Bombay High Court High Court

Nandbodhi Magaswargiya Grahak vs Food on 28 October, 2010

Bombay High Court
Nandbodhi Magaswargiya Grahak vs Food on 28 October, 2010
Bench: S. S. Shinde
                               1


          IN THE HIGH COURT OF JUDICATURE AT BOMBAY




                                                                 
                     BENCH AT AURANGABAD.




                                         
              CIVIL REVISION APPLICATION No. 10 OF 2006

    Nandbodhi Magaswargiya Grahak
    Sahakari Sanstha, Maryadit, through




                                        
    its Chairman, Uttamrao S/o Mukundrao
    Shinde, Age 64 years, Occu. R/o
    plot No. 1148, Sai Nagar, N-6,
    Cidco, Aurangabad.                           ...PETITIONER




                            
                            VERSUS

    1]
                 
         Leelabai W/o Sukhdeo Palaskar,
         Age 45 years, Occu. Household,
         r/o House No. 36, N-12, Hudco,
                
         Aurangabad.

    2]   District Supply Officer,
         Collector office, Aurangabad.
      

    3]   Food Grains Distribution Officer,
         Collector office, Aurangabad.
   



    4]   Additional Collector,
         Collector office, Aurangabad.

    5]   State of Maharashtra





         (Food, Civil Supplies and
         Consumer protection Department,
         through Collector of District
         Aurangabad, Collector office,
         Aurangabad.                    ..RESPONDENTS





                              ...

    Mr. P.S. Dighe, Advocate for Petitioner
    Mr.S.L. Jondhale, Advocate for Respondent No. 1
    Mr.V.H. Dighe, A.G.P. for respondent Nos. 2 to 5

                                   CORAM :- S.S. SHINDE, J.

              JUDGEMENT RESERVED ON    : 18th October, 2010
            JUDGMENT PRONOUNCED ON     : 28th October, 2010




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    JUDGMENT:

This Civil Revision Application is filed,

challenging the Judgment and Order dated 22th December,

2005 passed by the learned Civil Judge, Senior

Division, Aurangabad Dist. Aurangabad below Exh. 30 in

Regular Civil Suit No. 653 of 2005. The petitioner

herein is the original defendant No. 5 and respondent

No. 1 is original plaintiff in Regular civil Suit No.

653 of 2005. The respondent Nos. 2 to 4 are original

defendant Nos. 2 to 4 in the said suit.

2. The plaintiff filed the suit with following

prayer :

“A] The Suit of the plaintiff may kindly be
decreed with costs.

B] That, the defendants be restrained from
discontinuing the business carried by the
plaintiff of fair price shop NO. 73 without

following due procedure under by issuing the
perpetual injunction and declare the orders dated
6/09/2005, 8/09/2005 and 22/08/2005 passed by the
defendant Nos. 1 to 4 back and behind without
hearing the plaintiff as null and void.”

In the said Regular Civil Suit petitioner

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herein filed application under Section 9-A of Civil

Procedure Code, and prayed for framing issue of

jurisdiction under Section 59-A of Civil Procedure

Code and it be tried first. The original plaintiff

filed say on the said application stating that the

application is misconceived. The remedy available

under the Act will operate as a bar to the

Jurisdiction of the Civil Court, therefore, this

application is not tenable.

                       ig                          The learned Civil Judge,

    Senior   Division,       Aurangabad by            his order            dated 19th
                     
    October,    2005       granted       application           and      framed        the

    preliminary issue           thus :

                "          Whether this Court has jurisdiction to
      


                try       the     suit        in     view       of      Maharashtra
   



                Scheduled           Commodities                (Regulations              &
                Distribution) Order 1975?"





The said application filed by the petitioner

herein was exhibited at Exh. 30. The learned Civil

Judge, Senior Division, Aurangabad by his order dated

22th December, 2005 held that there is no express bar

under Maharashtra Scheduled Commodities (Regulations &

Distribution) Order 1975, to oust the jurisdiction of

Civil Court. Being aggrieved by the said order dated

22th December, 2005, this Civil Revision Application is

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filed by the original defendant No. 1.

3. The learned counsel appearing for the

revision petitioner submitted that licence bearing No.

73, in respect of fair price shop and kerosene is

given in favour of petitioner society and petitioner

society is running the same in the Aurangabad city. In

the year 1982, the petitioner society went in

liquidation and
ig administrator was appointed by the

Assistant Registrar Co-operative Societies,

Aurangabad, and the shop Nos. 73,77 and 78 were given

to the employees of the petitioner society for running

the same. Shop No. 73 was run by the husband of the

respondent No. 1, namely Sukhdeo Palaskar who was the

salesman of the petitioner society. In 2003, the

petitioner society came up from liquidation. The

application was filed with the authorities for handing

over the fair price shop Nos. 73,77 & 78 to the

society, as it was earlier run by the petitioner

society.

On 16th August, 2003, the husband of the

respondent No. 1, running the fair price shop No. 73,

expired. On 7th November, 2003, the District Supply

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Officer, Aurangabad rejected the application of the

petitioner for handing over the said shops No. 73,77 &

78 in favour of the petitioner society. Being

aggrieved, petitioner society filed revision before

the State Government, challenging the letter dated 7th

November, 2003 issued by the District Supply Officer,

Aurangabad. The Minister, Food, Civil Supplies

Department, Mantralaya, Mumbai, on 18th August, 2004

allowed the said
ig revision filed by the petitioner

society, thereby directing to allot the shops No.

