{"id":42633,"date":"2001-04-10T00:00:00","date_gmt":"2001-04-09T18:30:00","guid":{"rendered":"https:\/\/www.legalindia.com\/judgments\/ms-cooperative-co-ltd-vs-state-of-u-p-anr-on-10-april-2001"},"modified":"2018-06-21T15:31:49","modified_gmt":"2018-06-21T10:01:49","slug":"ms-cooperative-co-ltd-vs-state-of-u-p-anr-on-10-april-2001","status":"publish","type":"post","link":"https:\/\/www.legalindia.com\/judgments\/ms-cooperative-co-ltd-vs-state-of-u-p-anr-on-10-april-2001","title":{"rendered":"M\/S. Cooperative Co. Ltd vs State Of U.P. &amp; Anr on 10 April, 2001"},"content":{"rendered":"<div class=\"docsource_main\">Supreme Court of India<\/div>\n<div class=\"doc_title\">M\/S. Cooperative Co. Ltd vs State Of U.P. &amp; Anr on 10 April, 2001<\/div>\n<div class=\"doc_author\">Author: S Hegde<\/div>\n<div class=\"doc_bench\">Bench: Cji, N. Santosh Hegde<\/div>\n<pre>           CASE NO.:\nAppeal (civil) 1847  of  1994\n\n\n\nPETITIONER:\nM\/S. COOPERATIVE CO. LTD.\n\n\tVs.\n\nRESPONDENT:\nSTATE OF U.P. &amp; ANR.\n\nDATE OF JUDGMENT:\t10\/04\/2001\n\nBENCH:\nCJI &amp; N. Santosh Hegde\n\n\n\n\nJUDGMENT:\n<\/pre>\n<p>SANTOSH HEGDE, J.\n<\/p>\n<p>L&#8230;I&#8230;T&#8230;&#8230;.T&#8230;&#8230;.T&#8230;&#8230;.T&#8230;&#8230;.T&#8230;&#8230;.T&#8230;&#8230;.T..J<\/p>\n<p>    The\t appellant  herein, which is a limited company,\t was<br \/>\nrunning\t a  distillery with a bottling plant  at  Nawabganj,<br \/>\nSaharanpur, since 1910.\t On 14.7.1980 it made an application<br \/>\nto  the Commissioner of Excise, State of U.P., stating\tthat<br \/>\nits  distillery\t has  been  operating  annual  licences\t for<br \/>\nwholesale  supply of country-liquor to Delhi  Administration<br \/>\nfor  many years continuously.  Therefore, it stated that  it<br \/>\nwanted\tto  establish  a   bottling  warehouse\tin  district<br \/>\nGhaziabad   to\t meet\t its\trequirement   of   supplying<br \/>\ncountry-liquor\tto Delhi conveniently and economically.\t  It<br \/>\npleaded\t that  due  to\tclose proximity to Delhi  if  it  is<br \/>\npermitted to start a bottling unit somewhere in the district<br \/>\nof  Ghaziabad, it will have obvious advantages since bulk of<br \/>\nits  production\t of country-liquor was being sold in  Delhi.<br \/>\nIt  also  stated in the said application that it would\thelp<br \/>\nthe  company  to  bid  competitively  in  the  auctions\t and<br \/>\nconsequently, the State would also stand to benefit from the<br \/>\nexcise\trevenue.  In the said letter, it is stated in  clear<br \/>\nterms  that  the  State Government would not stand  to\tlose<br \/>\nanything  by  permitting the compnay to start  the  bottling<br \/>\nwarehouse in district Ghaziabad because it would continue to<br \/>\nbottle\tboth  at Saharanpur as well as at Ghaziabad,  hence,<br \/>\nthe  State excise duty from Saharanpur would not suffer.  It<br \/>\nwas  also made specific in the said application that it\t was<br \/>\nseeking\t a  licence for an additional bottling warehouse  at<br \/>\nGhaziabad.\n<\/p>\n<p>    Pursuant  to  the  said application, the  appellant\t was<br \/>\ninformed on 29.7.1980 that it is permitted to bottle country<br \/>\nspirit\tunder  bond for exports in a bonded warehouse to  be<br \/>\nlicensed  for  suitable\t premises  to be  indicated  by\t the<br \/>\nappellant  at Ghaziabad along with various other conditions.<br \/>\nThe  said intimation also called upon the appellant to\tmake<br \/>\nnecessary arrangements after executing counterpart agreement<br \/>\nprescribed  under the Excise Rules and that the amended CL-I<br \/>\nlicence\t will  be  issued  by\tthe  Office  of\t the  Excise<br \/>\nCommissioner  as  also F.L.-3 licence will be issued by\t the<br \/>\nCollector, Ghaziabad.\n<\/p>\n<p>    It\tis stated that for a considerable time the appellant<br \/>\nwas  unable to establish the bottling warehouse as permitted<br \/>\nunder  the  letter of the Excise Commissioner,\treferred  to<br \/>\nabove.