Case Note & Summary
The case involves three writ petitions arising from the cancellation of a dealership license for a petrol pump. M/s Pande Petroleum (petitioner in WP/9255/2021 and WP/1137/2021) challenged the order of the District Collector, Beed, cancelling its license for operating a retail outlet of Bharat Petroleum Corporation Ltd. (BPCL) at Gat No. 119, Dautpur, Parali, Beed. The cancellation was based on a complaint by respondent Siddharam Koli and Suraj Nagargoje that the outlet was within 300 meters of another retail outlet, violating the distance norms under the Motor Spirit and High Speed Diesel (Regulation of Supply, Distribution and Prevention of Malpractices) Order, 1998. The District Collector, after inspection and show cause notice, cancelled the license. BPCL (petitioner in WP/10241/2021) also challenged the cancellation, arguing that the distance was measured incorrectly. The court considered the legal issue of whether the cancellation was valid. The petitioners argued that the distance measurement was erroneous and that the Collector lacked jurisdiction. The respondents contended that the inspection clearly showed the distance was less than 300 meters. The court analyzed the evidence, including inspection reports, and found that the distance between the two outlets was indeed less than 300 meters, violating the order. The court held that the Collector's order was based on proper material and that the petitioners were given a fair hearing. The court dismissed all three writ petitions, upholding the cancellation. The decision emphasizes strict compliance with distance norms for petroleum retail outlets to ensure safety and fair competition.
Headnote
A) Petroleum Laws - Dealership License - Cancellation - Distance Norms - Motor Spirit and High Speed Diesel (Regulation of Supply, Distribution and Prevention of Malpractices) Order, 1998 - The court considered whether the District Collector's order cancelling the dealership license of M/s Pande Petroleum was justified on the ground that the site was within 300 meters of another retail outlet, violating the distance norms. The court held that the cancellation was valid as the petitioner failed to comply with the mandatory distance requirement, and the Collector's order was based on proper inspection and evidence. (Paras 1-10) B) Administrative Law - Natural Justice - Show Cause Notice - The court examined whether the petitioner was given adequate opportunity to be heard before the cancellation. The court held that the show cause notice was issued and the petitioner responded, thus principles of natural justice were complied with. (Paras 5-8)
Issue of Consideration
Whether the cancellation of the dealership license of M/s Pande Petroleum by the District Collector was valid due to violation of distance norms under the Motor Spirit and High Speed Diesel (Regulation of Supply, Distribution and Prevention of Malpractices) Order, 1998.
Final Decision
All three writ petitions were dismissed. The court upheld the cancellation of the dealership license of M/s Pande Petroleum by the District Collector, Beed.
Law Points
- Distance norms for retail outlets
- cancellation of dealership license
- compliance with statutory orders
- Motor Spirit and High Speed Diesel (Regulation of Supply
- Distribution and Prevention of Malpractices) Order
- 1998
