High Court Kerala High Court

N.Sadananda Pai & Company vs The State Of Kerala on 21 August, 2008

Kerala High Court
N.Sadananda Pai & Company vs The State Of Kerala on 21 August, 2008
       

  

  

 
 
  IN THE HIGH COURT OF KERALA AT ERNAKULAM

WP(C).No. 24390 of 2008(C)


1. N.SADANANDA PAI & COMPANY,
                      ...  Petitioner

                        Vs



1. THE STATE OF KERALA, REP. BY ITS
                       ...       Respondent

2. THE COMMISSIONER OF CIVIL SUPPLIES,

3. THE DIRECTOR OF CIVIL SUPPLIES, OFFICE

4. THE DISTRICT COLLECTOR, KANNUR.

5. TALUK SUPPLY OFFICER, TALUK SUPPLY

                For Petitioner  :SMT.R.RANJINI

                For Respondent  : No Appearance

The Hon'ble MR. Justice S.SIRI JAGAN

 Dated :21/08/2008

 O R D E R
                         S. SIRI JAGAN, J.
                 ------------------------------------
                   W.P.(C)No.24390 OF 2008
               ----------------------------------------
               Dated this the 21st day of August, 2008

                            JUDGMENT

The petitioner challenges Ext.P5 order, whereby the

petitioner has been directed to pay the amounts recovered by the

petitioner from the customers towards the differential cost of

kerosene, as a licenced dealer of the Civil Supplies Department of

the Government of Kerala. The petitioner’s contention is that in

view of Ext.P15 judgment, the Government has no power to

realise the differential cost of kerosene as there is no principal-

agent relationship between the Government and the petitioner.

2. In view of the two Division Bench decisions in All

Kerala Retail Ration Dealers Association V. Union of India

[2001(2) KLT 1] and State of Kerala and others V.

Mathunni Mathew & Sons [ILR 2007(2) Kerala 475], that

issue is no more res integra and therefore the petitioner cannot

now contend that the petitioner is not an agent of the

Government. As such, if the petitioner has realised any

differential cost for kerosene from the customers, the petitioner

W.P.(c)No.24390/08 2

cannot contend that the petitioner will not refund the same to

the Government on the ground that the petitioner is not an

agent of the Government. However, the petitioner has got a

case that the petitioner has not realised any differential cost at

all and further that the quantification in Ext.P5 was without

notice to the petitioner or a hearing.

3. The learned Government Pleader points out that as

is clear from Ext.P5 itself, the petitioner has been served with

a notice dated 30.4.2008. The petitioner would contend that

the petitioner has not received that notice at all.

4. I am of opinion that without going into that

controversy, the matter can be disposed of by directing

another opportunity of being heard to the petitioner.

Accordingly, while upholding the right of the Government to

realise the differential cost recovered by the petitioner from

the customers, I dispose of this writ petition with the following

directions:

Ext.P5 shall be treated as a show cause notice. The

petitioner shall file objections to the same within a period of

one week. The petitioner shall appear before the 5th

respondent on 2nd September 2008 on which date or on a

W.P.(c)No.24390/08 3

subsequent date fixed for the purpose, the 5th respondent shall

hear the petitioner and pass appropriate orders in the matter.

While disposing of the same, the petitioner’s grievance in Exts.

P12 to P14 shall also be considered and orders passed. Till

orders are so passed, the recovery proceeding shall be kept in

abeyance.

S. SIRI JAGAN, JUDGE

Acd

W.P.(c)No.24390/08 4