M RAMESH Vs. STATE OF TAMIL NADU

JUDGEMENT

(1.) The petitioners applied for licence under the provisions of The Tamil Nadu Liquor (Retail Vending) Rules, 1989 (in brevity "the Rules") for vending Indian Made Foreign Liquor at No.71, Tiruvenkadu and No.25, Maruthur South in Nagapattinam District respectively for the period 2002-03, commencing from 01.08.2002 to 31.07.2003.

(2.) The draw for the said shops was initially fixed on 23.07.2002. The petitioners applied for the same and paid a sum of Rs.3 lakhs each towards Earnest Money Deposit, which is a condition precedent for participating in the auction. The auction scheduled to be held on 23.07.2002 was postponed to 25.07.2002 and thereafter to 02.09.2002, on which date, the petitioners withdrew their applications as they could not opt for minimum off take as contemplated under Rule 30(2) of the Rules, which reads as follows:-

(3.) Since the petitioners alone applied for licence for the said shops, as per Rule 13(2) of the Rules, they were deemed to be selected in the auction held on 02.09.2002. Even though the petitioners were thus deemed to be selected in the auction, they failed to start the shops presumably on the ground that they withdrew their applications on 02.09.2002. As a result, the third respondent by proceedings dated 24.12.2002 forfeited the Earnest Money Deposit as well as Privilege Amount paid by the petitioners. Aggrieved by the same, the petitioners have filed these writ petitions for issuance of Writ of Certiorarified Mandamus, to quash the order of the third respondent and to direct the third respondent to refund the amount to the petitioners.