M. Pandi vs. The Commissioner Of Municipal Administration

WA(MD)/1466/2021HC MadrasGSTCNR HCMD01051704202123 July 2021Bench: HONOURABLE MR JUSTICE T. S. SIVAGNANAM,HONOURABLE MRS JUSTICE S.ANANTHI (RETD.)3 pages
AI SummaryDismissed

Facts

The appellant, M. Pandi, filed a writ petition seeking a direction to the respondents to extend his license for collecting fees from users of a women's toilet at MGR Bus Stand, Madurai. The appellant also sought extension in lieu of repayment of GST amount collected, referencing a circular and a notification. The license had expired on May 31, 2021, and was extended first until June 30, 2021, and then until July 31, 2021, to allow for a fresh auction. The fresh auction was scheduled for July 27, 2021. The writ petition was dismissed by the High Court, leading to the present writ appeal.

Held

The Court held that the appellant does not possess a vested right to seek an extension of his license period. The original license had expired on May 31, 2021. While extensions were granted, these were temporary measures to facilitate a fresh auction. The notification for the fresh auction on July 27, 2021, indicated that the authorities intended to grant the license through a public process, not by extending the existing one. The Court found no error in the order of the single judge dismissing the writ petition. The ratio decidendi is that a licensee whose license has expired and for which a fresh auction has been notified does not have a vested right to claim an extension. The operative direction was to dismiss the writ appeal and grant liberty to the appellant to participate in the upcoming auction.

Key Issues

1. Whether the petitioner has a vested right to seek an extension of his license period for collecting fees from the users of the women's toilet, considering the expiry of the original license and the notification for a fresh auction. This issue turns on the principles of administrative law and contract law concerning license renewals and public auctions. The petitioner argued that the extension should be granted in lieu of the GST amount collected, referencing Circular No. 1305/2016/D2 and Notification No. 12/2017-Central Tax (Rate). The respondents contended that there is no vested right for the appellant to seek an extension, as the license period had ended and a fresh auction was notified.

Sections Cited

Notification No. 12/2017-Central Tax (Rate)

AI-generated summary — verify with the full judgment below

BEFORE THE MADURAI BENCH OF MADRAS HIGH COURT DATED : 23.07.2021 CORAM THE HONOURABLE MR.JUSTICE T.S.SIVAGNANAM AND THE HONOURABLE MRS.JUSTICE S.ANANTHI and C.M.P(MD).Nos.5997 and 5998 of 2021 M.Pandi

... Appellant/Petitioner Vs.

1.

The Commissioner of Municipal Administration, Santhome High Road, Raja Annamalaipuram, Chennai.

2.

The Commissioner, Madurai Municipal Corporation, Madurai.

3.

The Commissioner of GST and Central Excise, Central Revenue Buildings, B.B.Kulam, Madurai-2. ... Respondents/Respondents Prayer: Writ Appeal filed under Clause 15 of Letters Patent, against the order of this Court made in W.P.(MD) No.11570 of 2021, dated 13.07.2021. Prayer in WP(MD)No. 11570/ 2021 : Writ Petition is filed under Article 226 of the Constitution of India, praying this Court to issue a Writ of Mandamus to direct the Respondents to extend petitioner's license of collecting fee from the users of women's toilet situated in Platform no. 4, in MGR Bus Stand, Madurai for a further period in lieu of repayment of GST amount collected from the petitioner which is against the circular dt 3

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