Bombay High Court Quashes IOCL's Rejection of Dealership Application in Petrol Pump Selection on Hyper-Technical Ground; Minor Typographical Error in Survey Number Not a Non-Rectifiable Deficiency Under Clause 23(p) of Dealer Selection Guidelines.

High Court: Bombay High Court Bench: BOMBAY In Favour of Accused
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Case Note & Summary

The writ petition under Article 226 of the Constitution of India challenged the rejection of the petitioner's application for a petrol pump dealership by Indian Oil Corporation Ltd. (IOCL). The petitioner, an individual landowner in Group 1 category, had applied in response to an advertisement dated 20 June 2023. After being provisionally selected in the draw of lots on 25 September 2024, he deposited the initial security deposit and submitted documents. However, IOCL rejected his application citing a discrepancy in the land details. The petitioner had inadvertently typed the survey number as 34-1D/2/3 instead of the correct 34/1/D/2/1, a typographical error in the last numerical field of the hissa number. The petitioner contended that this error did not change the identity of the land offered and sought correction, but the two-member committee and the final communication dated 1 January 2025 upheld the rejection as a non-rectifiable deficiency under Clause 23(p) of the dealer selection guidelines. The guidelines list changes in khasra/khatouni/gut/survey number as non-rectifiable. The petitioner argued that the rejection was hyper-technical and relied on decisions of the Andhra Pradesh High Court and Madhya Pradesh High Court. IOCL maintained that the guidelines were clear and the committee's decision was correct, relying on a Bombay High Court decision in Multajim Shameer Kureshi where a PAN mismatch was held non-rectifiable. The High Court examined Clause 23(p) and observed that the error was not a substantive change in the survey number of the offered land, but a minor typographical mistake that did not affect the actual location or ownership. The Court distinguished Multajim Shameer Kureshi on facts, noting that the present defect was not a non-curable one. The Court held that the rejection was hyper-technical and unwarranted, as the error was incidental and did not prejudice IOCL. Accordingly, the Court quashed the impugned communications of 10 October 2024 and 1 January 2025, restored the petitioner's application, and directed IOCL to process it in light of the representation dated 19 October 2024 in accordance with law. No costs were awarded.

Headnote

A) Administrative Law - Judicial Review - Hyper-technical Rejection - Constitution of India, Article 226 - The petitioner's application for a petrol pump dealership was rejected due to a typographical error in the survey number, which the IOCL considered a non-rectifiable deficiency under its dealer selection guidelines. The High Court held that the rejection was hyper-technical and the error did not amount to a change in survey number of the offered land, as the land remained the same. The Court quashed the rejection and directed restoration of the application (Paras 1, 6-7, 10).

B) Contract/Selection Guidelines - Interpretation - Clause 23(p) Dealer Selection Guidelines - Clause 23(p) of the IOCL dealer selection guidelines lists changes in survey number as non-rectifiable. The Court interpreted that an inadvertent clerical error in a small part of the land description, where the actual land offered remains unchanged, does not fall within the ambit of this clause. Such error is not a change in survey number but a correction of a typographical mistake, and thus the defect is rectifiable (Paras 6-7).

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Issue of Consideration

Whether rejection of petitioner's application for petrol pump dealership due to a minor clerical/typographical error in the survey number details falls within the scope of non-rectifiable deficiencies under Clause 23(p) of the dealer selection guidelines and is valid

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Final Decision

The Writ Petition was allowed. The impugned communications dated 10.10.2024 and 01.01.2025 were quashed and set aside. The petitioner's application was restored to file and the respondent was directed to process the same in light of the representation dated 19.10.2024 in accordance with law. No costs.

