GANESH CHANDRA Vs. UNION OF INDIA

JUDGEMENT

(1.) The petitioner was granted a licence to set up a tea stall at the platform of Chauraha railway station. Central Railways on 26.10.1998 on a licence fee of Rs. 2,500 per annum. By the letter dated 25.1.2000, sent from the office of the Divisional Railway Manager (for short the DRM), Jhansi, the licence fee was enhanced to Rs. 7,175, w.e.f. 1.4.1999, and the petitioner was directed to deposit balance of the enhanced licence fee and also the licence fee upto 30.9.2000. The present writ petition has been filed for quashing of the communication sent by the DRM regarding enhancement of the licence fee and also the demand made upto 30.9.2000.

(2.) Sri O.P. Singh, learned counsel for the petitioner, has contended that a small area of 8 ft. x 8 ft. in dimension was allotted to the petitioner on the platform of Chauraha railway station by the letter dated 15.9.1998 sent by the office of the DRM, Jhansi, and in the said letter, the licence fee was fixed at Rs. 2,500 per annum. Learned counsel has submitted that Chauraha is a very small railway station on Kanpur-Jhansi route and only passenger trains have stoppage at the said railway station. The total income of the petitioner, according to the learned counsel was about Rs. 30 per day on an average basis and the sudden enhancement of licence fee to nearly three times within one year and four months of the initial allotment was wholly unjustified.

(3.) Sri Lal Ji Sinha, learned counsel for the respondents, has submitted that the enhancement in licence fee has been done in terms of a circular of the Railway Board dated 24.6.1999. He has further submitted that the annual sales turnover of the petitioner had been determined on the basis of sale assessment done by the Commercial Inspector and on its basis, the licence fee had been enhanced.