Vibhu Bakhru, J. - (1.) The petitioners have filed the present petition, inter alia, impugning a Circular dated 04.04.2014 (hereafter "the impugned circular") issued by respondent No.2 (hereafter "IOCL"). The petitioner No.1 is an Association of dealers appointed by IOCL for sale of petroleum products and its members are aggrieved by the impugned circular, inasmuch as, it provides for payment of interest for any shortfall in payments for supply Compressed Natural Gas (CNG) as specified therein. The petitioners contend that the payment terms for CNG supplies is arbitrary and unreasonable, inasmuch as, it provides for payment of interest on shortfall of daily payment even though, the same are received by IOCL in advance.
(2.) It is stated that Indraprashtha Gas Ltd. (hereafter IGL) raises invoices on IOCL every 15 days for the supplies already made. However, in terms of the impugned circular, the members of petitioner no.1 are required to make daily payments, and are also liable to pay penal interest if the payment falls short of such amounts as determined on the basis of average sales. According to the petitioners, IOCL cannot recover interest for such payments.
(3.) In terms of the Standard Dealership Agreement entered into between the members of the petitioner and IOCL, the dealers are required to confine themselves to selling the products of IOCL only at the premises. They are proscribed from carrying on any business from the retail outlets, other than that of sale of products of IOCL.;