73,77 & 78 to the petitioner society.

It is the case of the petitioner that on

04th February, 2005, the respondent No. 1, one of the

two wives of said Shri Sukhdeo Palaskar made

application to District Supply Officer, Aurangabad to

give her licence of shop No. 73 being legal heir of

Sukhdeo Palaskar. On 27th August, 2005, the District

Supply Officer, Aurangabad issued letter to the

Distribution Officer to take action on the application

given by respondent No. 1 on 9th June, 2005.

The District Supply Officer, Aurangabad,

refused to allot the kerosene quota to the petitioner

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society, and therefore, the revision was filed before

the State Government by the petitioner. Though the

order dated 18th August, 2004, was passed by the State

Government giving shops No. 73, 77 & 78 to the

petitioner society, but as the quota of kerosene was

not allotted the petitioner society approached to the

State Government by filing revision and same was heard

by State Government on 14th July, 2005 and same was

reserved for orders.

                          According        to       the       Counsel            for     the

    petitioner,         the     Distribution           Officer            who     had     no

    authority      to    take    decision        for      allotting          the       shop,
      


    issued    notice      of    hearing        to    the     respondent           No.     1,
   



directing to remain present on 28th July, 2005. The

Distribution Officer without any authority in law and

without any powers and without taking permission of

the higher authorities, issued a letter in favour of

respondent No. 1, directing to run the said fair price

shop No. 73 of which the licence was with the

petitioner society. On 18th August, 2005, the superior

authority of the Distribution Officer, the Additional

Collector issued letter to the Distribution Officer,

Aurangabad, that he had no powers to issue letter

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dated 2nd August, 2005 in favour of respondent No. 1.

The learned Counsel further submitted that on 22th

August, 2005, the revision filed by the petitioner

society came to be allowed, thereby directing to allot

the kerosene quota in favour of the petitioner

society. On 6th September, 2005, the District Supply

Officer, Aurangabad immediately in view of the letter

issued by the Additional Collector stopped the supply

of the essential commodities to the respondent No. 1.

On 8th September, 2005 the District Supply Officer

issued letter to the Distribution Officer referring

the orders dated 18th August, 2004 and 22th August, 2005

passed by the State Government and directed to issue

allocation in favour of the petitioner society. The

respondent No. 1 who is original plaintiff filed

Regular Civil Suit No. 635 of 2005 before Civil Judge,

Senior Division, Aurangabad for perpetual injunction

against shop No. 73 and declaration challenging the

letters dated 6th September, 2005, 8th September, 2005

and order dated 22th August, 2005 which are mentioned

here-in-above. The petitioner filed application Exh.

30 for framing preliminary issue of Jurisdiction under

Section 9-A of Civil Procedure Code. The Civil Court

held that Court has jurisdiction to entertain the

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suit, and there is no express bar in the Maharashtra

Scheduled Commodities (Regulations & Distribution)

Order 1975.

4. The learned Counsel appearing for the

petitioner submits that Maharashtra Scheduled

Commodities (Regulations & Distribution) Order 1975

(Here-in-after referred as ‘said order of 1975’) has

been enacted as
ig per Section 3 of the Essential

Commodities Act, 1955. Clause 3 of the Essential

Commodities Act, 1955 gives powers to the authorities

for issuing necessary licence /authorization for

running fair price shop. Clause 24 of the said order

provides the machinery to the aggrieved person,

approaching the Commissioner or the State Government

against the order passed by the Collector. Therefore,

according to the learned counsel for the petitioner,

the respondent No. 1 was having remedy to approach the

State Government under clause 24 of the said order of

1975. As the machinery provided under the said order

of 1975, therefore, the jurisdiction of the Civil

Court is impliedly barred. The learned Counsel

appearing for the petitioner invited my attention to

the provisions of Section 6 of the Essential

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Commodities Act, 1955, and submitted that as per said

section the Order of 1975 is having overriding

effect, and therefore, procedure provided under the

said order has to be followed by the aggrieved person.

The learned Counsel invited my attention to the

reported Judgment in case of “Harishankar Bagla and

another V/s. State of M.P., reported in AIR 1954 S.C.

465″ and submitted that, it has been held that the

provisions of the order made under section 3 of the

Essential Commodities Act, 1955 will prevail in

preference to the provisions of other laws. It has

been also further held that as soon as the order comes

into force that will have effect not withstanding any

inconsistency therewith contained in any enactment

other than this Act. It is further submitted that the

said order of 1975 is created by a statute i.e.

Essential Commodities Act, 1955 and it provides a

machinery for the enforcement of the right giving

remedy and therefore, the Civil Court’s Jurisdiction

is impliedly barred. The learned Counsel in support of

his contention placed reliance on the following

Judgments :

1] “Raja Ram Kumar Bhargava (dead) by LRs V/s.
Union of India, reported in AIR, 1988, S.C. 752”

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and more particularly Head Note

2] Bharat Prasad and others V/s. State of Bihar

& others, reported in (2009)6, SCC, 698.

3] Music Choice India Pvt. Ltd. V/s.