\t But  it is an admitted fact that such\ta  warehouse<br \/>\nwith  the  permission of the authorities was established  at<br \/>\nSahibabad,  district Ghaziabad, and has been functioning for<br \/>\na  number of years.  In the meantime, it is noticed that the<br \/>\nappellant  faced  certain  difficulties in  running  of\t its<br \/>\ndistillery  and bottling warehouse at Saharanpur because  of<br \/>\nthe  dispute  in  regard  to   the  property  in  which\t its<br \/>\ndistillery  plant was situated at Saharanpur as also because<br \/>\nof  the\t provisions  of the Water (Prevention &amp;\t Control  of<br \/>\nPollution)  Act, 1974.\tTherefore, sometime in the year 1987<br \/>\nthe appellant wrote to the Commissioner of Excise in view of<br \/>\nthe above-cited difficulty that it be permitted to shift its<br \/>\ndistillery  from  Saharanpur to some other  suitable  place.<br \/>\nThe  Government\t as per its letter dated 20.7.1998  informed<br \/>\nthe  appellant that it had no objection to shifting the said<br \/>\ndistillery  from Saharanpur to some other place, other\tthan<br \/>\nSahibabad,  district  Ghaziabad.  Subsequently,\t by  another<br \/>\nletter\tof the Government dated 7.9.1988, the appellant\t was<br \/>\ninformed  that in supersession of its aforesaid letter dated<br \/>\n20.7.1988,  the\t Government  had   decided  to\tapprove\t the<br \/>\ntransfer  of the distillery of the appellant to a place near<br \/>\nthe existing site in Saharanpur and that it had no objection<br \/>\nto  the working of the appellants bottling plant at a place<br \/>\nowned  by the appellant in any other district provided\tthis<br \/>\ndid not result in reduction in the number of workers working<br \/>\nin  the\t district  of Saharanpur.  Consequent to  the  above<br \/>\norder  of  the\tGovernment  dated  7.9.1988,  the  Assistant<br \/>\nCommissioner  of Excise informed the appellant the  sanction<br \/>\nof the Government for shifting of the site of the distillery<br \/>\nof  the\t appellant.   This  was done  by  its  letter  dated<br \/>\n27.9.1988.   In\t the said letter it was made clear that\t the<br \/>\npermission  to shift the distillery at Saharanpur was  given<br \/>\non a condition that the shifting shall be done to some place<br \/>\nnear   Saharanpur  city\t with\tinstallation  of   necessary<br \/>\npollution  control  devices.  Based on this permission,\t the<br \/>\nappellant  contends  that it shifted its distillery and\t the<br \/>\nattached  bottling  plant  from\t  Nawabganj,  Saharanpur  to<br \/>\nYusufpur,  Tapari  Road,  Saharanpur.\tWhen  this  was\t the<br \/>\nposition  the  appellant  received a letter  dated  9.7.1991<br \/>\nwherein,  according to the appellant, for the first time the<br \/>\nappellant  was informed that it was granted a licence to run<br \/>\na bottling warehouse at Sahibabad only till such time as the<br \/>\nappellant shifted its distillery and bottling plant from the<br \/>\nexisting  site\tat  Saharanpur and since that  shifting\t has<br \/>\ntaken place, the Government was not willing to continue with<br \/>\nthe  temporary\tpermission  given to it to do  the  bottling<br \/>\nprocess\t at  Sahibabad,\t district Ghaziabad.   By  the\tsaid<br \/>\nletter,\t the appellant was called upon to show cause why the<br \/>\nsanction  accorded  to\tit to establish\t a  bottling\/filling<br \/>\nplant at Sahibabad be not revoked.\n<\/p>\n<p>    To the aforesaid letter of the Government, the appellant<br \/>\nreplied\t on 7.8.1991 stating that the licence granted to  it<br \/>\nto   run  a  bottling\twarehouse  at  Sahibabad,   district<br \/>\nGhaziabad,  was totally unconnected with its distillery\t and<br \/>\nbottling  plant\t at  Saharanpur and was independent  of\t the<br \/>\nsame.