JUDGMENT : B Krishna Mohan, J. Heard the learned counsel for the petitioner and the learned Standing Counsel for the Petroleum Oil Corporation. 2. This writ petition is filed questioning the action of the 4th respondent in issuing the impugned letter vide Ref.No.AS/VLRO dated 12.04.2023 rejecting the application of the petitioner for award of LPG Distributorship at Kakinada-3 District, East Godavari District under open category advertised on 15.09.2013. 3. The learned counsel for the petitioner submits that the petitioner submitted the application vide serial No.12604/135/013 for award of LPG Distributorship at Kakinada-3 District, East Godavari District under open category advertised on 15.09.2013. Then, the 4th respondent vide letter dated 01.02.2023 addressed to the petitioner informing that he was qualified for redraw for selection of LPG Distributorship, for which, he was requested to be present personally for the redraw from 14 hours onwards on 23.02.2023 as detailed in the said letter dated 01.02.2023. Accordingly, he appeared on the said date and participated in the redraw. 4. Immediately on the next day, the 4th respondent addressed a letter to the petitioner dated 24.02.2023 informing that the petitioner has been selected in the draw by displaying the draw results in the notice board and the Corporation website. He was further advised to submit a sum of Rs.25,000/- for processing the field verification credentials of the petitioner’s application directing the petitioner to make such payment within 7 days from the date of receipt of the said letter. The said letter further cautions that in case of any discrepancies observed during the verification of credentials submitted by the petitioner, the above said sum of Rs.25,000/- will be forfeited. Along with the petitioner/applicant the other 7 applicants were qualified for the above said redraw, but the petitioner alone was selected in that redraw on the above said date i.e., on 23.02.2023. The petitioner paid the above said amount of Rs.25,000/- towards FVC fee for the location Kakinada-3 vide demand draft dated 26.02.2023 and the same was acknowledged by the 4th respondent through the letter dated 28.03.2023 addressed to the petitioner. 5. Thereafter, the Field Verification was held in the presence of the petitioner, his family members and others concerned.
The petitioner paid the above said amount of Rs.25,000/- towards FVC fee for the location Kakinada-3 vide demand draft dated 26.02.2023 and the same was acknowledged by the 4th respondent through the letter dated 28.03.2023 addressed to the petitioner. 5. Thereafter, the Field Verification was held in the presence of the petitioner, his family members and others concerned. But to the utter surprise and dismay of the petitioner, the 4th respondent issued the impugned letter dated 12.04.2023 informing the petitioner that the following variances were observed upon field verification for the information submitted by the petitioner in his application: 1. As per clause 6.1 vii of selection guidelines for regular distributorship May 2013, you do not have own/registered lease for godown as on last date of submission of application or your family unit. Hence not meeting minimum requirement as per selection guidelines for Regular LPG Distributorship May 2013. 2. As per clause 6.1 viii of selection guidelines for regular distributorship May 2013, you do not have own/registered lease land for showroom as on last date of submission of application or your family unit. Hence not meeting minimum requirement as per selection guidelines for Regular LPG Distributorship May 2013. 6. In view of the above said variances, the application of the petitioner was rejected forfeiting the above said amount of Rs.25,000/- under the impugned letter dated 12.04.2023. 7. On 25.04.2023 and 14.05.2023, the petitioner got addressed two recommendation letters from the Member of Parliament loksabha, Amalapuram addressed to the 3rd and 2nd respondents respectively seeking sanction of LPG distributor dealership licenses, so that, he can arrange the new sites for the godown and the shop within a given period of time accorded to him as per the norms and rules. Since there was no response for the above said recommendation letters, the petitioner filed this writ petition questioning the letter of the 4th respondent dated 12.04.2023. 8. During the pendency of the writ petition the writ petitioner first time submitted a representation dated 06.04.2024 addressed to the 4th respondent seeking sanction of LPG dealership Kakinada-3 and upon sanctioning of the same, he will arrange the showroom site and godown site according to the norms. 9. The learned counsel for the petitioner vehemently contends that the respondent-Petroleum Corporation has not followed the principles of natural justice while issuing the above said impugned letter dated 12.04.2023. 10.
