Sanjay Kumar Shukla v. Bharat Petroleum Corporation Ltd. and Others
Background
Shukla ranked first in a petrol outlet dealership selection, narrowly ahead of another applicant. The rival challenged his offered land as being involved in litigation and obtained High Court relief directing the dealership to the second-ranked candidate. Relevant developments concerning the land and permission process were overlooked.
Decision Breakdown
The Supreme Court allowed Shukla's appeals and set aside both High Court orders. The land's removal from the partition dispute, later disposal of the suits and changed administrative position undermined the basis for displacing the selected candidate. The Court found the rival's litigation aimed to deny the selection's benefit without a sufficient public-interest basis. It directed the corporation, if the outlet was still required, to award it to Shukla after completing its own prescribed formalities.
Lesson Learnt
A rival's challenge to a public commercial selection must be assessed against all material facts and the public interest. First ranking still does not waive required approvals, but a court should not displace it on an outdated view of an alleged obstacle.