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Patna High Court

Md. Hassan ImamversusThe State of Bihar

Decided
Disposal
DISPOSED

Holding

Mere institution of an FIR is not a valid ground for suspension or cancellation of a PDS licence.

Summary

The petitioner, Md. Hassan Imam, challenged the cancellation of his Public Distribution System (PDS) shop licence (License No. 01/2020) by the Sub Divisional Officer, which was based solely on the filing of an FIR (Case No. 73 of 2025). He sought a writ of certiorari to quash the cancellation order and a writ of mandamus to restore his licence. The court examined the PDS (Control) Order, 2001 and Rule 7 of G.S.R. No.1 dated 20‑02‑2007, finding that the mere institution of an FIR does not constitute a valid ground for licence suspension. Relying on the precedent set in Umesh Ram v. State of Bihar (AIR 2014 Patna 113), the court quashed the impugned order and directed that supplies be restored immediately. The court further clarified that if the petitioner is later convicted in the criminal case, appropriate action may be taken then. Consequently, the writ petition was allowed in the reliefs sought.

Issues considered

  • Whether the mere institution of a First Information Report is a sufficient ground for cancellation of a PDS licence under the PDS (Control) Order, 2001.
  • Whether the Sub Divisional Officer acted within its statutory authority in issuing the cancellation order.

Subjects

  • PDS licence
  • First Information Report
  • Cancellation order
  • Writ of certiorari
  • Writ of mandamus
  • Administrative law
  • Bihar

Judgment

                     IN THE HIGH COURT OF JUDICATURE AT PATNA
                                Civil Writ Jurisdiction Case No.17789 of 2025
                 ======================================================
                 Md. Hassan Imam Son of Jafar Imam @ Md. Jafar Imam, Resident of
                 Village- Lalganj Milki, Ward No. 06, P.S.- Maranga, District- Purnea @
                 Purnia (Bihar).

                                                                          ... ... Petitioner/s
                                                 Versus
           1.    The State of Bihar through the Additional Chief Secretary, Consumer and
                 Food Supply Department, Government of Bihar.
           2.    The District Magistrate-cum-Collector, Purnea.
           3.    The Sub Divisional Officer, Sadar, Purnea.
           4.    The Block Supply Officer, Purnea, East Purnea, District- Purnea.
           5.    The District Manager, the State Food Corporation, Purnea.

                                                           ... ... Respondent/s
                 ======================================================
                 Appearance :
                 For the Petitioner/s   :         Mr. Prem Kumar, Adv.
                 For the Respondent/s   :         Mr. Addl. Advocate General (04)
                 For the BSFC           :         Mr. Nirmal Kumar, Adv.
                 ======================================================
                 CORAM: HONOURABLE MR. JUSTICE A. ABHISHEK REDDY
                                       ORAL ORDER

2   27-01-2026                  Heard learned counsel for the parties.

                               2. The present Writ Petition has been filled for the

                   following reliefs:-

                                                       “1) That the instant application is
                                            directed for passing necessary order/orders, or
                                            direction as nature of the case may require
                                            quashing the order passed by respondent No. 3
                                            as   contained in Memo No.              558,   dated
                                            30.08.2025 by way of issuing writ of certiorari
                                            in as much as is directed for seeking direction to
                                            the concern respondent authority to restore the
                                            license of the shop (public distribution system
                                            shop) being License No. 01/2020 by way of
                                            issuing writ of mandamus as the said order
Patna High Court CWJC No.17789 of 2025(2) dt.27-01-2026
                                           2/3




                                  under challenge is perverse, arbitrary and ipso
                                  facto bad.”



                      3. Learned counsel for the petitioner submits that the

          solitary ground given in the show cause notice for cancelling the

          PDS licence of the petitioner was that an First Information

          Report (F.I.R.) bearing Maranga (Purnea) P.S. Case No. 73 of

          2025 had been instituted against the petitioner. Similarly, the

          impugned order has been passed on the sole ground of

          institution of the aforesaid FIR against the petitioner.

                      4. Learned counsel for the respondents appears and

          has been heard.

                      5. Having heard the parties and on consideration of

          the materials on record, this Court finds merit in the writ

          petition. A perusal of the PDS. (Control) Order, 2001 read with

          Rule 7 of the notification in G.S.R. No. 1 dated 20.02.2007

          makes it clear that mere institution of a First Information Report

          would not constitute a valid ground for suspension of the PDS

          licence. This view finds support from the decision of this Court

          in Umesh Ram vs. The State of Bihar and others, AIR 2014

          Patna 113 as well.

                      6. In view of the above, the impugned order dated

          30.08.2025 is hereby quashed and set aside.
             Patna High Court CWJC No.17789 of 2025(2) dt.27-01-2026
                                                        3/3




                                   7. Needless to say, supplies to the petitioner shall be

                       restored without delay.

                                   8. It is made clear that, in case, the petitioner is

                       subsequently convicted in the criminal case instituted against

                       him, thereafter, the authorities are free to take necessary action

                       in accordance with law.

                                   9. With the above directions, the Writ Petition stands

                       allowed to the extent indicated.



                                              (A. Abhishek Reddy , J)
Gauravkr/-

U


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