Law Points

  • Legal points not extracted
  • Inadvertent clerical/typographical errors in application not constituting non-rectifiable deficiencies under Clause 23(p) of dealer selection guidelines
  • rejection on hyper-technical ground impermissible under Article 226
  • correction of error not amounting to change in survey number of offered land
  • arbitrary rejection violates principles of natural justice
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Case Details

2025 LawText (BOM) (04) 110

WRIT PETITION NO. 2447 OF 2025

2025-04-22

Alok Aradhe, M. S. Karnik

Citation not available, 2025:BHC-AS:18865-DB

S. M. Gorwadkar, Niranjan Mogre, Sunil Gangan, Swapnil Shikhare

Yogesh Waman Gaikwad

Indian Oil Corporation Ltd. Through its Marketing Division, Maharashtra State Office And also its Divisional Office Goa Divisional Office (Marketing Division), C-21, Bogda Road, P.O. Harbour, Mormugoa, Goa-403803.

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Nature of Litigation

Writ petition under Article 226 of the Constitution of India challenging the rejection of application for petrol pump dealership by Indian Oil Corporation on grounds of minor clerical error in survey number.

Remedy Sought

Petitioner sought quashing of rejection communication dated 01.01.2025 and 10.10.2024, and restoration of his application for processing.

Filing Reason

Rejection of petitioner's application due to discrepancy in land details, which petitioner claimed was an inadvertent typographical error.

Previous Decisions

Two-member committee of IOCL scrutinised and rejected; representation dated 19.10.2024 was rejected by communication 01.01.2025.

Issues

Whether the rejection of petitioner's application on the ground of a minor typographical error in the survey number falls within the non-rectifiable deficiencies under Clause 23(p) of the dealer selection guidelines? Whether the decision of IOCL was hyper-technical and arbitrary warranting interference under Article 226?

Submissions/Arguments

Petitioner argued that the error was an inadvertent minor clerical/typographical error and rejection was hyper-technical, relying on decisions of Andhra Pradesh High Court and Madhya Pradesh High Court. IOCL contended that Clause 23(p) prohibits changes in survey number and the defect is non-rectifiable, and that the decision was in accordance with guidelines; reliance placed on Multajim Shameer Kureshi v. Indian Oil Corporation.

Ratio Decidendi

A minor clerical/typographical error in the description of land in a petrol pump dealership application, which does not change the identity of the land offered, is not a non-rectifiable deficiency under Clause 23(p) of the dealer selection guidelines, and rejection on such hyper-technical ground is arbitrary, warranting interference under Article 226.

Judgment Excerpts

The challenge in this Petition under Article 226 of the Constitution of India is to the communication dated 1st January 2025. the Petitioner contends that there is a typographic error in the last numerical field of Hissa number of the land. Instead of Survey No.34/1/D/2/1, wrongly Survey No.34-1D/2/3 was typed. the decision of IOCL to reject the application on the grounds stated hereinabove is hyper technical. The guidelines nowhere provides that inadvertent errors which in no manner affects the material particulars of the details mentioned in the application cannot be corrected. the Petitioner did not seek a change in the survey number but was in fact seeking correction of an inadvertent error in the last numerical field of the Hissa number of the land, the defect which cannot be said to be a non-curable one.

Procedural History

Advertisement issued by IOCL on 20th June 2023. Petitioner submitted application on 14th September 2023. Draw of lots held on 25th September 2024; petitioner provisionally selected on 26th September 2024. Petitioner deposited Rs.50,000 and submitted documents. By communication dated 10th October 2024, application rejected due to discrepancy. Petitioner made representation on 19th October 2024. Two-member committee rejected representation, communicated on 1st January 2025. Petitioner filed Writ Petition No. 2447 of 2025 before Bombay High Court. Court allowed petition on 22nd April 2025.

Acts & Sections

  • Constitution of India: Article 226
  • Indian Oil Corporation Dealer Selection Guidelines: Clause 23(p)
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High Court Bombay High Court Quashes IOCL's Rejection of Dealership Application in Petrol Pump Selection on Hyper-Technical Ground; Minor Typographical Error in Survey Number Not a Non-Rectifiable Deficiency Under Clause 23(p) of Dealer Selection Guidelines.
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