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Patna High Court

Vinay ChaudharyversusThe State of Bihar

Decided
Disposal
DISPOSED

Holding

The cancellation order is void because the show‑cause notice failed to comply with Rule 27(ii) of the Bihar Targeted Public Distribution System (Control) Order, 2016, thereby violating the principles of natural justice.

Summary

Vinay Chaudhary, a PDS licensee, challenged the cancellation of his license by the Sub‑Divisional Officer, Nawada, on the ground that the show‑cause notice did not attach the enquiry report nor state a proposal for cancellation, contrary to Order 27(ii) of the Bihar Targeted Public Distribution System (Control) Order, 2016. The petitioner argued that this breach violated the principles of natural justice and that the appellate authority had dismissed his appeal mechanically without addressing the defect. The respondents contended that the writ petition was not maintainable because a revision before the Commissioner was an alternative remedy. The High Court examined prior decisions, notably CWJC No. 253 of 2014 and CWJC No. 21202 of 2021, which held that a valid notice must disclose the proposed cancellation and include the enquiry report. Finding the show‑cause notice defective, the Court set aside the cancellation order and remanded the matter for issuance of a fresh, compliant notice. The petition was allowed and the authorities were directed to follow the procedural requirements within eight weeks.

Issues considered

  • The validity of the license cancellation order issued without a compliant show‑cause notice under Order 27(ii) of the Bihar TPD S Control Order, 2016.
  • Whether the petitioner was denied a fair hearing by the non‑attachment of the enquiry report, violating natural justice.
  • Whether the writ petition is maintainable despite the availability of a revision remedy before the Commissioner.

Subjects

  • license cancellation
  • show‑cause notice
  • natural justice
  • PDS
  • Bihar administrative law
  • writ of certiorari
  • writ of mandamus
  • procedural fairness

Judgment

                      IN THE HIGH COURT OF JUDICATURE AT PATNA
                                Civil Writ Jurisdiction Case No.159 of 2026
                 ======================================================
                 Vinay Chaudhary S/o Bake Chaudhary, R/o vill- Masaurha, P.S.- Nardiganj,
                 Distt.- Nawada

                                                                        ... ... Petitioner/s
                                                   Versus
           1.    The State of Bihar through the Pricipal Secretary, Food and Consumer
                 Protection Department, Bihar at Patna
           2.    The Principal Secretary, Food and Consumer Protection Department, Bihar
                 at Patna,
           3.    The Distrct Magistrate, Nawada at Nawada.
           4.    The Sub Divisional Officer, Nawada Sadar at Nawada,
           5.    The Marketing Officer, Nardiganj Block, at Nardiganj.

                                                           ... ... Respondent/s
                 ======================================================
                 Appearance :
                 For the Petitioner/s    :      Mr. Amresh Kumar Sinha, Advocate.
                 For the Respondent/s    :      Mr. Additional Advocate General (4).
                 ======================================================
                 CORAM: HONOURABLE MR. JUSTICE A. ABHISHEK REDDY
                                    ORAL ORDER

2   19-01-2026                   Heard learned counsel for the parties.

                                 2. The present Writ Petition has been filed for the

                   following reliefs:-

                                                        “(i) To issue a Writ (S)
                                              Certiorari in nature setting aside the
                                              order dated 17.09.2025 as contained in
                                              Memo No. 767, issued under signature of
                                              the Sub-Divisional Officer, Nawada
                                              Sadar at Nawada, respondent No. 4, by
                                              which the license No. 33/2007, EPDS
                                              Code 123900100030, Gram Panchyat
                                              Masaurha, Block Nardiganj has been
                                              cancelled.
                                                        (ii) Further to issue a Writ (S)
                                              Mandmus in nature directing the
Patna High Court CWJC No.159 of 2026(2) dt.19-01-2026
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                                      Respondent No. 4, the Sub Divisional
                                      Officer, Nawada Sadar at Nawada, to
                                      restore of PDS license No. 33/2007,
                                      EPDS Code 123900100030.”

                      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

          and there is no proposal for cancellation of the license in the show-

          cause notice.

                      4. Learned counsel has stated that non-mentioning of

          the proposal for cancelling his license is contrary to the provisions

          of order 27(ii) of the Bihar Targeted Public Distribution System

          (Control) Order, 2016 (hereinafter referred to as ‘the Order,

          2016’).

                      5. 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 and against the

          principle of natural justice and equity.

                      6. Learned counsel has further stated that petitioner has

          taken the above ground in the appeal, but the appellate authority

          has not dealt with the above ground and dismissed the appeal in a

          mechanical manner.

                      7. Learned counsel for the petitioner has also relied on
Patna High Court CWJC No.159 of 2026(2) dt.19-01-2026
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          the judgment of the Full Court passed in CWJC No.21202 of 2021

          and analogous cases dated 26.09.2023 to buttress his contention

          that non-mentioning of the proposed action in the show-cause

          notice is bad in law and contrary to Rule 27(ii) of the Control

          Order, 2016.

                      8. Learned counsel has stated in view of the above

          mentioned provisions of law and judgments relied by the

          petitioner, the impugned order may be set aside and matter

          remanded back to the authorities concerned for issuing a fresh

          show-cause notice in terms of order 27(ii) of the Control Order.

          2016 and also furnish a copy of the enquiry report along with the

          said show-cause notice and thereafter take necessary action.

                      9. 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 a revision before the Commissioner. Learned

          counsel has therefore prayed this Hon'ble Court to dismiss the

          present writ petition.

                      10. 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
Patna High Court CWJC No.159 of 2026(2) dt.19-01-2026
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                                      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 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
Patna High Court CWJC No.159 of 2026(2) dt.19-01-2026
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                                      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.”

                      11. Further this Hon'ble Court in CWJC No. 21202 of

          2021 and analogous cases has held as under:-

                                             “19. Accordingly, we answer
                                  the reference as under:-
                                             It is mandatory for a licensing
                                  authority issuing a notice under order
                                  27(ii) to a license to mention that there is
                                  a proposal for cancellation of his license,
                                  failing which such notice cannot be
                                  treated to be a valid notice of giving
                                  sufficient opportunity to the licensee to
                                  state his case under order 27(ii) of the
                                  BTPDS Control Order.”
                      12. 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 and that there is no

          proposal of the action sought to be taken against the petitioner.

                      13. 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 17.09.2025 in Memo No. 767

          passed by the Sub-Divisional Officer, Nawada Sadar Nawada is

          set aside. The matter is remanded back to the Sub-Divisional

          Officer for issuing a fresh show-cause notice to the petitioner

          strictly in compliance with the provisions of Rule 27(ii) of the
           Patna High Court CWJC No.159 of 2026(2) dt.19-01-2026
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                     Control Order, 2016 and also furnish a copy of the enquiry report

                     along with the Show Cause Notice to the petitioner and call for his

                     explanation by giving reasonable time.

                                 14. 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 orders strictly in accordance with

                     law duly taking into consideration the explanation submitted by

                     the petitioner.

                                 15. It is needless to mention that before passing any

                     orders, the petitioner shall be given an opportunity of hearing The

                     entire exercise shall be completed as expeditiously as possible

                     preferably within a period of eight weeks from the date of receipt

                     of a copy of this order. Any order passed shall be communicated to

                     the petitioner.

                                 16. With the above directions, this Writ Petition stands

                     allowed to the extent indicated.



                                                                   (A. Abhishek Reddy, J)
shakir/-

U


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