Nagpur: In a crucial verdict, the Nagpur Bench of the Bombay High Court has set aside the suspension of the petroleum license of the iconic Marwah Petrol Pump at Law College Square. The suspension, imposed by the Chief Controller of Explosives on January 16, 2024, was deemed a violation of procedural fairness under the Petroleum Rules, 2002.
The dispute arose after the landlord of the property complained that BPCL’s lease had expired, prompting authorities to suspend the licenses of BPCL and its dealer, Marwah & Co., with immediate effect. However, the High Court ruled that this action was taken without giving BPCL a fair opportunity to present its case, a direct contravention of Rule 152(1)(a) of the Petroleum Rules, which mandates a hearing before suspension or cancellation.
The court noted that BPCL had a right to lease renewal under its 1983 lease agreement and a 2003 communication from the original lessor, agreeing to a 29-year extension. However, it also observed that BPCL had not pursued legal enforcement of this lease renewal.
Gold Rate
05 April 2025
While allowing BPCL’s petition, the court criticized the authorities for what it described as a “connivance” between officials and the landlord, pointing out that the show-cause notice, suspension, and cancellation were all issued simultaneously, violating due process. As a result, both the suspension order and the appellate order of March 21, 2024, were quashed.
The ruling provides relief to Marwah & Co., but the court made it clear that the dealer has no independent legal claim beyond BPCL’s rights.
With the High Court’s decision, operations at Marwah Petrol Pump are expected to resume soon, restoring a vital service for local residents and commuters.
Advocate Rohan Chhabra represented the petitioners.