Phonographic Performance Ltd., reported in
2009(2), Mh.L.J.651.

4] State of A.P. V/s. Majeti Laxmi Kantha

Rao(D) by L.R.s. & others, reported in AIR, 2000,
SC 2220.

It is further submitted that the respondent No. 1

did not have legal right to claim the principles of

natural justice, as no licence or authorisation has

been given in favour of respondent No. 1 by the

authorities for running the fair price shop No. 73, as

the licence is with the petitioner society since the

year 1982, and the same has been renewed from time to

time. The respondent No. 1 is claiming right to heard

only on the basis of letter dated 2nd August, 2005

issued by the Distribution Officer, who has no

authority to issue such letter and which has been

informed by the Additional Collector immediately on

18th August, 2005, and accordingly the supply of food

grains was immediately stopped on 6th September, 2009.

According to the counsel for the petitioner, the

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revision which was filed by the petitioner society

before the State Government in July, 2005 and the

letter issued by the Distribution Officer to the

respondent No. 1 is dated 2nd August, 2005 i.e. after

filing of revision and therefore, the respondent No. 1

cannot claim any right to be heard before passing

order on 22nd August, 2005. The revision filed by the

petitioner society was heard on 14th July, 2005 when at

the relevant time there was no document in favour of

respondent No. 1 to claim principles of natural

justice before the State Government.

The learned Counsel further submitted

that the husband of respondent No. 1 was the salesman

of the petitioner society, and therefore, the said

shop No. 73 was given to him for running as the

petitioner society went into liquidation. According

to the Counsel, the State Government has passed order

dated 18th August, 2004 in favour of the petitioner

society allotting the said shops No. 73,77 & 78 and as

the kerosene quota was not allotted to the petitioner

society again revision was filed before the State

Government, and the order dated 22nd August, 2005 was

passed in favour of the petitioner society, thereby

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directing to allot kerosene quota to the petitioner

society. Therefore, learned Counsel for the petitioner

society would submit that the principle of natural

justice can be claimed by a person who had some right

in his favour, at the time of filing first revision

and second revision by the petitioner society before

the State Government. The respondent No. 1 is claiming

the right to run the business of fair price shop which

can be granted under the provisions of the said order

of 1975 and not by the Civil Court as will be evident

from the prayers made by the respondent No. 1 in her

suit. Therefore, learned Counsel appearing for the

petitioner would submit that this Civil Revision

Application deserves to be allowed.

5. On the other hand, learned Counsel appearing

for the respondent No. 1, has invited my attention to

the pleadings in the plaint and reasons recorded by

the Trial Court in its impugned Judgment and order and

submitted that jurisdiction of the Civil Court is not

expressly barred by the said Order of 1975. There is

no any specific provision in the said Order of 1975,

which bars jurisdiction of the Civil Court. The

learned Counsel submitted that the order passed by the

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Minister, Food Civil Supplies, in revision is without

hearing the respondent No. 1. Since, 1984 the

respondent No. 1 was carrying business of fair price

shop. In the year 2003, the fair price shop was

transferred in the name of respondent No. 1. The

order passed in the revision is behind back of the

respondent No. 1, and therefore, the order which is

passed without hearing to the respondent No. 1, can be

very well challenged by way of filing Civil Suit and

jurisdiction of the Civil Court is not barred in that

case. The learned Counsel further submitted that, on

2nd August, 2005 the fair price shop was allotted to

the respondent No. 1. The learned Counsel submitted

that nothing has been stated in the said Order of

1975, which bars jurisdiction of the Civil Court. The

learned Counsel further invited my attention to the

pleadings in the plaint, annexures thereto and

original record and submitted that the impugned order

passed by the Civil Court is perfectly sustainable and

no interference is warranted in the revisional

jurisdiction by this Court.

6. The learned Counsel further submitted that

the husband was carrying and conducting the business

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of the fair price shop No. 73, who had got licence

Parwana No. 06955 dated 17-08-1984, the said was

renewed time to time. That, while conducting and

carrying business of fair price shop NO. 73, he has

expired on 16-08-2003. The District Supply Officer,

Aurangabad has ordered to Food Distribution Officer,

Aurangabad for making enquiry and to issue Licence.

Thus, enquiry was carried, statements were recorded.

Thereafter, onig 02-08-2005, a authority letter cum

order has issued in favour of respondent No. 1 to

conduct and carry business of fair price shop NO. 73.

This Hon’ble Court pleased to direct the petitioner to

produce a copy of revision petition which was filed

before learned Minister of Food Civil Supplies

Department, Mantralaya, Mumbai. But the petitioner

failed to comply of direction of this Hon’ble Court.

The petitioner has made a capital that the learned

Minister has issued order on 18-08-2004 in regards to

fair price shops Nos. 73,77 & 78. But the said order

has been challenged by the shop owner of fair price

shop No. 77 by filing a R.C.S. No. 238/2002. By that

order petitioner has been restrained to take shops by

Ld. Civil Judge Senior Division, Aurangabad vide its

order dated 04-02-2005. The said order is on record.

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The learned Minister has passed order behind back of

this respondent NO. 1 Leelabai Palaskar, which is bad

in law. The said is not binding on her.

