R.V.BHUPAL PRASAD vs STATE OF A.P. .

The Supreme Court held that the appellant's possession of the theatre, despite the expiration of the lease on December 31, 1983, remains lawful until duly ejected, as per the amended A.P. Cinemas (Regulation) Rules, 1970. The Court interpreted Rule 12(B) as not requiring proof of lawful possession for renewal of the license, thus overruling the Full Bench decision in Smt. Y. Anasuya v. Government of A.P. The Court emphasized that the appellant's long settled possession is protected by law, and the renewal of the license should be granted accordingly.