Judgment :- Petitioner participated in the auction conducted by the first respondent Panchayat in relation to the right to vend meat in the various wards of the Panchayat. One of the conditions is that the successful auction purchaser has. to construct the stalls. Petitioner deposited earnest money for 10 places. Auction was held on 16-3-1988. Petitioner bid the right to vend meat at Vandampathal, Punchavayal and Punchavayal 504 Colony situated in Wards?, 10 and 11. He deposited Rs. 4,000/- as earnest money. He deposited ll4th of the bid amount on the date of the auction itself. At the time of executing necessary agreement he had to pay 1/4th of the amount more. After adjustment of the earnest money he deposited balance amount of Rs. 1,443.75 towards 1/4th purchase money in respect of the three places where the sale was confirmed in his name. 2. Petitioner requested the second respondent to allot him the site for constructing the stalls. He was told to construct stalls on the side of P.W.D. roads. Petitioner attempted to construct temporary stalls on the side of P.W.D. roads. As the people objected to it he could not construct the stalls and thus he was prevented from doing any business. 3. Exts.P3, P4 and P5 notices were issued to the petitioner to deposit the amount due from him to the Panchayat. Petitioner contends that he could not do so as he could not start the business due to the hostile attitude of the people. Another contention of the petitioner is that the first respondent is not vested with any power under the Panchayats Act to conduct auction of the right to vend meat except in stalls belonging to the Panchayat. 4. The question that arises for consideration is whether the Panchayat has any right to auction meat stalls on the side of the roads. S.96 of the Kerala Panchayats Act, 1960 (for short 'the act) states that the Panchayat may with the previous approval of the Director notify that no place in the Panchayat area shall be used for any of the purposes specified in the rules made in this behalf being purposes which in the opinion of Government, are likely to be offensive or dangerous to human life or health or property, without a licence issued by the executive authority and except in accordance with the conditions specified in such licence. Rule 3 of Kerala Panchayats (Licensing of Dangerous and Offensive Trades and Factories) Rules, 1963 provides that for the purposes of S.96 of the Act the Government may specify in Schedule I to these Rules the purposes which in their opinion are likely to be offensive or dangerous to human life or health or property. Rule 4 enables the Panchayat to publish by a notification in the notice board of the Panchayat office and in a prominent place in each ward of the Panchayat and by beat of drum that no place within the Panchayat area shall be used for any one or more of the purposes specified in Schedule I without a licence issued by the Executive Authority and except in accordance with the conditions specified therein. Item 86 in Schedule I relates to selling or exhibiting or offering for sale or storing, packing, pressing, cleansing, preparing or manufacturing by any process whatever of meat. Rule 31(1) of the Kerala Panchayats (Slaughter Houses and Meat Stalls) Rules, 1964 provides that Panchayat may farm out the collection of rents and fees in public slaughter houses for a period not exceeding three years to the highest bidder subject to such conditions as may be laid down from time to time by the Panchayat. Rule 39 provides for the location of meat stalls. All meat stalls vending meat from animals slaughtered in slaughter house in a Panchayat area shall be within the limits of that Panchayat area. The meat stalls shall be located only in places approved by such officers as may be expowered in this behalf by the Deputy Director. Rule 3 of the Kerala Panchayats (Public and Private Markets) Rules, 1964 deals with opening of public markets. Rule 5 deals with leasing out of portions of a public market. Rule 6 enables the Panchayat to obtain licence fee with respect to private markets. Thus, it can be seen that auction can only be done with respect to public slaughter houses and public markets. 5. Item 'E' in Ext.P1 relates to the auction of the right to vend meat in the various wards of the Panchayat after constructing stalls by the auction purchasers themselves. It has nothing to do with a public slaughter house. Thus, it can be seen that auction can only be done with respect to public slaughter houses and public markets. 5. Item 'E' in Ext.P1 relates to the auction of the right to vend meat in the various wards of the Panchayat after constructing stalls by the auction purchasers themselves. It has nothing to do with a public slaughter house. As Panchayat can only farm out the collection of rents and fees in public slaughter houses and as the Act does not enable the Panchayat to auction the right to vend meat from stalls constructed by the petitioner, it could not have collected amounts from him. As there is no provisions in the Act and Rules to conduct auction of the right to vend meat except in the public markets and public slaughter houses, the money collected from the petitioner cannot be justified. It can only issue licence for the conduct of the trade. The petitioner is well within his right to ask for the return of the amount deposited by him before the first respondent. , For the foregoing reasons, Ext.P9 notice and all steps taken pursuant to it are quashed. Ext.P7 is quashed to the extent that it directs re-auction at the risk and cost of the petitioner. First respondent is directed to refund the amount deposited by the petitioner pursuant to Ext.P1 auction. The Original petition stands allowed. No costs.