7. The learned Counsel in support of his

contention placed reliance on the reported judgment,

in a case of “Rajasthan S.R.T.C. & others V/s. Mohar

Singh, reported in 2008 AIR SCW 3567” and submitted

that order of
ig Civil Court declaring dismissal of

service of bus driver of State Transport Corporation

as being passed in violation of principles of natural

justice cannot be said to be without jurisdiction. In

the event, it is found that the action on the part of

a statute or statutory rules, the Civil Court would

have the jurisdiction to give directions. The learned

Counsel further placed reliance on the following

reported Judgments of the Supreme Court / this

Court :-

1] B. Nagabhushanam V/s. State of Karnataka,

reported in 2008, AIR, SCW 3573.

2] Laxminarayan Ramdayal Gutani Vs. State of
Maharashtra, reported in AIR 1983 Bombay 232 more
particularly in para No. 10 of the said Judgment.

3] Rasta Peth Education Society, Pune V/s.

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Pethkar Udhao Bhimashankar, reported in 1994,

Mh.L.J. 725.

4] Madhav Kesu Khuspe V/s. Sundarabai Mugutrao
Phadatare since deceased by heirs Krishna Dagdu
Khuspe and others, reported in 1978, Mh.L.J. 289.

The learned Counsel submitted that it

cannot be countenanced that for all purposes the

jurisdiction of the Civil Court is taken away. The

power of the Civil Court to examine cases where the

provisions of the Act have not been complied with or

the Statutory Tribunal has not acted in conformity

with the principles of judicial procedure or natural

justice remains unaffected. The learned Counsel

further placed reliance on reported Judgment of this

Court, in a case of “Baburao Anant Dhage & others V/s.

Jagannath Gopala Karale, reported in 1999(3), ALL MR

414″ and submitted that whenever the challenge to the

proceedings or the document is based on fraud, the

fraud being a complicated question affecting the civil

rights of the parties, it is a matter to be dealt with

by the Civil Courts. Therefore, learned counsel

relying on various Judgments of the Supreme Court and

this Court would submit that the impugned Judgment and

Order passed by the Trial Court needs no interference

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at the hands of this Court. The learned Counsel

further submitted that even clause 24 of of the said

Order of 1975 contemplates hearing to the affected

party. However, admittedly respondent No. 1 was not

heard before passing orders, granting shop or kerosene

licence in favour of the petitioner society,

therefore, learned Counsel would submit that this

Civil Revision Application deserves to be dismissed.




    8.           The
                        
                          learned           A.G.P.      appearing           for        the
                       

respondents /State submitted that the said Order of

1975, provides remedy to the aggrieved person, if the

licence is granted or refused by virtue of provisions

of said Order of 1975 and therefore, the Civil Court

has no powers to entertain the suit.

9. I have heard learned Counsel appearing for

the petitioner, learned Counsel appearing for the

respondent No. 1 and learned A.G.P. for

respondents /State at great length. I have carefully

perused the pleadings in the revision, annexures

thereto, impugned Judgment and order passed by the

Court below, and also original record made available

for perusal. At the outset it would be relevant to

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refer Section 3 of the Essential Commodities Act, 1955

which reads thus :-

             "    Powers          to             control            production,
             supply,distribution                 etc.         of         essential
             commodities -
                  (1)     If    the        Central      Government             is    of




                                                  

opinion that it is necessary or expedient so
to do for maintaining or increasing supplies
of any essential commodity or for securing

their equitable distribution and
availability at fair price, [or for securing

any essential commodity for the defence of
India or the efficient conduct of military

operations], it may, by order, provide for
regulating or prohibiting the
production,supply and distribution thereof

and trade and commerce therein.

(2) Without prejudice to the generality

of the powers conferred by sub-section (1),
an order made thereunder may provide,-

                          (a)    for        regulating             by    licence,





                          permits             or         otherwise                  the
                          production          or      manufacture          of       any
                          essential commodity;
                          (b)    for brining under cultivation





                          any waste or arable land, whether
                          appurtenant            to     building          or    not,
                          for the growing thereon of food-
                          crops       generally          or     of      specified
                          food-crops,             and        for        otherwise,
                          maintaining              or     increasing                the
                          cultivation                   of              food-crops




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           generally,         or        of       specified          food-




                                                                  
           crops;
           (c)    for controlling the price at




                                       
           which    essential                commodity             may   be
           brought or sold;
           (d)    for        regulating                by      licence,




                                      
           permits or otherwise the storage,

transport, distribution, disposal,
acquisition, use or consumption
of, any essential commodity;

           (e)    for                  prohibiting                       the
        ig withholding
           essential commodity ;
                                   from           sale         of        any


           [(f) for          requiring                 any      0person
      
           holding       in       stock,          or     engaged          in
           the production, or in the business
           of     buying          or        selling,           of        any
      


           essential commodity,-
   



           (a)    to     sell            the           whole        or    a
           specified          part           of        the     quantity
           held     in       stock           or        produced           or





           received by him, or
           (b)    in     the           case        of        any     such
           commodity         which           is    likely           to    be
           produced          or    received              by        him    to





           sell the whole or a specified part
           of such commodity when produced or
           received       by       him,          to     the     Central
           Government         or        a    State           Government
           or to an officer or agent of such
           Government             or        to     a     Corporation
           owned        or        controlled                  by     such




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                               Government or to such other person




                                                                                
                               or class of persons and in such
                               circumstances as may be specified




                                                        
                               in the order."