9. The learned counsel for the petitioner vehemently contends that the respondent-Petroleum Corporation has not followed the principles of natural justice while issuing the above said impugned letter dated 12.04.2023. 10. He also relied upon the decision of this Court passed in W.P.No.13458 of 2023 dated 17.10.2023 and the common order passed by this Court in W.P.Nos.5995 and 9525 of 2023 dated 01.09.2023. 11. On the other hand, the learned Standing Counsel appearing for the respondent-Corporation relying upon the counter affidavit of the 4th respondent submits that the respondent-Corporation has not followed any principles of natural justice and at the outset he submits that it is not a case of violation of principles of natural justice as the impugned letter dated 12.04.2023 clearly indicates the violation of guidelines as per the clause 6.1.vii as per the 6.1.viii of selection of guidelines for regular Distributorship May 2013 by the petitioner which renders in-eligibility for the petitioner to be considered for the above said distributorship in view of the defective application as found in the field verification. 12. He further submits that the last date for submission of application was 18.11.2013, the petitioner was qualified for redraw to be held on 23.02.2023 and he was selected in the redraw and he was asked to pay the security deposit of Rs.25,000/- towards field verification of credentials of the petitioner’s application. Accordingly, the Field Verification Credentials of the petitioner was carried out on 10.03.2023 in the presence of the petitioner, his family members, Village Revenue Officer, Challoangi and Location Surveyor, Chollangi. On physical verification of the land offered by the petitioner for establishing the Godown, it was found that as per the application dated 18.11.2013, the offered land was taken on lease by the petitioner from one Sri Arigela Sambasiva Rao for a period of 15 years from 21.01.2013, registered before SRO Tallarevu. However, vide another Doct. No.1228/2013 dated 20.03.2013, registered before SRO Tallarevu, the land taken on lease vide lease deed No.247/2013 dated 21.01.2013 was surrendered. Hence, the site was released and the said conclusion was arrived at by verification with the Encumbrance Certificate of the offered site. 13.
However, vide another Doct. No.1228/2013 dated 20.03.2013, registered before SRO Tallarevu, the land taken on lease vide lease deed No.247/2013 dated 21.01.2013 was surrendered. Hence, the site was released and the said conclusion was arrived at by verification with the Encumbrance Certificate of the offered site. 13. The Clause 6.1.vii.of guidelines on Selection of Regular LPG Distributorship reads as under: “The applicant should own as on the last date for submission of application as specified in the advertisement or corrigendum (if any): a plot of land of minimum dimensions 25Mx30M (within 15km from municipal/town/village limits of the location offered in the same State) for construction of LPG Godown for storage of 8000 Kg of LPG in cylinders. The plot of land for construction of godown not meeting the minimum dimensions of 25 M x 30 M will not be considered. a ready LPG cylinder storage godown (within 15 km from municipal/town/village limits of the location offered in the same State) of 8000Kg capacity. In case there are any state specific requirements/norms applicable for construction of the LPG Godown, then the same will be applicable for the respective Regular Distributorship locations and revised minimum dimensions of plot of land will be required as specified in the Advertisement of that respective State. The plot of land or ready LPG cylinder storage godown should be freely accessible through all-weather motorable approach road (public road or private road connecting to the public road). In case of private road connecting to the public road, the same should belong to the applicant/member of Family Unit (as per the multiple dealership/distributorship norm of eligibility criteria) as per the ownership criteria defined below. In case of ownership/co-ownership by family member(s) in respect of such private road, consent letter from respective family member(s) will be required. The land should also be plain, in one contiguous plot, free from live overhead power transmission or telephone lines. Canals/Drainage/Nallahs should not be passing through the plot. The land for construction of LPG godown should also meet the norms of various statutory bodies such PWD/Highway authorities/ Town and Country Planning Department etc.
