Bombay High Court Quashes Minister's Order in Fair Price Shop Authorization Case — Violation of Natural Justice and Lack of Jurisdiction. Minister's suo motu revision set aside as it was passed without notice to the petitioner and exceeded statutory powers under the Maharashtra Essential Commodities (Public Distribution System) Order, 2005.

High Court: Bombay High Court Bench: AURANGABAD In Favour of Prosecution
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Case Note & Summary

The petitioner, Sudam Kesu Pawar, was a card holder of a fair price shop run by respondent No.4, Dharma Lalu Rathod, in Yawal Pimpri, Tq. Ghansawangi, District Jalna. Complaints were made by villagers that respondent No.4 was selling goods at higher prices, not making entries on cards, and distributing kerosene in lesser quantities. On the basis of these complaints, the Vibhagiya Dakshata Pathak, Aurangabad inspected the shop and found irregularities in 7 numbers. The report was submitted to the Deputy Commissioner (Supply) and the Sub Divisional Officer, Partur. The Sub Divisional Officer issued a show cause notice to respondent No.4 on 18.3.2006, but no reply was submitted. Consequently, by order dated 13.4.2006, the Sub Divisional Officer cancelled the authorization of respondent No.4 to run the fair price shop. Aggrieved, respondent No.4 filed a revision before the Divisional Commissioner, Aurangabad, which was dismissed on 14.8.2006, confirming the cancellation. Thereafter, respondent No.4 filed a revision before the Minister for Food, Civil Supply and Consumer Protection, Maharashtra State. The Minister, by order dated 31.10.2007, allowed the revision and set aside the cancellation order, thereby restoring the authorization of respondent No.4. The petitioner challenged this order before the High Court. The legal issues were whether the Minister had jurisdiction to entertain the revision and whether the order was passed in violation of natural justice. The petitioner argued that the Minister's order was without jurisdiction and passed without notice to the petitioner. The respondents contended that the Minister had suo motu powers. The court analyzed the provisions of the Maharashtra Essential Commodities (Public Distribution System) Order, 2005, and found that the Minister did not have jurisdiction to entertain the revision as the order of the Sub Divisional Officer was not revisable by the Minister. Additionally, the court held that the Minister's order was passed in gross violation of principles of natural justice as no notice or opportunity of hearing was given to the petitioner, who was directly affected. The court quashed the Minister's order and restored the order of the Sub Divisional Officer dated 13.4.2006 and the order of the Divisional Commissioner dated 14.8.2006.

Headnote

A) Administrative Law - Natural Justice - Suo Motu Revision - Violation of Principles of Natural Justice - The Minister passed an order in revision without issuing any notice or affording an opportunity of hearing to the petitioner, who was a card holder and directly affected by the order. Held that such an order is unsustainable as it violates the principles of natural justice (Paras 7-8).

B) Essential Commodities - Fair Price Shop - Authorization - Jurisdiction of Minister - The Minister for Food, Civil Supply and Consumer Protection entertained a revision application under the Maharashtra Essential Commodities (Public Distribution System) Order, 2005, but the order did not disclose under which provision the revision was filed. Held that the Minister lacked jurisdiction to entertain the revision as the order of the Sub Divisional Officer was not revisable by the Minister under the said Order (Paras 9-10).

C) Essential Commodities - Public Distribution System - Cancellation of Authorization - Scope of Revision - The Sub Divisional Officer cancelled the authorization of respondent No.4 to run the fair price shop. The Divisional Commissioner dismissed the revision. The Minister, in exercise of suo motu powers, set aside the cancellation. Held that the Minister's order was without jurisdiction and in violation of natural justice (Paras 11-12).

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Issue of Consideration

Whether the Minister for Food, Civil Supply and Consumer Protection had jurisdiction to entertain a revision application under the Maharashtra Essential Commodities (Public Distribution System) Order, 2005, and whether the impugned order was passed in violation of principles of natural justice.

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Final Decision

The writ petition is allowed. The impugned order dated 31.10.2007 passed by the Minister for Food, Civil Supply and Consumer Protection is quashed and set aside. The order dated 13.4.2006 passed by the Sub Divisional Officer, Partur and the order dated 14.8.2006 passed by the Divisional Commissioner, Aurangabad are restored. Rule made absolute accordingly.

Law Points

  • Natural justice
  • Suo motu revision
  • Jurisdiction
  • Fair price shop authorization
  • Cancellation of authorization
  • Show cause notice
  • Opportunity of hearing
  • Maharashtra Essential Commodities (Public Distribution System) Order
  • 2005
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Case Details

2013 LawText (BOM) (03) 14

Writ Petition No. 6927 of 2007

2013-03-05

S. S. Shinde, J.

Mr. G.N. Chincholkar for petitioner, Mr. K.J. Ghute Patil, AGP for respondent Nos. 1 to 3, Mr. M.S. Indani for respondent No.4

Sudam s/o Kesu Pawar

The State of Maharashtra through Hon'ble Minister (Food, Civil Supply and Consumer Protection), The Divisional Commissioner, The Sub Divisional Officer, and Dharma s/o Lalu Rathod

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Nature of Litigation

Writ petition challenging the order of the Minister for Food, Civil Supply and Consumer Protection allowing revision and restoring authorization of a fair price shop.

Remedy Sought

The petitioner, a card holder, sought quashing of the Minister's order dated 31.10.2007 and restoration of the cancellation of respondent No.4's authorization.

Filing Reason

The Minister's order was passed without jurisdiction and in violation of principles of natural justice, as no notice or hearing was given to the petitioner.

Previous Decisions

The Sub Divisional Officer cancelled the authorization on 13.4.2006; the Divisional Commissioner dismissed the revision on 14.8.2006; the Minister allowed the revision on 31.10.2007.

Issues

Whether the Minister had jurisdiction to entertain the revision under the Maharashtra Essential Commodities (Public Distribution System) Order, 2005. Whether the impugned order was passed in violation of principles of natural justice.

Submissions/Arguments

Petitioner: The Minister's order is without jurisdiction and passed without notice to the petitioner, violating natural justice. Respondent No.4: The Minister has suo motu powers to revise orders; the order was passed after hearing the parties.

Ratio Decidendi

The Minister lacked jurisdiction to entertain the revision as the order of the Sub Divisional Officer was not revisable by the Minister under the Maharashtra Essential Commodities (Public Distribution System) Order, 2005. Additionally, the order was passed in gross violation of principles of natural justice as no notice or opportunity of hearing was given to the petitioner, who was directly affected.

Judgment Excerpts

The impugned order is passed by the Minister without issuing any notice to the petitioner and without affording any opportunity of hearing to him. The Minister has no jurisdiction to entertain the revision application and pass the impugned order.

Procedural History

The Sub Divisional Officer cancelled the authorization of respondent No.4 on 13.4.2006. Respondent No.4 filed a revision before the Divisional Commissioner, which was dismissed on 14.8.2006. Respondent No.4 then filed a revision before the Minister, who allowed it on 31.10.2007. The petitioner filed the present writ petition on 5.12.2007.

Acts & Sections

  • Maharashtra Essential Commodities (Public Distribution System) Order, 2005:
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