IN THE HIGH COURT OF KERALA AT ERNAKULAM PRESENT : THE HONOURABLE MR. JUSTICE ANTONY DOMINIC THURSDAY, THE 22ND MAY 2008 / 1ST JYAISHTA 1930 WP(C).No. 14414 of 2008(N) -------------------------- PETITIONER: ------------ SUBHIKSHA TRADING SERVICES LIMITED, 42/1327, POWER HOUSE ROAD, ERNAKULAM, COCHIN-682 018, REPRESENTED BY AUTHORISED SIGNATORY AND PRESIDENT ASHOK RAJASEKHAR. BY ADV. SRI.A.KUMAR RESPONDENTS: ------------- KADUNGALLUR GRAMA PANCHAYATH, KADUNGALLUR, REPRESENTED BY ITS SECRETARY. BY SC ADV. SRI.SAJEEV KUMAR K.GOPAL THIS WRIT PETITION (CIVIL) HAVING BEEN FINALLY HEARD ON 22/05/2008 ALONG WITH WP(C) 14475 OF 2008, THE COURT ON THE SAME DAY DELIVERED THE FOLLOWING: WP(C)14414 OF 2008 APPENDIX PETITIONERS EXHIBITS P-1 TRUE COPY OF THE APPLICATION DATED 12.12.2007 FOR D&O LICENSE. P-1(a) TRUE COPY OF THE APPLICATION DATED 12.12.2007 FOR PFA LICENSE. P-2 TRUE COPY OF THE LETTER OF PETITIONER TO RESPONDENT DT.21.12.2007. P-3 TRUE COPY OF THE APPLICATION DTD.29-3-2008 ALONG WITH COVERING LETTER FOR D&O LICENSE. P-3(a) TRUE COPY OF THE APPLICATION DATED 29.3.2008 ALONG WITH COVERING LETTER FOR PFA LICENSE. P-4 TRUE COPY OF THE LETTER DT.2.4.2008 BY PETITIONER TO RESPONDENT. P-5 TRUE COPY OF THE APPLICATION DT.3.4.2008 FOR AD&O TRADE LICENSE ALONG WITH COVERING LETTER. P.5(a) TRUE COPY OF THE APPLICATION DT.3.4.2008 FOR PFA LICENSE P-6 TRUE COPY OF THE APPLICATION DT.29.3.2008 FOR D&O TRADE LICENSE FOR CONDUCTION BUSINESS IN SHED NO.4/236K. P-6(a) TRUE COPY OF THE APPLICATION DTD.29.3.2008 FOR PFA LICENSE FOR CONDUCTION BUSINESS IN SHED NO.4/236K. P-7 TRUE COPY OF THE LETTER DTD.3.4.2008 OF THE RESPONDENT RETURNING THE DD FOR RENEWAL FEE TO THE PETITIONER. P-8 TRUE COPY OF THE LETTER DT.21.4.2008 SENT BY RESPONDENT TO PETITIONER INTIMATING REFUSAL OF LICENSE AND RETURNING THE DD SENT ALONG WITH THE APPLICATION DTD.3.4.2008. P-9 TRUE COPY OF THE RESOLUTION DTD.7.4.2008. WP(C).No. 14414 of 2008(W) RESPONDENT'S EXHIBITS R1(a) TRUE COPY OF THE OBJECTION FROM THE MERCHANTS ASSOCIATION. R1(b) TRUE COPY OF THE OBJECTION FROM THE LOCAL PEOPLE. R1(c) TRUE COPY OF THE AGENDA OF THE MEETING. R1(d) TRUE COPY OF THE OBJECTION SUBMITTED BY SRI.P.A.JAYALAL. R1(e) TRUE COPY OF THE OBJECTION SUBMITTED BY ISHA BEEVI. R1(f) TRUE COPY OF THE OBJECTION SUBMITTED BY SYED KUNJU. psb ANTONY DOMINIC, J. ------------------------------------ W.P.(C) 14414 & 14475 of 2008 ------------------------------------- Dated: MAY 22, 2008 JUDGMENT These writ petitions raise common issues and they are disposed of by this common judgment. 2. Petitioners in these writ petitions applied to the respondent panchayat for grant of trade licence and PFA licence. The initial applications were dated 12th December 2007. The applications so made by them were rejected by Exts.P7 and P8 in WP (C) 14475/08 and Exts.P8 and P9 in WP(C) 14414/08. The reasons assigned for justifying the rejection of the applications made by the petitioners are that the petitioners herein are monopolistic business establishments and their entry in the State is detrimental to the small units. Hence, on the ground of public interest, the petitioners' entry into the State is sought to be prevented. It is also seen from the resolution of the panchayat that though the Secretary of the panchayat had dissented, that did not yield any result. It is challenging the aforesaid resolution and the communication WP(C) 14414 & 14475 of 2008 Page numbers enclosing the same, marked in the manner as indicated above, these writ petitions have been filed. 3. Counter affidavits have been filed by the respondent panchayat. At the outset, the challenge was about the maintainability of these petitions on the ground of availability of alternate remedy. 4. It is true that an appellate remedy is available. But then, having regard to the fact that these writ petitions have been admitted by this court and the panchayat which is the only contesting party has filed its counter affidavit, and the nature of the controversy that is raised, I do not think that it is necessary to relegate the parties to pursue the alternate remedy available to them. 5. The only question that arises for consideration is whether a trade licence and a PFA licence could be denied on the ground that the applicants for the licence are monopolistic establishments and therefore their entry should not be allowed. In my view such a stand cannot be justified at all and no such ground of rejection is WP(C) 14414 & 14475 of 2008 Page numbers provided for in any of the statutes as well. Respondent could have rejected the application only on any of the grounds available in the Act. Even otherwise, I do not think that it is in public interest to reject the application. In my view, public interest is in favour of allowing the application which will increase competition in the market, resulting in balancing of prices and availability of better commodities. Since the ground for rejection as reflected in the resolution of the panchayat cannot be traced to any of the provisions of the Kerala Panchayat Raj Act, the impugned orders viz. Exts.P7 and P8 in WP(C) 14475/08 and Exts.P8 and P9 in WP(C) 14414/08 deserve to be quashed and I do so. 6. Since the period covered by the original applications submitted by the petitioners for licence has expired, the respondent will pass orders granting licences applied for by the petitioners as per Exts.P2 and P2(a) applications in these two writ petitions. Orders granting licence as above shall be passed as expeditiously as possible, at any rate, within four weeks of production of a copy of this judgment. WP(C) 14414 & 14475 of 2008 Page numbers 7. In WP(C) 144475/08, initially the application submitted by the petitioner covered installation of certain machineries as well. But, however, it is seen that in Ext.P3 addressed to the panchayat the petitioner has undertaken that there will not be any installation of machinery. This stand of the petitioner that they will not be installing any machinery on the premises is also reiterated before me and I record the same. Writ petitions are disposed of as above. ANTONY DOMINIC, JUDGE mt/-