                 The      Maharashtra              Scheduled             Commodities




                                                       

(Regulation of Distribution) Order, 1975 issued by the

Food and Civil Supplies Department, Sachivalaya

Annexe, Bombay. The opening portion of the said order

reads thus :-

” No.ECA-2875/2598/II- in exercise of the
powers conferred by sub section (1), read
with clauses (c), (d), (e), (f), (i), (ii)
of sub section (2) of Section 3 of the

Essential Commodities Act, 1955 (x of 1955),

and of all other powers enabling the
Government of Maharashtra in this behalf,
read with the order of the Government of

India, Ministry of Agriculture (Department
of Food), No. GSR, 316(E), dated the 20th
June 1972 and the orders of the Government
of India, Ministry of Industry and Civil

Supplies (Department of Civil Supplies and
Co-operation) No. S.O. 681 (E) and S.O.
682(E), dated the 30th November, 1974 and
with the prior concurrence of the Central
Government, the Government of Maharashtra
hereby makes the following order, namely :-

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1. Short title, extent and commencement –

(1) This order may be called the Maharashtra
Scheduled Commodities (Regulation of

Distribution) Order, 1975.

(2) It extends to the whole of the State of

Maharashtra excluding the Rationing Area.

(3) It shall come into force on the 1st day
of October 1975.”

Bare perusal of the afore mentioned extract

from the order would demonstrate that the said order

is passed in exercise of the powers conferred by sub

section (1) read with clauses (c), (d), (e), (f),

(h), (i) (ii) and (j) of sub section (2) of Section 3

of the Essential Commodities Act, 1955 (X of 1955).

U/clause 2 of the said order, definitions of

“authorised agent” “authorised establishment”,

“Collector”,”Commissioner”,”dealer”,”establishment”,”e

stablishment consumption”,”fair price shop”,”household

consumption”,”levy sugar”,”rationing area”,”supply

slip”,”supply card”, “supply document” and “scheduled”

are given. Perusal of clause 2 makes it clear that the

authorities Collector, and State Government is

empowered under the said order of 1975 to issue

licence, and issue card etc., and further to keep

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control over the licence and shops allotted under this

Order of 1975.

In clause No. 2 (f) the fair price price

shop is defined. The fair price shop means person in-

charge of the shop authorised under the provisions of

clause, and includes a person in-charge of a shop

where scheduled commodities are sold and is under the

control of Government. Therefore, it is clear that the

licenses are granted to run the fair price shop under

the provisions of said Order of 1975.

Clause 3 of the said order of 1975 reads

thus :-

“”issue of authorisation to fair price shops

and agents to obtain and supply scheduled

commodities”.–

(1) With a view to controlling the

distribution of scheduled commodities, the

State Government or the Collector may issue

an authorisation to any person for being a

fair price shop or for being an agent of any

fair price shop, to obtain and supply

scheduled commodities in accordance with the

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provisions prescribed by under this Order.

(2) Every fair price shop shall deposit

with the Government or the Collector, a sum

not exceeding Rs. 5,000/- as may be

specified by it in this behalf, for the due

performance of the conditions of the

authorisation and the sum so deposited or

any part thereof, may without prejudice to

any other penalty, after enquiry and for

reasons to be recorded in writing, be

forfeited by the State Government or the

Collector for contravention of any such

conditions. If, as a result any departmental

action, the sum deposited or any part

thereof forfeited, the fair price shop shall

forthwith pay to Government such amount as

may be required to make up the prescribed

sum to be deposited as Security.

(3) On the commencement of this Order in

any area, in the case of an authorised fair

price shop who is deemed to be a fair price

shop under the Explanation to sub clause (f)

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of clause (2), any sum which stands

deposited by him as security immediately

before such commencement shall be deemed to

be deposited with the State Government as

full or part security for the purposes of

this clause.

(4) The State Government or the Collector

may, at any time whether at the request of

the fair price shop or authorised agent or

suo-motu, after making such enquiry as may

be deemed necessary and for reasons to be

recorded in writing, add to, amend, vary,

suspend or cancel the authorisation issued

or deemed to be issued to him under this

clause.”

On careful perusal of of clause 3 of the

said Order of 1975, it is abundantly clear that the

State Government or the Collector is empowered to

issue authorisation to any person being an agent of

any fair price shop to obtain and supply scheduled

commodities in accordance with the provisions

prescribed by or under this order. Perusal of the

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clause 3 would make it clear that only “the State

Government or the Collector is the competent authority

to issue an authroisation to any person for being a

fair price shop or for being an agent of any fair

price shop, to obtain and supply scheduled commodities

in accordance with the provisions prescribed by or

under this order.”(emphasis supplied)

In the context of controversy raised in

the present matter, the clause 24 is important. The

clause 24 of the said order of 1975 reads thus :-

” Power to call for an examine records of

proceedings and revise orders.– If any

person is aggrieved by an order passed by
the Collector, the Commissioner, and if any
person is aggrieved by an order passed by

the Commissioner, the State Government, may,
on an application made to him or it by the
aggrieved person, within thirty days from
the date of receipt of such order, stay the

enforcement of such order. The Commissioner
or the State Government, as the case may be,
may also call for and examine the record of
any enquiry or proceedings of the concerned
Officer exercising or failing to exercise
the powers under this Order to add, to
amend, vary, suspend or cancel any

