Created by Fuzzy Cloud

Patna High Court

Ajit KumarversusThe State of Bihar

Decided
Disposal
DISPOSED

Holding

The orders cancelling the licence are set aside as they were passed without complying with the requirements of natural justice, and the matter is remanded for proper notice, hearing and reasoned order.

Summary

The petitioner, Ajit Kumar, challenged the cancellation of his PDS shop licence by various authorities, alleging that the show‑cause notices were issued without attaching the enquiry report or the statements of complainants, violating natural justice. He sought certiorari to quash the orders of the Sub‑Divisional Officer, the Collector and the Divisional Commissioner, and mandamus for restoration of the licence. The respondents argued that the writ petition was not maintainable because an appeal before the District Magistrate was available. The court examined the earlier Patna High Court judgment (CWJC No. 253 of 2014) which held that non‑supply of the enquiry report defeats the principles of natural justice. Finding that the show‑cause notices indeed lacked the enquiry report and that the authorities had not applied their mind, the court set aside all three impugned orders and remanded the matter for the authorities to furnish the report, allow the petitioner to be heard and pass a reasoned order within a stipulated time. The writ petition was allowed.

Issues considered

  • Whether the cancellation of the PDS licence without furnishing the enquiry report and beneficiaries' statements violates the principles of natural justice.
  • Whether the writ petition is maintainable despite the existence of an alternative remedy of appeal before the District Magistrate.
  • Whether the orders of the Sub‑Divisional Officer, Collector and Divisional Commissioner can be quashed by certiorari.

Subjects

  • natural justice
  • due process
  • license cancellation
  • public distribution system
  • writ of certiorari
  • mandamus
  • show‑cause notice
  • administrative law

Judgment

                      IN THE HIGH COURT OF JUDICATURE AT PATNA
                                 Civil Writ Jurisdiction Case No.15837 of 2024
                 ======================================================
                 Ajit Kumar, Son of Yogedra Prasad Roy resident of Jay Krishana Road,
                 Gurhatta, P.S. -Patna City, District- Patna.

                                                                     ... ... Petitioner/s
                                                 Versus
           1.    The State of Bihar through Principal Secretary, Food and Consumer
                 Protection Department, Government of Bihar, Patna.
           2.    The Divisional Commissioner, Patna Division, Patna.
           3.    The District Magistrate, Patna
           4.    The Sub Divisional Officer, Patna City, District- Patna.
           5.    The Assistant District Supply Officer, Patna City, Patna.


                                                                             ... ... Respondent/s
                 ======================================================
                 Appearance :
                 For the Petitioner/s   :         Mr. Shashi Bhushan Kumar, Advocate.
                 For the Respondent/s   :         Mr. Government Pleader (23) with
                                                  Mr. Arvind Kumar, AC to GP 23.
                 ======================================================
                 CORAM: HONOURABLE MR. JUSTICE A. ABHISHEK REDDY
                                    ORAL ORDER

5   16-03-2026                   Heard the learned counsel for the parties.

                                 2. The present Writ Petition has been filed for the

                   following reliefs:-

                                                         “(i) For issuance of writ of
                                             certiorari for quashing the order dated
                                             11.06.2024       passed   by      Divisional
                                             Commissioner, Patna in BTPDS Control
                                             Revision No. 102 of 2023 by which the
                                             Divisional Commissioner has been pleased
                                             to rejected the Revision petition of the
                                             petitioner.
                                                         (ii) For issuance of writ of
                                             certiorari for quashing the order dated
                                             3.12.2022 passed by Collector, Patna in E.C.
                                             Appeal No. 9 of 2022-23 whereby and where
                                             under the Collector has been pleased to
Patna High Court CWJC No.15837 of 2024(5) dt.16-03-2026
                                           2/5




                                     reject the Appeal of the petitioner and uphold
                                     the order passed by the Sub Divisional
                                     Officer, Patna City cancelling the P.D.S.
                                     license of the petitioner.
                                                 (iii) For issuance of writ of
                                     certiorari for quashing the order dated
                                     17.07.2021 passed by Sub Divisional Officer,
                                     Patna City, contained in Memo No. 501
                                     dated 19.07.2021 whereby and whereunder
                                     the license no. 124/2016 of the petitioner for
                                     running PDS Shop has been cancelled on the
                                     ground the enquiry report of the enquiry
                                     officer (Joint Team) who has been alleged to
                                     enquiry the shop of the petitioner on
                                     31.05.2021 not served upon the petitioner
                                     and also no statement of the beneficiaries
                                     has been served upon the petitioner, who are
                                     alleged to complain against the petitioner.
                                                 (iv)For issuance of writ of
                                     mandamus for the restoration of the license
                                     of petitioner numbered as 124/2016 and also
                                     for the allotment of food grain and other
                                     items for the distribution amongst the card
                                     holders who are attached with the shop of
                                     petitioner.”

