Case Note & Summary
The petitioners, who were holders of fair price shop licenses under the Essential Commodities Act, 1955 and the Maharashtra Essential Commodities (Licensing, Control and Stock Declaration) Order, 1993, challenged the orders of the District Supply Officer, Beed, cancelling their licenses. The cancellation was effected without issuing any show cause notice or affording any opportunity of hearing to the petitioners. The petitioners contended that the impugned orders were passed in gross violation of the principles of natural justice. The respondents, including the State of Maharashtra, did not appear to contest the petitions despite service of notice. The court examined the matter and found that the licenses were cancelled without any prior notice or hearing, which is a fundamental breach of natural justice. The court held that such orders cannot be sustained and are liable to be set aside. Consequently, the court allowed all the writ petitions, quashed the cancellation orders, and directed the respondents to restore the licenses to the petitioners. The court also directed that the licenses be renewed in accordance with law, if the petitioners apply for renewal.
Headnote
A) Administrative Law - Natural Justice - Audi Alteram Partem - Cancellation of License - Essential Commodities Act, 1955, Maharashtra Essential Commodities (Licensing, Control and Stock Declaration) Order, 1993 - Petitioners' fair price shop licenses were cancelled by the District Supply Officer without any show cause notice or opportunity of hearing - Held that such cancellation is in gross violation of principles of natural justice and cannot be sustained (Paras 1-4).
Issue of Consideration
Whether the cancellation of fair price shop licenses without issuing show cause notice and without affording opportunity of hearing to the licensees is violative of principles of natural justice.
Final Decision
All writ petitions are allowed. The impugned orders cancelling the licenses are quashed and set aside. The respondents are directed to restore the licenses to the petitioners. If the petitioners apply for renewal of licenses, the same shall be renewed in accordance with law.
Law Points
- Natural justice
- audi alteram partem
- cancellation of license without hearing
- essential commodities
- fair price shop
- show cause notice
- opportunity of hearing
- violation of principles of natural justice