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26

authorisation issued or deemed to be issued

under clause 3 or any supply card issued or
deemed to be issued under clause 6 or to

forfeit the deposit for any part deemed
thereof paid or deemed to be paid by a fair
price shop authorised agent as security to

take any other action under the provisions
prescribed by or under this Order, for the
purpose of satisfying himself or itself as
to the legality or propriety of the order

passed by such officer, and as to the

regularity of the proceedings
officer may pass such order thereon as he or
of such

it, as the case may be, thinks fit:

Provided that State Government may at
any time, during the pendency of any enquiry
or proceedings or within one year from the

date of any order passed by any officer

under the provisions prescribed by or under
this Order, suomotu stay any pending enquiry
or proceedings or the enforcement of such

order if considered necessary and may call
for and examine the record of any enquiry or
proceedings, and pass such order thereon as
it thinks fit:

Provided further that, the Commissioner
or the State Government, as the case may be,
shall not pass any order under this clause
which adversely affects any person unless
such person has been given a reasonable
opportunity of being heard.”

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10. The clause 24 of the said order of 1975

provides the remedy to the aggrieved person, by an

order passed by the Collector, or the Commissioner.

The State Government is also empowered to entertain

the revision by the aggrieved person. The State

Government can also during the pendency of any enquiry

or proceedings or within one year from the date of any

order passed

by any officer under the provisions

prescribed by or under this Order, suo-motu stay any

pending enquiry or proceedings or the enforcement of

such order if considered necessary and may call for

and examine the record of any such enquiry or

proceedings, and pass such order thereon as it thinks

fit. The clause 24 of the said Order of 1975 further

provides that the Commissioner or the State Government

as the case may be, shall not pass any order under

this clause which adversely affects any person unless

such person has been given a reasonable opportunity of

being heard.

11. In the aforesaid provisions of the Order of

1975, it is relevant to mention that the fair price

shop No. 73 was allotted to the petitioner on 18th

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28

August, 2004. The Minister, Food and Civil Supplies

Department, Mantralaya, Mumbai allowed the revision

filed by the petitioner and alloted the shops No.

73,77 & 78 to the petitioner society. It is admitted

position that by virtue of said order, even the shop

No. 73 for which respondent No. 1 has claimed the

reliefs in the suit, came to be allotted to the

petitioner society. At this juncture, it is relevant

to refer the pleadings in the suit, which would make

it clear that aggrieved by the order of allotment of

shop No. 73 in favour of present petitioner, the

respondent No. 1 herein i.e. plaintiff in suit did

file Writ Petition No. 6194 of 2004 before this Court.

In respect of Writ Petition bearing No. 6194 of 2004,

the respondent No. 1 has made following statement in

the plaint in para No. 6, which reads thus :-

” But the defendant No. 5 has tried
continuously to get the possession of fair
price shop No. 73 by hook or crook, who

sought orders from the Minister (Food and
Civil Supply) on 18/08/2004 into back and
behind of the plaintiff has filed a Writ
Petition NO. 6196 of 2004 through her
Advocate High Court Shri A.D. Sugdare
against the respondent No. 5 and others with
a prayer to issue a writ of mandamus or any

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29

other writ in like nature or order or

directions by the Honourable High Court to
grant permission to run the fair price shop

No. 73 usual terms and conditions. But there
was a caveat application No. 397 of 2004 of
the respondent No. 5. In the said caveat

application defendant No. 5 has contended
that “Non caveators are likely to be
challenging the impugned order dated 18th
August, 2004 which is passed by the

Honourable Minister for Food an Civil Supply

Department Mantralaya, Mumbai-32 in respect
of fair price shop Nos. 73,77 & 78 in case
No. VAM/1604/1168/PK/037/C.S.21. A copy of

the said caveat is annexed herewith and
marked as ANNEXTURE K. However, the
plaintiff has already made her statement in

the said Writ petition that the defendant

NO. 5 has filed a proceeding before the
learned Minister Mantralaya, Mumbai and
sought order on 18/08/2004, the plaintiff

was not the party in the said matter nor
issued a notice to the plaintiff by the
learned Minister for Food and Civil Supply
Department. Therefore, said order is not

binding upon the plaintiff. According to the
ratio laid down by the Honourable High
Courts and Honourable Supreme Court of India
that the orders passed in the proceeding are
not binding on a person in view of the
natural justice, because of the plaintiff is
not party in the matter before the learned

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30

Minister for Food and Civil Supply

Department, Mantralaya, Mumbai. Therefore,
the said order of the learned Minister for

Food and Civil Supply Department, Mantralaya
Mumbai is not binding on plaintiff. The
prayer of plaintiff made in Writ Petition

No. 6196 of 2004 for issuing direction to
allot fair price shop NO. 73 to her as a
succor and legal heir of deceased her
husband Sukhdeo Amrutrao Palaskar. The facts

of seeking order from the learned Minister,

Food and Civil Supply, Mantralaya, Mumbai by
the defendant NO. 5 into back and behind of
the plaintiff cannot be challenged into the

Writ Petition. The plaintiff sought the
permission to run the fair price shop NO. 73
from the defendant Nos. 1 & 2 vide order

dated 2/08/2005. Therefore, the Writ

Petition has become in fructuous. The
plaintiff. The plaintiff has filed a Civil
Application to withdraw the said writ

petition through a Civil Application No.
of 2005.”