\tThey stated that they sought permission and the same<br \/>\nwas  granted  to  establish a bottling\tplant  at  Sahibabad<br \/>\nbecause\t of its proximity to the State of Delhi and  because<br \/>\nof  the\t contract  it had with the Government  of  Delhi  to<br \/>\nsupply\thuge  quantity\tof  country-liquor  and\t it  had  no<br \/>\nconnection  whatsoever\twith the shifting of the  distillery<br \/>\nand  the  bottling  plant  attached to\tthat  distillery  at<br \/>\nSaharanpur.   The Government, however, did not agree to this<br \/>\nstand of the appellant and by a letter of 6.11.1992 directed<br \/>\nthe  appellant to take necessary steps to stop the  bottling<br \/>\nplant at Sahibabad and mandated that all further bottling of<br \/>\nthe arrack manufactured by the appellant should be done only<br \/>\nat the relocated site of its distillery at Saharanpur within<br \/>\n3 months from the date of the said order.\n<\/p>\n<p>    The\t appellant  challenged the said cancellation of\t its<br \/>\nlicence\t to  run the bottling plant at\tSahibabad,  district<br \/>\nGhaziabad,  by way of a writ petition before the High  Court<br \/>\nof Judiciature at Allahabad in Civil Misc.  W.P.  No.172\/93.<br \/>\nIn the said writ petition, the appellant sought for quashing<br \/>\nof  the\t order of the State of U.P.  dated  6.11.1992  along<br \/>\nwith certain other reliefs.\n<\/p>\n<p>    A  Division\t Bench\tof  the\t  High\tCourt  came  to\t the<br \/>\nconclusion  that the permission to start the bottling  plant<br \/>\nat  Sahibabad was not in addition to the bottling plant\t run<br \/>\nby  the\t appellant  at\tSaharanpur but was  as\ta  temporary<br \/>\nmeasure\t to facilitate the appellant to shift its distillery<br \/>\nand  bottling plant from the existing site at Saharanpur  to<br \/>\nanother\t site  at  Nawabganj,  Saharanpur,  the\t High  Court<br \/>\nfurther\t held  now that a new distillery and bottling  plant<br \/>\nhave  been set up at an appropriate place at Saharanpur, the<br \/>\nappellant  cannot be permitted to use the bottling plant  at<br \/>\nSahibabad.   On\t that premise the writ petition came  to  be<br \/>\ndismissed,  giving 3 months time to the appellant to  shift<br \/>\nits  bottling  plant  from Sahibabad to the  new  distillery<br \/>\nsituated at Yusufpur, Tapari Road.\n<\/p>\n<p>    Before  us, Mr.  Shanti Bhushan, learned senior  counsel<br \/>\nhas  contended\tthat the application of the appellant  which<br \/>\nwas  made  as far back as on 14.7.1980 was based on  certain<br \/>\nspecial\t facts inasmuch as the appellant had obtained  major<br \/>\ncontracts  for the supply of country-liquor to the State  of<br \/>\nDelhi  and in executing the said contract, the appellant was<br \/>\nfinding\t difficulty  in transporting such huge\tquantity  of<br \/>\narrack bottled from Saharanpur to different places at Delhi.<br \/>\nTherefore,   with   an\tintention  of\tmaking\t supply\t  of<br \/>\ncountry-liquor to Delhi easier and economical, the appellant<br \/>\napproached  the Government with permission to establish only<br \/>\na  bottling  plant  so that it could bring  the\t permissible<br \/>\nraw-liquor  from its distillery and other permissible places<br \/>\nand  convert  the same to potable arrack and bottle them  at<br \/>\nits  bottling  plant  closer  to Delhi\twhereby\t apart\tfrom<br \/>\npreventing wastage of liquor in transit, the appellant would<br \/>\nalso  save  considerable amount of money in  transportation.<br \/>\nThis, according to the appellant, is clear from the contents<br \/>\nof  its\t application  made to the Government.\tMr.   Shanti<br \/>\nBhushan\t also  contended that the permission granted to\t the<br \/>\nappellant  pursuant to its application dated 29.7.1980\talso<br \/>\nindicates  in  clear  terms  that it  is  a  permission\t for<br \/>\nstarting  an  independent bottling unit at the place  to  be<br \/>\nnotified  by the appellant in the district of Ghaziabad.  