                      3. Learned counsel appearing on behalf of the

          petitioner has stated that the Sub-Divisional Officer while

          issuing the show cause notice to the petitioner has not enclosed

          the enquiry report.

                      4. Further learned counsel has relied on the judgment

          of this Hon'ble Court in CWJC No. 253 of 2014 dated

          11.03.2015 wherein this Hon'ble Court has held that the non-

          supply of the enquiry report along with the show-cause is bad

          in law and against the principle of natural justice and equity.

                      5. Learned counsel has stated in view of the above
Patna High Court CWJC No.15837 of 2024(5) dt.16-03-2026
                                           3/5




          mentioned provisions of law and judgment relied by the

          petitioner, the impugned order may be set aside and the matter

          remanded back to the authorities concerned for furnishing a

          copy of the enquiry report and any other material that they seek

          to rely on and give an opportunity of filing his explanation and

          thereafter take necessary action.

                      6. Per contra, the learned counsel appearing on behalf

          of the respondents has vehemently opposed the very

          maintainability of the writ petition and stated that the present

          writ petition is not maintainable as the petitioner has an

          alternative and efficacious remedy of filing an appeal before the

          District Magistrate, Learned counsel has therefore prayed this

          Hon'ble Court to dismiss the present writ petition.

                      7. This Court in CWJC No. 253 of 2014 dated

          11.03.2015 held as under:

                                                 "In my opinion, irregularities in
                                     maintenance of notice board or maintenance of
                                     the stocks within the premises of the petitioner
                                     are too trivial and cannot form a basis for
                                     cancellation of licence. No doubt there were other
                                     serious charges against the petitioner regarding
                                     non-issuance of cash-memo to the consumers,
                                     distribution of lesser amount of kerosene oil and
                                     non-distribution of food-grains but surprisingly
                                     even while making such allegations, the names of
                                     such consumers who are dissatisfied by such
                                     action of the petitioner are conspicuously
                                     missing. The allegations are sweeping in nature
                                     without reference to any specific consumer.
                                                 In my opinion the non-supply of the
Patna High Court CWJC No.15837 of 2024(5) dt.16-03-2026
                                           4/5




                                     enquiry report conducted by the District Level
                                     Committee which is the foundation for issuance
                                     of show cause notice placed at Annexure-1 as
                                     well as non-supply of names of such of the
                                     consumers who had complained against the
                                     petitioner as regarding the irregularities in
                                     distribution of the food-grains or the kerosene oil
                                     has prejudiced the petitioner to file his purposeful
                                     reply and in absence thereof, the order impugned
                                     in my opinion, are based on no materials.
                                                 Though it was strenuously argued by
                                     Mr. Pandey that in absence of any response by the
                                     petitioner the allegations would be deemed to
                                     have been admitted but in my opinion even if the
                                     show cause reply was missing, the orders passed
                                     by the statutory authorities having civil
                                     consequences and resulting in cancellation should
                                     reflect application of mind. Unfortunately it is
                                     grossly missing inasmuch as neither the order of
                                     the Licensing Authority nor the order of the
                                     appellate authority deal with the materials which
                                     formed the basis to drive home the charges. The
                                     orders impugned are indefensible and cannot be
                                     upheld."

                      8. A perusal of the show-cause notice issued to the

          petitioner does not reveal that the copy of the enquiry report was

          enclosed along with the show-cause notice.

                      9. Having regard to the above facts and circumstances

          and the law laid down by this Hon'ble Court, the present CWJC

          is allowed. The impugned order dated 11.06.2024 passed by the

          Divisional Commissioner, Patna, the order dated 03.12.2022

          passed by the District Magistrate, Patna and the order dated

          17.07.2021 passed by the Sub-Divisional Officer, Patna City,

          Patna are all set aside. The matter is remanded back to the Sub-
           Patna High Court CWJC No.15837 of 2024(5) dt.16-03-2026
                                                      5/5




                     Divisional Officer, Patna City, Patna for furnishing a copy of the

                     enquiry report and any other material relied on the petitioner

                     and call for his explanation by giving reasonable time.

                                 10. On such show-cause notice being served, the

                     petitioner shall file his explanation within the stipulated time.

                     On receipt of the explanation submitted by the petitioner, the

                     authority concerned shall pass a reasoned order strictly in

                     accordance with law duly taking into consideration the

                     explanation submitted by the petitioner.

                                 11. It is needless to mention that before passing any

                     order, the petitioner shall be given an opportunity of hearing.

                     The entire exercise shall be completed as expeditiously as

                     possible preferably within a period of 8 weeks from the date of

                     receipt of a copy of this order. Any order passed shall be

                     communicated to the petitioner.

                                 12. With the above directions, the present Writ

                     Petition is allowed to the extent indicated.



                                                         (A. Abhishek Reddy, J)
shakir/-

U


Continue reading with your account

Sign in to read the full judgment. It’s free.

Sign in to read

Checking your session…

For a signed copy suitable for filing, refer to the court's website.