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1994 (1) TMI 305

JUDGMENT Petitioner seeks to quash Ext. P-7 order of the second respondent whereby ₹ 25,000/- was sanctioned as additional amount pursuant to his claim. Petitioner was an informant in the seizure of smuggled goods by Customs Department. 40000 gold biscuits and 4998 wrist watches were seized on the information supplied by the petitioner. A reward of ₹ 25,000/- was given to the petitioner on 27-1-1969. He made several representations for higher amount not being satisfied with the said reward. To the lawyer notice reply was sent stating that petitioner has no statutory right for the reward and the amount already given is adequate. Petitioner challenged the said order before this Court in O.P. 9014 of 1982. This Court by Ext. P-1 ju .....

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arbitrarily fixed without any nexus to substantial gains in favour of the State as a result of the seizure of the contraband articles and as the second respondent has not complied with the directions in Exts. P-1, P-4 and P-5 judgments Ext. P-7 cannot be sustained. The learned Additional Central Government Standing Counsel pointed out that the discretion in sanctioning the reward was properly utilised by the second respondent and it cannot be subjected to judicial review. It is also contended by him that the information given by the petitioner was not fully correct though ultimately it proved to be beneficial to the State and though petitioner was not really entitled to any reward additional amount of ₹ 25,000/- was sanctioned as per .....

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retionary power of the authority concerned. 6. There are statutes conferring power on administrative authorities to exercise it in their discretion. As observed by Wade in Administrative Law page 349 Sixth Edition the discretionary power conferred upon public authorities is not absolute, even within its apparent boundaries, but is subject to general legal limitations. The limitations are that it should be exercised reasonably and in good faith, that relevant considerations only must be taken into account and that there must be no malversation of any kind or that the decision must not be arbitrary or capricious. When the Parliament confers power on any authority to be used in its discretion, it is obvious that the discretion ought to be .....

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