Delhi High Court High Court

Mohd. Shakir vs Lt. Governor And Ors. on 6 August, 2002

Delhi High Court
Mohd. Shakir vs Lt. Governor And Ors. on 6 August, 2002
Equivalent citations: AIR 2003 Delhi 42
Author: S K Kaul
Bench: S K Kaul


JUDGMENT

Sanjay Kishan Kaul, J.

1. The petition has been filed seeking a writ of
mandamus against the decision of the respondents in
revoking the license of the petitioner in terms of the
order dated 12.7.2002. The license was granted to the petitioner on 6.11.2001 under Section 415 of the Delhi Municipal Corporation Act, 1957(hereinafter referred to as the said Act ) .

2. Initially a decision was taken to revoke the
license on 11.3.2002 and the same was challenged by the
petitioner by filing writ petition No. 1986/2002. The
decision of the respondent was held not be in
accordance with law since no opportunity of hearing had
been granted to the petitioners.

3. As per the terms and conditions of the license
the petitioner made an application for renewal of the
license. The relevant clause is clause 10 of the terms
and conditions which is as under:-

“10. The licensee is informed that if he wants to renew the license, he will have to deposit license fee within one month from the close of current licensing period. If he fails to deposit the license fee with in one month he will have to pay license fee along with composition fee which will be determined by the Corporation from time to time. With regard to levy of composition fee, no .other information will be given.”

4. On 7.6.2002 a notice was issued to the
petitioner that nuisance and health hazard was being
created prejudicial to the public health in violation of the terms and conditions of the license under Sections 415 and 397 of the said Act. It was stated in the said show cause notice that carcasses were hanging outside the shop being polluted with dust and flies; meat shop was also situated less than 100 meters from the religions place; shop was running under insanitary and unhygienic conditions; wire gauge fitted door and windows/glass doors were found open at the time of sale of meat; wash basin was not found and exhaust fans were also not found. The petitioner replied to the show cause notice denying the allegations in so far as other the aspects are concerned and stating that there was no restriction in running the shop within 100 meters of the place of worship.

5. After consideration of the show cause notice a
revocation order was passed on 12.7.2002 stating that
the license for running the business of buffalo meat
shop was given on the basis of the NOC issued by the Delhi Police and that during enquiries conducted by the Vigilance Department of the respondent corporation it was found that the shop was running at less than 100 meters of religious place/place of worship and the reply not being found satisfactory to the show cause notice., it wsa directed the petitioner should close the business with immediate effect.


 

6. Learned  counsel  for  the  petitioner  contends  that
   in    terms  of  the  parameters  of  Section  430 of  the     said
Act     a     reasonable     opportunity  must  be     given     to     the
petitioner     before     making  any  order  or     suspension     or
revocation.       Learned     counsel  for  the     petitioner     has
also    referred  to  the  terms  and  conditions  of     licenses
under     Section     417     read  with  Section  430  of     the     Act

issued by the Additional Deputy Commissioner (Licencing)
on 31.2.1998 where clause 10 provides that in case no
action is taken on the renewal application by the
competent authority within 3 months from the date of
receipt of the application, the license shall be deemed
to be renewed.

7. Learned     counsel   for  the  petitioner   has  referred
to   the     judgment     of     the    Supreme     Court     in     Raj
Restaurant and   Anr.  v.  MCD     to contend that where a license is required obviously refusal to give license or cancellation or revocation of license would be visited with both civil and pecuniary consequences and as the business cannot be carried on without the license it would also affect the
livelihood     of  the  person.     In  such  a  situation     before
either     refusing  to  renew  the  license  or  cancelling   or
revoking    the     same    the  minimum  principle    of     natural
justice    of     notice  and  opportunity  to  represent     one's
case     is     a  must     Learned  counsel  for     the     petitioner
also     relies  upon  the  judgment  of  the  Supreme  Court     in
 State    of  U.P. and Ors. v. Daulat Ram Gupta 2002 AD (SC)
476    where  it  was  held  that  there  are  two     restrictions
on    the    power  of  the  State  Government  or     a    licencing
authority  while  issuing  a  general   or   special   direction:
firstly  such  directions  should  not  be  inconsistent  with
statutory     order     and     secondly  such  direction     can     be
issued  only  for  purposes  of  giving  effect  to  provisions
of  the  statutory  order.
 

8. Learned counsel for the petitioner contends that
the termination of license of the petitioner cannot be
given effect to since there is no statutory order which
debars the petitioner from carrying on such business.

 

9. I have considered the submissions advanced by
learned counsel for the petitioner.

 

10. There can be no doubt on the proposition that a reasonable opportunity of being heard must be given to a license holder before a decision is taken for revocation/cancellation of the license. The rule of audi altrem partem must be followed and that is the ratio of the judgment of the Supreme Court in M/s. Raj Restaurant’s case(supra). In fact it is on this very principle that CW No. 1986/2002 was allowed on 22.3.2002 in the case of the petitioner.

11. However, the facts on record now show that in
fact a show cause notice was issued to the petitioner
on 7.6.2002 to which the petitioner replied on
14.6.2002. The impugned order dated 12.7.2002 was
passed after the show cause notice dated 7.6.2002 as
also the letter dated 28.6.2002 for personal appearance
of the petitioner in the office of the licencing
authority. Thus the petitioner has been given a
reasonable opportunity of being heard.

12. In so far as the claim of the petitioner in
respect of the license is concerned, the license was
initially for a specified period of one year which was
capable of being renewed on an application being made
in advance. The petitioner made such application in
advance but a decision had been taken to revoke the
license. Thus there cannot be any question of
extension of license as a decision has been taken to
revoke the license and thus application of the
petitioner for renewal stands rejected. There cannot
be, in my considered view, an inherent right to get the
license renewed.

13. The reason given by the respondent for
revocation of the license is on account of the fact
that the shop is within the proximity of a religious
place of worship. This is in pursuance to a decision
taken by the Tehbazari Committee on 13.1.83 resulting
in a circular dated 29.1.83.

14. It is not necessary to go into the aspect
whether such minutes or decision have or do not have

statutory force, since certainly a policy decision has been taken. Since such policy decision is taken that licenses will not be given within a distance of 100 metres of the place of worship and the license period is expiring it is not mandated on the respondent corporation to renew the license contrary to such policy decision. The mere allegation that in certain other areas license has not been terminated can be of no avail to the petitioners in view of the policy decision.

15. In my considered view it is not appropriate to
issue any direction under Article 226 of the
Constitution of India mandating the respondent to renew
a license contrary to a policy decision taken in this
behalf.

16. In     view     of     the  aforesaid  position   I     find     no
merit     in     the  writ  petition  and  the  same   is     dismissed
leaving     the  parties  to  bear  their   own  costs.     Needless
to  say  that  the  respondents  should  implement  the  policy
decision  uniformly  in  other   areas. 
 

 
 CM  8056/2002

 

17.          Dismissed.