The order allotting the fair price shop No.

73, by the Minister, Food Civil Supplies Department in

favour of petitioner herein was subject matter of the

said Writ Petition. On perusal of entire pleadings

extracted here-in-above, it is appears that the

respondent No. 1 who was petitioner in the said Writ

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31

Petition, did not sought liberty to file any other

proceedings, before any other authority or competent

Court. It appears that said Writ Petition was

withdrawn simplictor. At the relevant time when Writ

Petition was filed, the respondent No. 1 i.e.

petitioner understood correctly that the aggrieved

person by refusal of fair price shop has remedy as

provided under the provisions of said Order of 1975,

and in case the
ig State Government has taken final

decision, filing of Writ petition is appropriate

remedy. An order passed by the Minister, Food Civil

Supplies Department, allowing revision of the

petitioner granting fair price shop No. 73, in favour

of the petitioner society has attended finality. The

respondent No.1 herein should have sought liberty from

the High Court for filing any proceedings subsequent

to withdrawing the Writ Petition.

12. The another important aspect is that whether

the respondent No. 1 had any legal right available in

in his/her favour, when the revision of the petitioner

was heard by the Minister, Food Civil Supplies

Department and same came to be allowed by granting

fair price shop No. 73 by order dated 18th August,

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32

2004. At the relevant time the respondent No. 1 had no

any licence in her name. Even prior to that, licence

was not in the name of respondent No.1 First time on

2nd August, 2005, the Distribution Officer, without any

authority under law, without any powers, and without

taking permission or approval of the higher

authorities, issued a letter in favour of respondent

No. 1, directing to run the fair price shop No.73, of

which the licence
ig was in the name of petitioner

society. It is also pertinent to note that on 18th

August, 2005 the Additional Collector, Aurangabad

issued a letter to the Distribution Officer,

Aurangabad that he had no power to issue letter dated

2nd August, 2005 in favour of the respondent No. 1 i.e.

original plaintiff. Thus, understood the Distribution

Officer is not empowered or have any authority in law

to issue such letter dated 2nd August, 2005 in favour

of the respondent No. 1 for running the fair price

shop No. 73. As stated earlier, only the State

Government or Collector, is competent to issue licence

to run the fair price shop, no any other subordinate

officer is empowered to issue the licence or grant the

permission to run the fair price shop, unless

specifically empowered by State Government. The

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revision filed by the petitioner for grant of licence

of shop Nos. 73,77 & 78 was heard and decided on 18th

August, 2004. In the said revision the officer of

State Government were party/ respondent. The

respondent No. 1 i.e. Ori. Plaintiff was not at all in

picture. Even in the second revision which was filed

by the petitioner society which was heard and same was

reserved for orders on 28th July, 2005, the respondent

No. 1 herein i.e. Ori. Plaintiff was not in picture at

all, and the State Government Officers who have

refused to grant permission in favour of the

petitioner to allot kerosene quota were party to the

said revision. Therefore, when both the revisions were

filed and heard by the State Government, the Minister

of Food and Civil Supplies Department, there was no

question of giving any hearing to the respondent No. 1

i.e. Ori. Plaintiff. The Counsel for the petitioner

Society strenuously urged that there is no legal right

in favour of the respondent No. 1 to run the fair

price shop. The permission given by the competent

authority dated 2nd August, 2005 is not valid. The

Civil Court has no jurisdiction to entertain the suit

filed by the respondent No. 1, her suit required to be

rejected.

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Upon perusal of the prayer in the suit filed

by the respondent No. 1, it is clear that the

respondent No. 1 has not challenged the order dated

18th August, 2004 passed by the Minister, Food and

Civil Supplies Department which has attained finality,

by which fair price shop No. 73 was allotted to the

petitioner society. The Writ petition filed by the

respondent No. 1, challenging the said order came to

be withdrawn.

13. Upon careful perusal of the prayer in the

suit, the Ori. Plaintiff has prayed that the

defendants be restrained from discontinuing the

business carried by the plaintiff of fair price shop

No. 73 without following due procedure under law by

issuing the perpetual injunction and declare the

orders dated 6th September, 2005, 8th September, 2005

and 22nd August, 2005 passed by the respondent Nos. 1

to 4 back and behind without hearing the plaintiff as

null and void. In fact, as stated earlier, the order

passed by the Minister, Food and Civil Supplies

Department, in revision granting the licence to run

the fair price shop No. 73 in favour of the petitioner

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35

has attained finality and said order is not the

subject matter of the suit. As stated here-in-above,

the licence is granted in favour of the petitioner

society to run the shop No. 73. Not only the licence

for food grains, but even Distribution Officer has

granted kerosene quota in favour of the petitioner

society. It is not in dispute that earlier the

petitioner society was running these fair price shop.

Therefore, the licence to run the shop No. 73 been

granted in favour of the petitioner society under

clause 3 of the said Order of 1975. In the said Order

the remedy is provided to the aggrieved person. The

licence is also issued under the said order.

