(1.) Petitioner was a retail dealer under U. P. High Speed Diesel Oil and Light Diesel Oil (Maintenance of Supplies and Distribution) Order 1981 (hereinafter referred to as the Control Order). Vide order dated 4-2-1988 the respondent No. 2 cancelled petitioner's licence on the ground that he is carrying on the business within a radius of five kms. of regular diesel retail out let of a company in violation of Government Order dated 10-9-1987 which has been approved by Hon'ble Supreme Court. Being aggrieved, the petitioner has filed this writ petition challenging both direction No. 1 of the Government Order dated 10-9-1987 and the order dated 4-2-1988. While entertaining the writ petiti0n this Court granted interim order staying the operation of the impugned orders.
(2.) State has filed counter affidavit irreply to the writ petition. We have heard learned counsel for the petitioner and learned standing counsel for respondents.
(3.) The Control Order under which the petitioner was granted a licence has provided for licence for both whole seller and retailer and there is no provision therein prohibiting the grant of a retail/petty diesel licence within a radius of 5 km. of a regular diesel retail out-let. However, the Government has issued an order dated 16-9-1987 giving direction regarding the appointment of retail/petty dealer under the Control Order : direction No. 1 of which is as under :-