(1.) The petitioner corporation has come up with this writ petition challenging the order dated 20.06.2015 passed by the first respondent rejecting the statutory appeal preferred by them.
(2.) The petitioner - Bharath Petroleum Corporation Limited is a public sector enterprise coming under the Ministry of Petroleum and Natural Gas, Government of India and it is one of the leading oil marketing companies in the country. In the process of marketing their petroleum products, the petitioner corporation has appointed various dealers and set up several outlets. One such retail outlet is situated in the land comprised in Survey No.483, Four Road Junction Salem over which the petitioner corporation had erected super-struture and also constructed underground storage tank, fittings etc., This land was originally leased out by one Mr. S. Khader Khan to M/s. Burmah Shell Oil Storage and Distributing Company of India Limited, which is the predecessor of the petitioner corporation, by entering into a registered lease agreement dated 29.10.1957. As per the terms and conditions of the lease agreement, the lease was for a period of 10 years from 01.11.1956 with an option for renewal for a further period. Subsequently, M/s. Burmah Shell Oil Storage and Distributing Company of India Limited exercised their option for renewal of the lease for a further period from 01.11.1966. When the lease was in force, M/s. Burmah Shell Oil Storage and Distributing Company of India Limited was nationalised by Central Act 2 of 1976 whereby the right, title and interest of the said company was vested with Central Government. The Central Government later changed the name of the said company as "Bharat Refineries Limited' and thereafter as 'Bharat Petroleum Corporation Limited". Thereafter, the petitioner corporation exercised their option for renewal of the lease for a further period of 10 years by issuing a letter dated 19.08.1976 addressed to Mr. Mehaboob Khan, son of Khader Khan. As there was no response, the corporation sent a letter dated 25.10.1976 to Mr. Mehaboob Khan. In the meanwhile, Mr. Mehaboob Khan filed WP No. 10957 of 1985 before this Court challenging the provisions of Central Act 2 of 1976 by which the petitioner corporation inherited the right and title of M/s. Burmah Shell Oil Storage and Distributing Company of India Limited. Subsequently, Mr. Mehaboob Khan filed a Transfer Petition No. 414 and 415 of 1984 before the Honourable Supreme Court. By order dated 19.02.1990, the Transfer petitions were dismissed by the Supreme Court.
(3.) In the meanwhile, the petitioner corporation wrote a letter dated 22.04.1986 informing Mr. Mehaboob Khan of their intention to renew the lease for a further period of 20 years from 01.11.1986 with the existing terms and conditions. But there was no response and the petitioner continued to run the retail outlet without renewal. Thereafter, on 07.12.1995 the said Mehaboob Khan sent a letter refusing such request for renewal made by the corporation. However, the corporation sent another letter dated 23.02.1996 reiterating their intention to get renewal of the lease. In this process, without getting the lease renewed, the corporation has operated the retail outlet by paying the rent at the rate of Rs.360/- per quarter. Even according to the petitioner corporation, last such rent was paid on 25.01.2005 for the period covering 01.04.2004 to 31.12.2004. At this stage, Mr. Mehaboob Khan sent a notice dated 08.11.2004 terminating the lease in favour of the corporation. Even thereafter, the corporation sent a letter dated 07.12.2004 reiterating their request for renewal of the lease for a further period of 30 years. However, the said Mehaboob Khan did not send any reply to such request made by the corporation. While so, on 05.06.2006, Mr. Mehaboob Khan died leaving behind the respondents 4 and 5 as his legal heirs.