NIRANJAN MAHTO Vs. STATE OF BIHAR

JUDGEMENT

(1.) The petitioner is a dealer of fair price shop having Licence No. 36/1984 and the shop is situated at Kanke Block, Ranchi. While he was running his fair price shop, he received a notice on 2.4.1996 issued by the respondent No. 3, wherein allegation has been brought that some consumers/villagers have raised voice for cancellation of the licence on the ground that distribution of foodgrains is not being done properly as the petitioner keeps his shop closed for a considerable period every month. The said notice is contained in Annexure-1. On receipt of the notice, the petitioner sought for time as he was then bed ridden due to ailment for filing reply to the show cause, which is contained in Annexures-2 and 2/a. But without considering the aforesaid time petition filed by the petitioner and without giving any reasonable opportunity of hearing, the respondent No. 3 has cancelled the agreement vide order dated 13.4.1996 as contained in Annexure-3. This has been challenged and a prayer has been made for quashing the same.

(2.) According to the petitioner, when a reasonable opportunity of hearing has not been given, his agreement cannot be cancelled and practically cancellation of agreement means closure of fair price shop and thus it amounts to cancellation of licence.

(3.) Mr. A-K. Sinha, appearing on behalf of the petitioner submitted that the petitioner was running his business in proper way without any hindrance or any objection from any customer, but a vague notice has been issued by the respondent No. 3 stating that some villagers have raised objection that the shop remains closed for a considerable period of time and as such the Card holders do not get the essential commodities from the fair price shop. But, when the petitioner due to ailment could not file his show cause and prayed for time then the authority i.e. respondent No. 3 ought to have granted time and after giving an opportunity of hearing, orders ought to have been passed, but without doing that the agreement has been cancelled, which amounts to cancellation of licence and thus principle of natural justice has been violated.