singh first. Sardar Mahinder Singh, the second candidate, alleged irregularities in the marking process, leading him to file a writ petition which he later withdrew. Following his death, IOC cancelled the selection process on 27.10.2005, prompting Guru Shakti Singh to challenge this cancellation in a writ petition. The High Court ruled in favor of Singh, stating that the merit panel remained valid due to the withdrawal of the challenge. However, the Supreme Court found that the High Court overlooked significant irregularities in the selection process, including improper marking that favored Singh. The court emphasized that such irregularities vitiated the entire selection process, regardless of the complainant's death. Consequently, the Supreme Court allowed the appeal, set aside the High Court's order, and dismissed Singh's writ petition, permitting IOC to either re-interview candidates or proceed according to its policy.
Headnote
A) Administrative Law - Selection Process - Legality of Selection - Indian Oil Corporation Ltd. Act, 1959 - The court held that the selection process was vitiated due to irregularities in awarding marks, necessitating a re-interview of candidates. The High Court's acceptance of the merit panel despite acknowledged irregularities was deemed erroneous, leading to the appeal's allowance (Paras 8-10).
Issue of Consideration
Whether the decision to scrap the selection process and conduct re-interviews was justified given the irregularities in the selection process.
Final Decision
The Supreme Court allowed the appeal, set aside the High Court's order, and dismissed the writ petition filed by the first respondent. The appellants were permitted to deal with the LPG distributorship as per their policy, including the option to re-interview candidates.
Law Points
- Selection process
- merit panel
- irregularities in evaluation
- re-interview
- judicial review of administrative decisions



