MAN MOHAN DAS Vs. STATE OF ORISSA

JUDGEMENT

(1.) The petitioners are the sub-wholesalers of Superior Kerosene Oil ("S.K Oil", in short) in different districts of Orissa. They are aggrieved by the Notification No.18749 dated 31.10.2013 issued by the Government of Odisha, Food, Supplies & Consumer Welfare Department, vide Annexure-1, whereby and whereunder the system of sub-wholesalership has been abolished.

(2.) Shorn of unnecessary details, the short facts of the case of the petitioners are that pursuant to the licence issued by the appropriate authority, the petitioners were appointed as sub-wholesalers of S.K Oil in different districts. They made applications for renewal of the licence, but the same was not renewed in view of the impugned notification, vide Annexure-1.

(3.) Pursuant to the issuance of notice, a counter affidavit has been filed by the opposite party no.1. The sum and substance of the case of the opposite2 party no.1 is that the system of sub-wholesalership of S.K Oil has been abolished in respect of 25 districts of the State with effect from 1.6.2014. Presently, the S.K. Oil is being supplied directly by the wholesalers to the Fair Price Shops ("FPS", in short). The system of sub-wholesalership was abolished pursuant to the recommendation of the Justice Wadha Committee. The same was first implemented in five districts of the State on pilot basis with effect from 1.7.2013. It is further stated that the notification, vide Annexure-1, has been issued in exercise of the powers conferred by Section 3 of the Essential Commodities Act, 1955 read with paragraph 5 of the Annexure to the Public Distribution System (Control) Order, 2001 and notifications of Government of India issued from time to time. Since the process of election was started in respect of Lok Sabha and State Assembly, 2014, the validity date of renewal of licence had been extended upto 31.5.2014 as it was felt that for direct delivery of S.K. Oil by the wholesalers to retailers might create dislocations in middle of the election process and possibility of attracting model code of conduct. Therefore, the impact of the Odisha Public Distribution System (Control) Amendment Order, 2013 (hereinafter referred to as "the OPDS Amendment Order, 2013") was deferred by two months in respect of 25 districts of the State. Accordingly, instructions were issued on 28.2.2014 with clear direction for renewal of licence of S.K. Oil subwholesalers of 25 districts upto 31.5.2014 and also arrangement to be initiated for distribution of S.K. Oil directly by the wholesalers to the retailers. It is further stated that by order dated 13.3.2014 passed in WP(C) No.8202 of 2013 , it is held that extension of licence of S.K. Oil sub-wholesalers of 25 districts upto 31.5.2014 was due to impending election process and accordingly direction was issued to abolish S.K. Oil sub-wholesalership in 25 districts after election process was over. Accordingly, the State Government abolished the S.K. Oil subwholesalership in 25 districts. It is further stated that as per the report of the Justice Wadhwa Committee, the intermediary system in the distribution chain, i.e. storage agent in respect of food grains has been abolished. Further, in consonance with the recommendation of the said Committee, the sub-wholesalers in respect of S.K. Oil has also been abolished, which has been confirmed by this Court vide order dated 24.4.2013 passed in WP(C) No.18522 of 2012.