The land should also be plain, in one contiguous plot, free from live overhead power transmission or telephone lines. Canals/Drainage/Nallahs should not be passing through the plot. The land for construction of LPG godown should also meet the norms of various statutory bodies such PWD/Highway authorities/ Town and Country Planning Department etc. In case an applicant has more than one suitable plot for construction of godown for storage of minimum 8000 Kg of LPG in cylinders or ready LPG cylinder storage godown as on the last date for submission of application as specified in the advertisement or corrigendum (if any), the details of the same can also be provided in the application.” 14. Similarly, under Clause 6.1.viii.of Guidelines on Selection of Regular LPG Distributorship reads as under: “The applicant should own a suitable shop of minimum size 3 metres by 4.5 metre in dimension or a plot of land for construction of showroom of minimum size 3 metres by 4.5 metre as on the last date for submission of application as specified in the advertisement or corrigendum (if any) at the advertised location or locality mentioned in the advertisement. It should be easily accessible to general public through a suitable approach road. In case an applicant has more than one shop of minimum size 3 metre by 4.5 metre in dimension or a plot of land for construction of showroom of minimum size 3 metre by 4.5 metre as on the last date for submission of application as specified in the advertisement or corrigendum (if any) at the advertised location or locality as specified in the advertisement, the details of the same can also be provided in the application.” 15. The term “OWN” referred under Clause 6.1.vii and Clause 6.1.viii of Guidelines on Selection of Regular LPG Distributorship is defined as under: “'Own' means having ownership title of the property or registered lease agreement for minimum 15 yrs in the name of applicant / family member (as defined in multiple distributorship norm of eligibility criteria) as on the last date for submission of application as specified in the advertisement or corrigendum (if any). In case of ownership/co-ownership by family member(s) as given above, consent in the form of a Notarized Affidavit from the family member(s) will be required.
In case of ownership/co-ownership by family member(s) as given above, consent in the form of a Notarized Affidavit from the family member(s) will be required. In case the land is jointly owned by the applicant / member of 'Family Unit' (as defined in multiple dealership/distributorship norm) with any other person(s) and the share of the land in the name of applicant/member of the 'Family Unit' meets the requirement of land including the dimensions required, then that land for godown/showroom will also qualify for eligibility as own land subject to submission of 'No Objection Certificate' in the form of a Notarized Affidavit from other owner(s).” 16. Accordingly, the petitioner did not own the land for establishing the godown/showroom/shop in terms of Clauses 6.1.vii and Clause 6.1.viii since he did not have any valid lease for the offered godown land as on the last date of application i.e., 18.11.2013 and he/his family members did not have a registered lease for the offered showroom/shop land. Hence, the candidature of the petitioner was cancelled vide letter dated 12.04.2023. 17. Further the Clause 10.b. provides that the Field verification will be carried out for the selected candidate as per the procedure laid down. If in the FVC, the information given in the application by the applicant is found to be correct, Letter of Intent (LOI) will be issued with the approval of competent authority. Clause 10.c. provides that if in the FVC it is found that the information given in the application is at variance with the original documents and that information affects the eligibility of the candidate, then a letter would be sent by the Registered Post AD/Speed Post pointing out the discrepancy. The candidature of the selected candidate in such a case will be cancelled and 10% of applicable security deposit remitted by the selected candidate before FVC will be forfeited if false/incorrect/misrepresented information has been given in the application. Even after passing the FVC Stage, Clause 11 provides that the distributor select, after receipt of LOI should fulfill the conditions specified in the LOI within a period of four months from the date of LOI, failing which, the LOI is liable to be withdrawn along with forfeiture of the amount remitted by the selected candidate before FVC. Hence, even after issuance of LOI, the candidate can be rejected for non-fulfillment of conditions of LOI. 18.
