The Madras High Court rendered ineffective a Government Order that appointed the Transport Commissioner as the Appellate Authority under the Petroleum Rules.  

December 26, 2023by Primelegal Team0

Case Title: VBR Menon v The Additional Chief Secretary to Government and Others

Case No: W.P.No.29707 of 2022

Decided on: 21st December, 2023

CORAM: THE HON’BLE MR. SANJAY V. GANGAPURWALA, CHIEF JUSTICE AND THE HON’BLE MR. JUSTICE D. BHARATHA CHAKRAVARTHY

Facts of the Case

In this instance, the petitioner contends that G.O issued under the Petroleum Rules, 1976, on 25.5.1983, is no longer relevant. On March 13, 2002, Rule 202 of the Rules of 2002 repealed the Rules of 1976. The petitioner argues that the Appellate Authority should be the immediate superior of any District Authorities as described in Rules 2(x) and 2(xi) of the Rules of 2002, and that the fourth respondent, appointed under G.O is not the proper authority to hear and decide appeals. The party argues that the State Government is not authorized to change the Petroleum Act of 1934 or the Rules of 2002 through government order because they are part of the Union List.

The responders, however, state that the Appellate Authority will be notified in accordance with the Rules of 2002 and that the fourth respondent is not currently hearing any appeals. Since the fourth respondent does not meet this requirement, they conceded that the Appellate Authority must be superior to the District Authority. The emphasis is on the fact that the Rules of 2002 cannot be overridden by government orders, and that the Rules of 1976 may have applied to G.O. dated 25.5.1983, which was issued prior to the implementation of the Rules of 2002. Still, in compliance with the 2002 Rules, the State bears the duty of informing the Appellate Authority.

Legal Provisions

The legal proceedings in this matter draw their authority from Section 154(2) of the Petroleum Rules, 2002.

Issues

Does the Transport Commissioner possess a superior status compared to the District Authority, disqualifying them from being the Appellate Authority under the Petroleum Rules 2002?

Courts analysis and decision

It was pointed out by the court that the Appellate Authority need to be the direct superior of any District Authorities as specified by the Petroleum Rules of 2002. The appointment was ruled to be illegal by the court because the Transport Commissioner failed to satisfy this requirement. Government Orders cannot supplant or go against the existing norms, the court emphasised, noting that the norms of 2002 are subordinate legislation.

In addition, the State was directed by the court to designate a new Appellate Authority within the allotted 12-week timeframe, emphasising the State’s obligation to do so in accordance with the Rules. The court overturned the Transport Commissioner’s nomination as the Appellate Authority and ordered the State to name a new authority within the allotted time frame in accordance with the Petroleum Rules.

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Written by- Rupika Goundla

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