State Of U.P. And Others vs Daulat Ram Gupta

The Supreme Court considered whether the State government or the Licensing Authority could direct the refusal of license renewals for petty dealers under the U.P. High Speed Diesel Oil and Light Diesel Oil (Maintenance of Supplies and Distribution) Order, 1981. The primary issue was whether a proximity restriction (a five-kilometer radius from government retail outlets) could be legally imposed as a ground for refusal. The court examined the scope of the Licensing Authority's powers under the Statutory Order regarding the maintenance of supply and distribution.