Hence, even after issuance of LOI, the candidate can be rejected for non-fulfillment of conditions of LOI. 18. He further submits that in this case, the stage of issuance of LOI has not come as the application of the petitioner was found to be variant on the above said FVC itself. 19. He further submits that there are 7 other eligible applicants who are in the queue to be considered their candidature subject to the following further procedure in view of the impugned variance found in the case of the petitioner’s application. Since the petitioner did not satisfy the main ingredients of the application the question of giving further opportunity to cure the defect of the application at this point of time would not arise as the rights of the other parties also would be jeopardized. 20. In view of the above said facts and circumstances and upon considering the rival submissions made, it is to be seen that the petitioner made an application vide Serial No.12604/135/013 for award of LPG Distributorship at Kakinada-3 District, East Godavari District under open category advertised on 15.09.2013, under the said advertisement the last date of submission of application was 18.11.2013 and the petitioner was qualified for redraw for selection of LPG Distributorship to be held on 23.02.2023, wherein, he was selected and became eligible to be considered for field verification of credentials of his application on payment of Rs.25,000/- towards its fee. 21. Along with the petitioner 7 other applicants were also qualified but the petitioner alone was selected under redraw on the above said date for the purpose of field verification credentials of his application. On payment of the above said fee as stated supra the field verification was done on 10.03.2023 in the presence of all the parties concerned. Since the authorities found discrepancies upon field verification with respect to the information submitted by the petitioner in his application as the petitioner does not have owned/registered the leased land for godown as on the last date of submission of the application and as the petitioner does not have owned/registered the leased showroom as on the last date of submission of the application either belonging to his family unit or himself which are violative clauses 6.1.vii and 6.1.viii of selection guidelines for regular distributorship May 2013, the 4th respondent issued the impugned letter dated 12.04.2023. 22.
22. As noted above even after the impugned letter of the 4th respondent dated 12.04.2023, the petitioner did not approach the authorities concerned with the another representation enclosing the alternative land for the godown and shop strictly as per the above said guidelines by enclosing the necessary documents to the said kind of representation except submitting two recommendation letters from the member of Parliament dated 25.04.2023 and 14.05.2023. Even with the representation dated 06.04.2024, the petitioner did not enclose the necessary documents showing either ownership or registered lease in respect of any land for the purpose of godown and shop in favour of the petitioner as per the above said guidelines complying with the above said norms of the guidelines. 23. The only contention of the petitioner is that if the petitioner is given an opportunity now, he will try to bring the alternative piece of land for the above said purpose stating that, the 4th respondent has not given any opportunity for the petitioner to substantiate with the alternative land under the impugned letter dated 12.04.2023. As per the requirement of the above said selection guidelines atleast before the last date of submission of the application i.e., on or before 18.11.2013 the petitioner ought to have furnished/submitted the alternative piece of land details duly registered either in his favour or in favour of the family unit. But till date he has not taken any step to produce the said kind of alternative land duly in compliance with the above said selection guidelines before the respondent authorities concerned. 24. The above said common order in W.P.No.13458 of 2023 dated 17.10.2023 relates to the questioning of qualification as on the date of submission of the petitioner’s application and before the last date of submission of the application therein the petitioner possessed the graduation satisfying the eligibility criteria. In view of the same, the above said order was passed by this Court, which has no application for the facts and circumstances of this case. 25. Similarly, the other case which was passed by this Court in W.P.Nos.5995 and 9525 of 2023 dated 01.09.2023 deals with the financial status of the petitioner which was also satisfied as on the last date of submission of the application therein. In view of the same, the common order passed by this Court dated 01.09.2023 has no application for the facts and circumstances of this case. 26.
In view of the same, the common order passed by this Court dated 01.09.2023 has no application for the facts and circumstances of this case. 26. This case is founded on different set of facts and circumstances wherein even as on the last date of submission of the application and thereafter also the petitioner did not produce any owned or registered lease deed pertaining to the land for the purpose of godown and shop for sanction of LPG Distributorship as per the guidelines and norms of the respondent-Corporation. 27. In view of the same, no relief can be granted in this writ petition. Accordingly, this Writ Petition is dismissed. There shall be no order as to costs. As a sequel, Miscellaneous Petitions pending, if any, shall stand closed.