Law:

Section:

(a) Maxim--- Audi alteram partem"---Principle enshrined in maxim `Audi alteram partem', was to be read in every statute unless requirements of notice had expressly been excluded by statute itself.---[Interpretation of statutes]. (b) Sindh Local Government Ordinance (XII of 1979)--- ----Ss. 45 & 53---Cancellation of contract---Contract for collection of octroi and parking fee duly executed by Authority in favour of petitioner, subsequently was cancelled by Authority without serving any show cause notice to petitioner---Once Authority had entered into a valid contract with petitioner, vested rights were created in favour of petitioner and same could not be taken away by Authority without observance of due formalities of law--­Order cancelling contract passed by Authority without any satisfactory explanation as to how Authority was empowered to cancel a valid contract with petitioner, without serving upon it a show-cause notice was set aside in circumstances. JUDGMENT MAMOON KAZI, J.---The petitioner is aggrieved by the order dated 30-6-1992 issued by the respondent No.1. Briefly stated the facts of the case are that after the expiry of the previous contract for octroi and parking on 30-6-1992, the respondent No.2 advertised for auction of such rights through the newspapers. The auction was fixed on 12-3-1992 in the office of the Town Committee, Guddu when the petitioner deposited Rs.50,000 and Rs.665,000 for the bids for the two auctions 'respectively. The case of the petitioner is that four persons participated in the said auction and the petitioner's bids of Rs.66,5000 and Rs.33,25,000, being the highest bids, were accepted by the respondent No.1. By a letter dated 18-3-1992 the Housing and Town Planning and Local Government Sindh confirmed the petitioner's bid. After confirmation of the bids the petitioner deposited on 14-3-1992 and 28-3-1992 11% of the amount of bid. Thereafter the petitioner was issued a letter to start the work of collection of octroi from mid-night of 30-6-1992. The petitioner was also required to deposit a further amount of Rs.50,000 as the first installment of the contract and the same amount was deposited by the petitioner by cheque…

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