Therefore, the said order of 1975 itself is self

contained Code which provides provision to grant

licence. It further provides remedy to the aggrieved

person. The said Order of 1975 is issued taking

recourse to Section 3 of the Essential Commodities

Act, 1955. Before said order came to be issued,

approval of the Central Government is also taken. The

issuance of licence to run the fair price shop is

completely controlled and regulated by the provisions

enumerated in the said Order of 1975 if any claim /

right is accrued by virtue of licence granted in

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36

favour of the party or refusal of licence remedy is

provided for redressal in the said Order of 1975

itself. In the present case, there was no licence

issued in favour of respondent No. 1. First time, a

letter dated 02nd August, 2005 issued by the

Distribution Officer, and the same was without any

authority under the said Order of 1975. The

petitioners were aggrieved by rejection of their claim

by the Collectorig and Commissioner, and therefore,

revisions came to be filed before the Minister, Food &

Civil Supplies Department, and the Minister, Food &

Civil Supplies Department allowed the revision filed

by the petitioners, and thereby licence came to be

issued in favour of the petitioner society to run the

fair price shop No. 73, 77 & 78. If at all the

respondent No. 1 was aggrieved, she had remedy under

the said Order of 1875 or file a writ petition. The

respondent No. 1 rightly understood and filed Writ

Petition, challenging the order dated 18th August, 2004

and thereafter, withdrawn the said Writ Petition

unconditionally.

14. The provisions of Section 9 of the Civil

Procedure Code, not only contemplates the express bar,

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but even implied bar to entertain the suit. At this

juncture it would be appropriate to refer to provision

under Section 6 of the Essential Commodities Act,

1955, the said Section reads thus :-

” Any order made under section 3 shall

have effect notwithstanding anything
inconsistent therewith contained in any
enactment other than this Act or any

instrument having effect by virtue of any
enactment other than this Act”

Thus, Section 6 of the Essential Commodities

Act, 1955 has given overriding effect to the order

made under Section 3 of the Essential Commodities Act,

1955, and therefore, the said order of 1975 is having

overriding effect. Therefore, procedure provided under

the said order has to be followed by the aggrieved

person. The Apex Court in the case of ” Harishankar

Bagla and another V/s. The State of M.P.”,cited supra,

has considered the provisions of Section 3 and Section

6 of the Essential Supplies (Temporary Powers) Act. In

para No. 9 it is stated thus :

” The Legislature cannot delegate its
function of laying down legislative policy in
respect of a measure and in formulation as
rule of conduct.”

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In para No. 12 the Apex Court has considered

the provisions of the said Act and held thus :-

” Section 6 of the Act cited above
declares that an order made under Section 3
shall have effect notwithstanding anything
inconsistent therewith contained in any

enactment other than this Act. In other words
it declares that if there is any repugnancy
in an order made under Section 3 with the

provisions of any other enactment, then
notwithstanding
ig that inconsistency the
provisions of the Order will prevail in
preference to the provisions of other laws

which are thus inconsistent with the
provisions of the order”

In the said Judgment the Hon’ble Supreme

Court held that provisions of Section 3,4 & 6 of the

Essential Supplies (Temporary Powers) Act, 1946 are

constitutional and the impugned order is also

constitutional. The Supreme Court has considered the

provisions of old Act. Even in the new Act i.e.

Essential Commodities Act, 1955, the similar

provisions are made in Section No. 3 and 6 of the said

Act. Therefore, redressal of any grievance by refusal

of licence or granting of licence in favour of other

party or for any other reason, the remedy is under the

said order of 1975. In case if the person is aggrieved

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by final decision under said order, only way is to

file Writ Petition, as understood by the respondent

No. 1, when she filed Writ Petition, challenging the

order dated 18th August, 2004, allowing the revision of

the petitioner granting licence to run the fair price

shop Nos. 73, 77 & 78. The said Writ Petition was

withdrawn by the respondent No. 1.

15. In my opinion, viewed from any angle and by

necessary implications impliedly the jurisdiction of

the Civil Court is barred. Section 9 of the Civil

Procedure Code contemplates not only express bar but

even implied bar to exercise the jurisdiction.

Therefore, there is no substance in the contention of

the learned Counsel appearing for the respondent No.

1 that there is no provision in the said order of 1975

or in the Essential Commodities Act, 1955 which bars

the jurisdiction of the Civil Court. The person

claiming legal right must first establish that he has

legal right in his /her favour. The respondent NO. 1

had no licence in her favour prior to granting licence

in favour of petitioner society.

16. In the light of aforesaid discussion, in the

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40

facts and circumstances of the case, this Civil

Revision Application succeeds. The impugned Judgment

and order dated 22nd December, 2005 below Exh. 30 in

Regular Civil Suit No. 653 of 2005 is quashed and set

aside. However, it is clarified that, respondent No.

1 is at liberty to take appropriate remedy as

available to her in accordance with law. Needless to

mention that if the respondent No. 1 files any

proceedings asig available under law, the Concerned

forum/Court will take into consideration the time

consumed in prosecuting the legal remedies and take

liberal view in interpreting the provisions of

Limitation Act. The Civil Revision Application is

allowed to the above extent. Rule made absolute in

above terms. The Civil Revision Application is allowed

and disposed of.

[S.S. SHINDE, J]

SDM*159.02 CRA

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