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Heard learned counsel Sri T. Bala Mohan Reddy, appearing on behalf of the Petitioner, Sri Gadi Praveen Kumar, learned Deputy Solicitor General of India appearing on behalf of respondent No.1 and Sri Dominic Fernandes appearing on behalf of the Respondent No.2 and 3.

2. The petitioner approached the court seeking the prayer as under:

"to grant an order direction or writ more so in the nature of writ of mandamus declaring the proceedings bearing Ref. No. TAPSO OPS/POL/VGA TML/ITDG/22-22/06 dated 28.02.2023 issued by the 3rd respondent herein whereby the petitioners contract was terminated and tank trucks being blacklisted apart from imposing penalty contrary to the provisions of Oil Industry Transport Discipline Guidelines (ITDG) as illegal, arbitrary, highhanded violative of principles of natural justice apart from being violative of article 14 of Constitution of India and consequently to set aside the proceedings bearing Ref. No. TAPSO OPS/POL/VGA TML/ITDG/ 22-22/06 dated Wp_7144_2023 Sn,j 28.02.2023 issued by the 3rd respondent herein and pass such other order or orders...."

3. PERUSED THE RECORD :

A) The relevant portion of the order impugned dated 28.02.2023 issued by the 3rd Respondent bearing Ref. No. TAPSO OPS/POL/VGA TML/ITDG/ 22-22/06, reads as under :

"Transporter is also found to be in violation of following clauses of ITDG:

S.No. ITDG    Type                             of   Penalty
      Clause
              malpractice/Irregularity
      No.
3.    8.2.1.k Tampering        with     standard    TT     shall   be
              fittings of TT including the          blacklisted    as
              sealing,       security      locks,   per        Clause
              security      locking      system,    No.8.2.2.11
              calibration, Vehicle Mounted
              Unit or its fittings/fixures.
5.    8.2.1.r Any act of the carrier/carrier's      As decided by
              representative that may be            the Company as
              harmful       to      the     good    per       Clause
              name/image         of    the    Oil   No.8.2.2.16
              Company, its products or its
              services.

Wp_7144_2023 Sn,j B. Counter affidavit has been filed by Respondent No.2 and 3, and in particular, Paras 12, 15 and 16 read as follows :

"12. In reply to paragraph no. 8 of the writ affidavit it is submitted that the initial notice with sum arrived is mentioned as Rs.54,63,350.84 based on the invoice price. As a matter of fact the Recovery shall be made from the transporter at the retail-selling price at the dispatch location or non- subsidized market determined price of such product, whichever is higher and transportation charges for the shortage quantity as per the Transport Agreement Clause 9.C (i). That recovery of Rs.67,41,670.38 is computed in line with ITDG 2.3.6 and the Transport Agreement Clause 9.C.(i). As per ITDG clause No.2.3.6 "Tampering with calibration of vehicle in any manner shall be construed as a malpractice and penal action will be taken against the carrier as outlined under clause no. 8. Further, alleged product losses will be recovered from the carrier from the date of last calibration." In the current instance, provision of spurious additional fittings in Dip pipe of M2 compartment which tantamount to tampering of calibration, is a malpractice as per clause no.8.2.1 k. The TT was last calibrated on 24-02- 2022, the alleged product losses computed from 24-02- 2022 to 24-09-2022. The very fact that the representative of the petitioner has agreed for blacklisting of the subject TT itself is confession of the charges levelled by the company on the transporter which by itself forms bases for Wp_7144_2023 Sn,j the contraventions committed. The statement of the petitioner that there were no complaints on the petitioner fails to stand when the unauthorized fitting in the TT and the resultant shortage have been established.

D) The order impugned of the 3rd Respondent dated 28.02.2023 further indicates a tabular statement referring to the malpractice and the penalty imposed and the same reads as under :

S. ITDG Type of malpractice/irregularity Penalty No.

1. 2.5.6 The crew of the Tank truck which As per 2.1 of ITDG, ITDG is a part are signing the invoice at the of Agreement and as per 15 (e) of loading location should deliver agreement, in case of breach of the product at the destination. In any of terms & conditions of case of substitution of crew due agreement, Company reserves the to any reason, the same should right to Terminate the agreement be done only after obtaining permission from the location.