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Kamal Kumar Agrawal vs State Of Odisha And Others
2022 Latest Caselaw 3768 Ori

Citation : 2022 Latest Caselaw 3768 Ori
Judgement Date : 8 August, 2022

Orissa High Court
Kamal Kumar Agrawal vs State Of Odisha And Others on 8 August, 2022
                IN THE HIGH COURT OF ORISSA AT CUTTACK
                                 W.P.(C) No.14917 of 2022
                                 (Through hybrid mode)

              Kamal Kumar Agrawal                   ....                     Petitioner

                                                             Mr. S. Mallik, Advocate
                                             -versus-

              State of Odisha and others            ....               Opposite Parties

                                                             Mr. S. N. Das, Advocate
                                                        (Additional Standing Counsel)

                       CORAM: JUSTICE ARINDAM SINHA
                                       ORDER

08.08.2022 Order No.

03. 1. Mr. Mallik, learned advocate appears on behalf of petitioner and

submits, impugned are orders dated 16th April, 2022 and 6th May, 2022. His

client was running 24 hours medicine shop in campus of Capital Hospital,

Bhubaneswar. The medicine shop was under tenancy and with drug licence

issued. The hospital authorities required his client to move. His client had

moved this Court earlier by W.P.(C) no.9826 of 2015, disposed of by order

dated 3rd February, 2021. Pursuant thereto his client relocated to different

shop rooms allotted to his client. However, the hospital authorities reduced

the period of occupation mentioned in the agreement dated 21st January,

2022, to one year. By reason thereof the drug licensing authority issued

impugned orders rejecting his client's application for issuance of drug

licence at the new premises.

2. Mr. Das, learned advocate, Additional Standing Counsel appears on

behalf of State. On query from Court he submits, he is appearing both for

the hospital as well as the licensing authority. He submits, by circular dated

27th February, 2015 policy of the Government was informed to be that it is

committed to provide free medicines to patients at public health facilities

with setting up of 24 x 7 hours drug distribution counters. It was therefore

decided that, inter alia, no extension of lease of on campus medical stores be

done until further orders. This is why the extension agreement of one year.

He submits, under the extension agreement petitioner cannot run medicine

shop but can run any other shop. On query from Court, Mr. Das is unable to

say what kind of shop petitioner is entitled to operate under the extension

agreement.

3. Mr. Das relies on judgment of Supreme Court in State of Orissa v.

Radheyshyam Meher, reported in (1995) 1 SCC 652, paragraph 6. The

decision is inapplicable since controversy in that case was resistance by

existing medicine shop owners outside the hospital, to the Government's

decision to open medicine stores inside the hospital.

4. Perused order dated 3rd February, 2021 passed by coordinate Bench in

earlier W.P.(C) no.9826 of 2015 (petitioners own case). It appears from said

order petitioner had space measuring 12 X 20 sq.ft. allotted by the hospital

authority in year 1999. Petitioner had made temporary structure for running

medicine shop. Subsequently, the authorities allotted him two shops in year,

2013 in the utility complex and directed petitioner to move there. The

licensing authority acting in tandem with the hospital authority refused to

renew petitioner's drug licence. Petitioner had moved Court by said writ

petition.

5. During course of hearing petitioner expressed willingness to move to

the new premises on given at least seven days time for the purpose and

direction upon the authority to renew the drug licence in respect of the new

premises. Coordinate Bench, in regard to petitioner's prayer for drug licence

said in the order, inter alia, reproduced below.

"So far as the prayer for renewal of the drug license is concerned, the petitioner is required to approach the Authority concerned in this regard for fresh license, as revealed from the counter affidavit of the Licensing Authority. Needless to say that, if the petitioner applies for such license to run his medicine shop from the new premises with necessary documents and particulars, as required under the statute, his such application shall be considered within three months of making such application. However, this Court has expressed no opinion on the merit of the same in any manner."

6. Petitioner moved to the new shops allotted to him. Said agreement

dated 21st January, 2022 was executed between the hospital and petitioner.

However, period of the occupation under the agreement was reduced to one

year. Submission on behalf of State has been recorded above that petitioner,

under this new agreement, can carry on any other business but dealing in

medicines. Also recorded is inability of State to say what other business can

be run in hospital premises apart from or dealing in medicines.

7. The second contention of opposition to petitioner getting drug licence

is reliance by State on said circular dated 27th February, 2015. The circular

prohibits extension of lease of on campus medical stores to be done till

further orders. States, therefore, contends that the allotment and agreement

is not for the purpose of medicine shop.

8. It is clear that State got petitioner to be evicted or moved from his

earlier occupation on holding out that he would be relocated. It is also true

that petitioner, from his earlier occupation, was running medicine shop

under licence. A requisite for grant of licence is minimum 5 years

occupation of the premises, from which medicine shop is to be run. State

has by one hand reduced the occupation period and by the other, relying on

that refused issuance of drug licence.

9. Court is unable to see requirement of depriving petitioner of his

livelihood by this two pronged attack against him on the basis of the pious

policy decision of commitment to provide free medicines. There is no

dispute that the hospital has not held out reasonable requirement, on the

shops allotted to petitioner, purportedly for one year. State, through the

hospital and the drug licensing authority appears to want to put petitioner

out of business in the hospital premises. That can be achieved by State on

providing free medicines from separate State counters. Petitioner will

automatically go out of business. Court appreciates that State is unwilling to

take a position on what petitioner can do as other business in the shops

allotted to him.

10. The hospital authority acting in tandem with the drug licensing

authority have acted unfairly against petitioner. There is no basis for the

agreement dated 21st January, 2022 to have period of one year. The hospital

authorities in executing the agreement acted against standing policy

direction by said circular dated 27th February, 2015. Why they did so Court

is not inclined to enquire.

11. Petitioner is entitled to engage in business and livelihood by running

drug store. The rules require the licensing authority to insist on a 5 years

occupation period. In the circumstances, opposite party nos.1 and 2 are

directed to amend said agreement dated 21st January, 2022, to be for period

of 5 years commencing from 21st January, 2022. Petitioner's occupation of

the newly allotted shops under the agreement will expire on 20th January,

2027. Notwithstanding, petitioner will produce this order before the drug

licensing authority, who is directed to issue licence to petitioner, subject to

compliance with other requisites and formalities.

12. The writ petition is disposed of.

(Arindam Sinha) Judge Prasant

 
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