He<br \/>\nsays  that  a perusal of this permission shows that  it\t was<br \/>\nmeant  for  bottling  arrack to be supplied  at\t Delhi.\t  He<br \/>\npointed\t out that the licence given to establish and run the<br \/>\nbottling  plant at Sahibabad was an independent licence\t and<br \/>\nwas  not  in  substitution of the bottling plant  which\t was<br \/>\nbeing  run  at that point of time at Nawabganj,\t Saharanpur.<br \/>\nHe  contends  that the belated stand of the Government\tthat<br \/>\nthe  bottling  unit  at\t Sahibabad   was  only\ta  temporary<br \/>\narrangement  and was meant to be in existence only till\t the<br \/>\nshifting  of  the  bottling  plant   at\t Saharanpur  is\t not<br \/>\nsupported  by  any  material on record and  is\tcontrary  to<br \/>\nfacts.\t It is urged that the appellant has spent huge\tsums<br \/>\nof   money  in\testablishing  a\t modern\t bottling  plant  at<br \/>\nSahibabad,  district Ghaziabad, because of the volume of its<br \/>\nbusiness  with the State of Delhi, and it would be futile to<br \/>\ncontend\t that such huge amount for a permanent bottling unit<br \/>\nwould  have  been expended by the appellant if\tthe  licence<br \/>\ngranted\t to  it was not a permanent one.  He  contends\tthat<br \/>\nthis  stand  of the Government that the licence to  run\t the<br \/>\nbottling plant at Sahibabad is only transitory in nature, is<br \/>\na lame excuse.\n<\/p>\n<p>    On\tbehalf\tof the State it is contended by Mr.   Subodh<br \/>\nMarkandeya,  learned  senior counsel contended that in\tfact<br \/>\nthe permission accorded vide letter dated 29.7.1980 was only<br \/>\ntemporary  and\tfor  the  limited period  during  which\t the<br \/>\nappellant had to shift his distillery and the bottling plant<br \/>\nat Saharanpur from Nawabganj, Saharanpur to some other place<br \/>\nand  now  that it has re-established its distillery and\t the<br \/>\nbottling  plant\t at another place in Saharanpur, it  has  no<br \/>\nright to operate the bottling plant at Sahibabad.\n<\/p>\n<p>    Having  heard learned counsel for the parties in extenso<br \/>\nand  perused the records, the only question that arises\t for<br \/>\nour  consideration  is\twhether\t  the  appellant  was  given<br \/>\nsanction  to  start an independent and\tadditional  bottling<br \/>\nwarehouse  at Sahibabad, district Ghaziabad by the competent<br \/>\nauthorities  or\t was  it  only\ta  temporary  permission  to<br \/>\nfacilitate  the\t appellant to continue with the\t process  of<br \/>\nbottling  during shifting of its distillery and the bottling<br \/>\nplant from one place to another at Saharanpur.\n<\/p>\n<p>    We\thave already referred to the application made by the<br \/>\nappellant  for grant of permission to start a bottling plant<br \/>\nin  district  Ghaziabad on 14.7.1980 so also the  permission<br \/>\naccorded  by  the authorities on 29.7.1980.  Basically,\t the<br \/>\nnecessary material to decide the above questions is found in<br \/>\nthese  two  documents.\tThough we have referred to the\tsaid<br \/>\ndocument  in some detail earlier, we think it appropriate to<br \/>\nrefer  to  it  at the cost of repetition  once\tagain  while<br \/>\ndeciding these question.\n<\/p>\n<p>    As\tper the letter dated 14.7.1980, the appellant sought<br \/>\nfor  licence  for  establishment of  bottling  warehouse  in<br \/>\nGhaziabad.   In\t the said letter\/application, the  appellant<br \/>\nstated\tthat the company has been awarded annual licence for<br \/>\nwholesale  supply of country-liquor to Delhi  Administration<br \/>\nfor  the last 7 years continuously.  