RAJA MALLAIAH AND ANR. vs ANIL KISHORE AND ORS.

The Supreme Court ruled that the auctioning of 78 arrack shops as a single lot without proper justification violated Rule 12 of the Andhra Pradesh (Lease of Right to sell Liquor in Retail) Rules, 1969, which mandates adherence to specified auction procedures. The Court held that the Collector's actions were unauthorized and contrary to the established auction pattern, leading to the annulment of the auction results. Consequently, the Court upheld the High Court's directive for a re-auction within fifteen days, emphasizing the necessity of compliance with procedural rules.