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CA extends interim stay order on CAA directives

by Wasantha Ramanayake

The Court of Appeal (CA) yesterday extended the interim order staying the operation of Directives issued by the Consumer Affairs Authority (CAA) directing LP gas companies to accept LP Gas cylinders of any make for filling or refilling, until, June 3.

The order was a sequel to an application by the petitioner Shell Gas Lanka Ltd. Petitioner sought a Writ of Certiorari quashing the said directions published in the Extraordinary Gazette dated May 2.

Navin Marapana, Counsel for the first and second respondents Consumer Affairs Authority (CAA), its chairman R. I. Wimalasena submitted that the said gazette notification was not ultra vires but lawful interms of the Consumer Affairs Authority Act and therefore the petitioners application should be dismissed.

The Bench comprised Justices N. K. Udalagama and K. Sripavan.

The petitioner company claimed that it owned approximately 1,897,310 domestic and commercial LP gas cylinders and they were the exclusive property of the company and the third respondent similarly owned a contingent of cylinders.

The petitioner stated that fourth respondent another gas company publicly stated that it intended to commence filling gas cylinders belonging to the petitioner and the third respondent. The company stated that on April 30, it obtained three enjoining orders from the Colombo Commercial High Court against the fourth respondent restraining it from dealing with petitioners gas cylinders. The third respondent also filed an action against fourth respondent to protect its rights.

The company alleged that while two matters pending before the Commercial High Court, first respondent authority issued the said directives enabling gas companies to fill/refill cylinders of any make in the Gazette Extraordinary dated May 2, under the Section 10 (1) of the Consumer Affairs Authority Act.

The company further alleged that the said directions would compromise the consumer safety, ultra vires and totally out side the scope of the Section 10 of the said Act. And the directions were gross violations of the lawful ownership of the said gas cylinders.

Kanag Isvaran PC with Chanaka de Silva, Nigel Bartholomeusz and Vijaya Gamage instructed by Sudath Perera Associates appeared for petitioners. Gamini Marapana PC with Navin Marapana instructed by G. G. Arulpragasam appeared for first and second respondents. Romesh de Silva PC appeared for Laugfs Lanka Gas (Pvt) Ltd. S. L. Gunasekera appeared for Mundogas Lanka (Private) Ltd.

The application was put off for June 2.

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