It also stated for\t the<br \/>\ncurrent\t year (referable to the date of the letter) that the<br \/>\nDelhi  Administration had granted licences for two brands of<br \/>\nliquor,\t namely, country-liquor and Rum 50 degree  strength.<br \/>\nIt  also  stated that the State of U.P.\t  earns\t substantial<br \/>\nrevenue in the form of export duty on the supplies of liquor<br \/>\nmade  by  the  appellant to the Delhi  Administration  which<br \/>\naccording  to  the  appellant was to the tune of  crores  of<br \/>\nrupees.\t  The  letter  further stated that in  view  of\t the<br \/>\nbitter\tcompetition  from distillers in\t other\tneighbouring<br \/>\nStates\tlike  Punjab,  Haryana\tand  Himachal  Pradesh,\t the<br \/>\nappellant  was finding it economically difficult to  compete<br \/>\nwith  other  suppliers\tbecause of the fact that it  had  to<br \/>\ntransport  bottled  liquor  from Saharanpur all the  way  to<br \/>\nDelhi.\t In the process, it is stated that a large  quantity<br \/>\nof  liquor  also gets wasted and the cost of  transportation<br \/>\nwas  also becoming uneconomical.  They had pointed out\tthat<br \/>\nif  it lost the contract with the Delhi Administration\tthen<br \/>\nthe  State  of U.P.  also stood to lose crores of rupees  in<br \/>\nexcise\trevenue.  Therefore, the letter specifically  stated<br \/>\nthat  it  is in the interest of both the appellant  and\t the<br \/>\nU.P.   Government  to permit the appellant to establish\t its<br \/>\nadditional  bottling warehouse at Ghaziabad.  They further<br \/>\nstated\tthat they will be investing on the establishment  of<br \/>\nthe  said warehouse with a long term perspective.  So it  is<br \/>\nin  these circumstances that the appellant sought permission<br \/>\nfrom  the respondents to establish a new bottling  warehouse<br \/>\nat district Ghaziabad.\tThe respondent vide its letter dated<br \/>\n29.7.1980  informed  the appellant that they are allowed  to<br \/>\nbottle\tcountry spirit under a bond for exports in a  bonded<br \/>\nwarehouse  to be licensed at Ghaziabad in suitable  premises<br \/>\nprovided by the appellant on the conditions mentioned in the<br \/>\nsaid  letter.\tOne  of the  conditions\t enumerated  therein<br \/>\nstated\tthat the appellant was permitted to reduce the plain<br \/>\ncountry\t spirit\t into  spiced  country spirit  in  the\tsaid<br \/>\nbottling  warehouse at Ghaziabad, and that it should provide<br \/>\noffice\tfacilities  for\t the excise officials  who  will  be<br \/>\nincharge  of  the bonded warehouse attached to the  bottling<br \/>\npremises,  and\tthat  the appellant  should  make  necessary<br \/>\narrangements to execute counterpart agreement to receive the<br \/>\nnecessary  CL-I and FL-III licences from the Commissioner of<br \/>\nExcise\tand the Collector, Ghaziabad, respectively.  In\t the<br \/>\nbackground  of\twhat  is urged on behalf of  the  State,  it<br \/>\nshould\tbe noticed from this letter that there is absolutely<br \/>\nno  indication\twhatsoever to show that this  permission  to<br \/>\nstart  the  bottling unit at district Ghaziabad\t was  either<br \/>\ntemporary or was in lieu of the bottling unit at Saharanpur.<br \/>\nNeither the application of the appellant dated 14.7.1980 nor<br \/>\nthe sanction of the respondents dated 29.7.1980 has made any<br \/>\nreference  whatsoever to the bottling plant attached to\t the<br \/>\ndistillery of the appellant at Saharanpur.  From the reasons<br \/>\ngiven  by  the appellant for starting the bottling plant  at<br \/>\nGhaziabad  and\tthe conditions attached to the\tapproval  of<br \/>\nsuch  sanction to start the bottling plant at Ghaziabad,  we<br \/>\ncannot\teven  remotely\tcome  to the  conclusion  that\tthis<br \/>\npermission  was\t either\t temporary  or was in  lieu  of\t the<br \/>\nbottling  plant\t at  Saharanpur.  