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State Of M.P And Others v. Agarwal Medical And General Stores .

Supreme Court Of India
Feb 6, 1987

Judgment

1. The licence issued in favour of the respondents under the Drugs and Cosmetics Rules of 1945, framed under the Drugs and Cosmetics Act, 1940, for carrying on business as druggists and operating a pharmacy was cancelled by the Collector. The writ petition instituted by the respondents in the High Court was dismissed. The operative order was in these terms:

“(i) As the term of each of the four licences in question was up to December 1972, we cannot issue any effective writ in respect of the Collector's order cancelling the licences. We have enunciated the legal position as it became necessary.
(ii) In respect of the petitioner's shop which was sealed on December 16, 1972, we direct that the Collector shall get the seal opened and shall restore the shop to the petitioner. This order shall be no impediment to the authorities taking an appropriate action, in respect of the drugs in the shop, which may be within their powers under the Act, the rules or any other law. Likewise, the Collector will be free to consider the petitioner's request to transfer the stock of drugs to either or both of the abovementioned licensees.”

2. The order passed by the High Court is a very just and proper order. The cancellation of licence of the respondents has not been set aside. Suitable directions have been issued in regard to the disposal of the stocks. We agree with the reasoning and conclusion of the High Court and see no reason to modify it. The appeal therefore fails and is dismissed. There will be no order as to costs.