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Patna High Court

Manoranjan Kumar DeoversusThe State of Bihar

Decided
Disposal
DISPOSED

Holding

Mere institution of an FIR does not constitute a valid ground for cancellation of a PDS licence; the impugned orders are set aside.

Summary

Manoranjan Kumar Deo, the petitioner, challenged the suspension and subsequent cancellation of his PDS shop licence (No. 62/16) by the Sub‑Divisional Officer, Kahalgaon, which was based solely on an FIR lodged under Section 7 of the Essential Commodities Act, 1955 alleging black‑marketing of food grains. The petitioner sought a writ of certiorari to quash the orders and a mandamus directing the authorities to restore his licence and resume grain supplies. The respondents argued that the FIR justified the suspension. The High Court held that, under the PDS (Control) Order, 2001 and Rule 7 of G.S.R. No. 1 dated 20‑02‑2007, the mere institution of an FIR is not a valid ground for licence cancellation, a view supported by the precedent Umesh Ram v. State of Bihar (AIR 2014 Patna 113). Consequently, both the September 19, 2025 and November 22, 2025 orders were set aside and the petitioner’s supply of food grains was ordered to be restored, subject to future action if he is convicted in the criminal case. The writ petition was allowed in the manner indicated.

Issues considered

  • Whether the mere institution of an FIR under the Essential Commodities Act, 1955 constitutes a valid ground for suspension or cancellation of a PDS licence.
  • Whether the orders passed by the Sub‑Divisional Officer are violative of the PDS (Control) Order, 2001 and the relevant notification.
  • Whether a mandamus can be issued to compel restoration of the licence and resumption of grain supplies.

Legislation cited

Subjects

  • PDS licence
  • Suspension
  • FIR
  • Essential Commodities Act
  • Certiorari
  • Mandamus
  • Administrative law
  • Bihar

Judgment

                     IN THE HIGH COURT OF JUDICATURE AT PATNA
                                Civil Writ Jurisdiction Case No.503 of 2026
                 ======================================================
                 Manoranjan Kumar Deo, Son of Shdanand Prasad Deo, Resident of Village-
                 Ward No.- 3, Ekdara Kahalgaon, P.S.- Buddhu Chak, District- Bhagalpur.

                                                                        ... ... Petitioner/s
                                                   Versus
           1.    The State of Bihar through the Principal Secretary, Food and Consumer
                 Protection Department, Old Secretariat, Patna.
           2.    The District Magistrate, District- Bhagalpur.
           3.    The District Supply Officer, District- Bhagalpur.
           4.    The Sub- Divisional Officer, Kahalgaon, Bhagalpur.
           5.    The Block Supply Officer, Kahalgaon, Bhagalpur.

                                                           ... ... Respondent/s
                 ======================================================
                 Appearance :
                 For the Petitioner/s   :        Mr.Kumar Gaurav, Adv.
                 For the Respondent/s   :        Mr.Government Pleader (23)
                                                 MR. Sanjay Kumar, AC to GP 23
                 ======================================================
                 CORAM: HONOURABLE MR. JUSTICE A. ABHISHEK REDDY
                                       ORAL ORDER

4   01-04-2026                I.A. No. 01 of 2026

                              For the reasons stated in the Interlocutory Application,

                   the same is allowed.

                               2. Registry is directed to make the necessary changes

                   in the prayer portion of the present writ petition.

                               3. Heard learned counsel for the parties.

                               4. The present Writ Petition has been filled for the

                   following reliefs:-

                                            “A. A Writ in the nature of certiorari or any
                                            other appropriate writ order for quashing &
                                            setting aside the order passed by the Sub
                                            Divisional Officer, Kahalgaon vide Memo
                                            No.743 dated 19.09.2025 whereby and where
Patna High Court CWJC No.503 of 2026(4) dt.01-04-2026
                                            2/4




                                 under license of the petitioner P.D.S shop
                                 bearing License No. 62/16 has been
                                 suspended only on the basis of the F.I.R
                                 registered against the petitioner under 7 of
                                 the E. C. Act 1955 in Buddhu Chak P.S. Case
                                 No. 80/2025 alleged allegation of black
                                 marketing of food grains contained therein
                                 Annexure -P/4 with some general, ominous,
                                 false, fabricated & self manufactured
                                 allegations have leveled against him
                                 prejudicially & purely with pure malicious
                                 intention which is beyond the truth & fact of
                                 this matter.
                                 B. A mandamus commanding the Respondent
                                 i.e. S.D.O, Kahalgaon to restore the
                                 petitioner P.D.S. Shop license bearing license
                                 No. 62/16 contained therein Annexure
                                 -P/1(Series) and consumers of P.D.S shop of
                                 the petitioner as before and resume the
                                 monthly allotment of food grains as same as
                                 before.
                                 C. Any other relief or reliefs for which the
                                 petitioner may be found entitled in the fact
                                 and circumstances of the present case may be
                                 granted to him.”

                      5. The following paragraph has been added vide order

          dated 01.04.2026 through I. A. No. 01 of 2026.

                                   "quashing & setting aside the order passed

                                   by the Sub- Divisional Officer, Kahalgaon

                                   containing Memo No. 905 dated 22.11.2025

                                   contained therein Annexure -P/8 whereby

                                   and where under license of the petitioner

                                   P.D.S shop bearing License No. 62/2016 has
Patna High Court CWJC No.503 of 2026(4) dt.01-04-2026
                                            3/4




                                   been Cancelled only on the basis of a F.I.R

                                   has been lodged against the petitioner in

                                   Buddhuchak P.S. Case no.80/ 2025 dated

                                   13.09.2025 with some general, ominous,

                                   false, fabricated & self manufactured

                                   allegations      have   leveled   against   him

                                   prejudicially & purely with pure malicious

                                   intention which is beyond the truth & fact

                                   of this matter.

                        6. Learned counsel for the petitioner submits that the

          solitary ground given in the order dated 19.09.2025 vide Memo

          No. 743 for suspending the PDS licence of the petitioner was

          that an First Information Report (F.I.R.) bearing Buddhu Chak

          P.S. Case No. 80 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.

                        7. Learned counsel for the respondents appears and

          has been heard.

                        8. 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
             Patna High Court CWJC No.503 of 2026(4) dt.01-04-2026
                                                         4/4




                       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 cancellation 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.

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

                       19.09.2025 (Annexure P/7) as well as the order dated

                       22.11.2025 (Annexure P/8) are also set aside.

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

                       restored without delay.

                                   11. 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.

                                   12.     With the above directions, the Writ Petition

                       stands allowed to the extent indicated.


                                                                     (A. Abhishek Reddy , J)
Bhardwaj/-

U


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