However,  the\t respondents<br \/>\nstrongly  relied  upon letter dated 9.7.1991 wherein it\t had<br \/>\ninformed  the  appellant that the permission to establish  a<br \/>\nbottling  plant\t was granted vide its letter dated  7.9.1988<br \/>\nand  was meant as a temporary measure till the\tconstruction<br \/>\nof  a distillery plant at Sahibabad, district Ghaziabad,  by<br \/>\nthe  appellant.\t  It was also mentioned in the\tsaid  letter<br \/>\nthat  CL-I licence was issued to the appellant for its\tunit<br \/>\nat Ghaziabad on the condition that the distillery will shift<br \/>\nthe  work from Saharanpur to Sahibabad, district  Ghaziabad.<br \/>\nIt  is\ttrue that the letter of 9.7.1991 does state  so\t but<br \/>\nthen  that  letter  relies  upon  an  earlier  letter  dated<br \/>\n7.9.1988.   A  perusal\tof that letter of  7.9.1988  clearly<br \/>\nshows  that  it had nothing to do with the establishment  of<br \/>\nthe   bottling\t plant\tat    district\t Ghaziabad.    While<br \/>\nappreciating  the  contents of that letter, we will have  to<br \/>\nbear  in  mind\tcertain additional facts such as  after\t the<br \/>\npermission  was\t granted to the appellant to  establish\t the<br \/>\nbottling plant in district Ghaziabad, the appellant seems to<br \/>\nhave  run  into\t certain   difficulties\t while\trunning\t its<br \/>\ndistillery at Saharanpur.  Therefore, they corresponded with<br \/>\nthe  Government\t to  shift  its distillery  along  with\t the<br \/>\nexisting bottling plant from Saharanpur to some other place.<br \/>\nIt is in that context that the Government wrote letter dated<br \/>\n7.9.1988 which was nearly 8 years after the sanction granted<br \/>\nto start the bottling warehouse at district Ghaziabad.\tThis<br \/>\nletter\tconveying approval of the Government to transfer the<br \/>\nsite  of  the  appellants distillery from Saharanpur  to  a<br \/>\nplace  near  the existing site in Saharanpur and to  install<br \/>\nthe required pollution control devices at the new site, made<br \/>\na  reference to the existing bottling plant attached to that<br \/>\ndistillery  and\t stated\t that  the Deptt.   would  have\t no<br \/>\nobjection  to  the  work of bottling in the  godown  by\t the<br \/>\nproducer  in other district (i.e.  Ghaziabad) provided there<br \/>\nshall not be lay off in the number of the workers working in<br \/>\ndistt.\t Saharanpur. In our opinion, this reference to\tthe<br \/>\nbottling  plant\t in  the  letter of 7.9.1988  or  the  place<br \/>\nGhaziabad  cannot  be  in  any\tmanner\tconnected  with\t the<br \/>\nbottling  plant\t already  permitted  to\t be  established  at<br \/>\ndistrict  Ghaziabad in the year 1980 by the Government.\t Per<br \/>\ncontra,\t it  is\t clear that this is with  reference  to\t the<br \/>\nbottling  plant\t which\twas attached to\t the  distillery  at<br \/>\nSaharanpur.   Therefore,  we find that reference  to  letter<br \/>\ndated  7.9.1988\t in  the  letter  of  the  Government  dated<br \/>\n9.7.1991  is  wholly  misplaced and the respondents  in\t our<br \/>\nopinion\t cannot\t make that as the basis for contending\tthat<br \/>\nthe  licence  issued  to the appellant\tfor  establishing  a<br \/>\nbottling  plant\t at  Ghaziabad was in lieu of  the  bottling<br \/>\nplant at Saharanpur or was in fact a temporary one.  In this<br \/>\nregard\twe  are\t supported by certain notings found  in\t the<br \/>\nnotes  and orders of the Excise Commissioner&#8217;s office, U.P.,<br \/>\nAllahabad, in File No.\tII Techincal D-19 pages 33, 24, 39 &amp;<br \/>\n40  which  was\texhibited as Annexure A-17 before  the\tHigh<br \/>\nCourt.\t The  notings  in  clear terms show  that  what\t was<br \/>\nintended to be granted to the appellant by the letter of the<br \/>\nrespondent  dated 29.7.1980 was a permission to start a\t new<br \/>\nbottling plant and grant of a new bottling licence.\n<\/p>\n<p>    In\tthis background if we have to consider the  impugned<br \/>\norder  of the respondents dated 6.11.1992 it is seen that an<br \/>\nentirely  new  stand has been taken on behalf of the  State.<br \/>\nThis  letter  the original of which is in Hindi and a  fresh<br \/>\ntranslation  thereof  was  provided to us on behalf  of\t the<br \/>\nState  inter-alia  states  :  &#8220;It is also  made\t clear\tthat<br \/>\nduring\tthis  period  you must stop the\t Bottling  plant  at<br \/>\nSahibabad  and\tfurther bottling must only be done  at\tyour<br \/>\nrelocated  site of your distillery at Saharanpur.  After the<br \/>\nexpiry\tof  these  3  months you will not  be  allotted\t any<br \/>\nalcohol\t from other distilleries for your bottling plant  at<br \/>\nSahibabad.  Actually,  this  was a letter in reply  to\tthe<br \/>\ncomplaint  of the appellant on insufficient electric  supply<br \/>\nto  its\t distillery at the relocated plant.  In this  letter<br \/>\nthe State took the opportunity of informing the appellant of<br \/>\nclosing\t its bottling plant at Sahibabad.  By this letter it<br \/>\nis clear that the respondents treated the earlier permission<br \/>\ngranted\t to the appellant as a temporary permission to\tlast<br \/>\ntill  the appellant shifted its distillery and the  bottling<br \/>\nplant attached to it.  We have already noticed that from the<br \/>\noriginal application and the sanction granted thereof, it is<br \/>\nclear  that  the permission to start the bottling  plant  at<br \/>\ndistrict  Ghaziabad  which  was\t ultimatley  established  at<br \/>\nSahibabad, district Ghaziabad, was not temporary or stand-by<br \/>\npermission.   It  was  given  for   a  specific\t purpose  of<br \/>\nfacilitating  the appellant to bottle bulk country-liquor at<br \/>\nSahibabad so that the appellant could compete with the other<br \/>\nbidders\t for supply of country liquor to the State of Delhi.<br \/>\nThat  permission  cannot be treated as a  permission  having<br \/>\nbeen  granted  as a stand-by permission till  the  appellant<br \/>\nshifted\t its distillery and the bottling unit at Saharanpur.<br \/>\nWe  are satisfied that the High Court has erred in coming to<br \/>\nthe  conclusion that the licence granted to the appellant to<br \/>\nestablish  and\trun a bottling unit at\tSahibabad,  district<br \/>\nGhaziabad is a temporary one.\n<\/p>\n<p>    We\thowever make it clear that if the appellant has\t not<br \/>\ncomplied  with any of the provisions of the said Excise\t Act<br \/>\nand  Rules  or has contravened any of the provisions of\t the<br \/>\nAct  or\t any of the terms of the licence, it is open to\t the<br \/>\nState to take such action as is legally permissible but this<br \/>\nlicence\t to run a bottling warehouse at Sahibabad,  district<br \/>\nGhaziabad,  shall  not be cancelled on the ground  that\t the<br \/>\nsame was granted as a temporary measure.\n<\/p>\n<p>    In\tthe result, the appeal succeeds and is allowed.\t The<br \/>\norder dated 16.11.1992 is hereby set aside.  No costs.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Supreme Court of India M\/S. Cooperative Co. Ltd vs State Of U.P. &amp; Anr on 10 April, 2001 Author: S Hegde Bench: Cji, N. Santosh Hegde CASE NO.: Appeal (civil) 1847 of 1994 PETITIONER: M\/S. COOPERATIVE CO. LTD. Vs. RESPONDENT: STATE OF U.P. &amp; ANR. DATE OF JUDGMENT: 10\/04\/2001 BENCH: CJI &amp; N. Santosh Hegde [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_lmt_disableupdate":"","_lmt_disable":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[30],"tags":[],"class_list":["post-42633","post","type-post","status-publish","format-standard","hentry","category-supreme-court-of-india"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>M\/S. Cooperative Co. 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