KASHIPUR SUGAR MILLS LTD Vs. STATE OF UTTARAKHAND
HIGH COURT OF UTTARAKHAND (AT: NAINITAL)
Kashipur Sugar Mills Ltd
STATE OF UTTARAKHAND
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(1.) Heard Mr. Anil Kumar Joshi, Counsel for the petitioners and Mr. A. S. Rawat, Additional Advocate General with Mr. Paresh Tripathi, Additional Chief Standing Counsel and Ms. Menka Tripathi, Standing Counsel for the State of Uttarakhand.
(2.) Petitioner in both the writ petitions is Kashipur Sugar Mills Limited. It is a sugar company which is presently in Board for Industrial and Financial Reconstruction (hereinafter referred to as "BIFR") under the purview of Sick Industrial Companies (Special Provisions) Act, 1985 (hereinafter referred to as "SICA").
Meanwhile, the operation, particularly the production of sugar in the factory continues. The company was supplied sugarcane by the farmers and sugarcane cultivators in Uttarakhand. The price of sugarcane has not been given to the these cultivators and consequently under section 17 (4) of the Uttar Pradesh State Sugar Cane (Regulations of Supply and Purchase) Act, 1953 (hereinafter referred to as "1953 Act"), recovery proceedings have been initiated by the Cane Commissioner, Uttarakhand against the petitioner.
Section 17(4) of the 1953 Act reads as under:-
"17. Payment of cane price.-
(1) XXX XXX XXX
(2) XXX XXX XXX
(3) XXX XXX XXX
(4) The Cane Commissioner shall forward to the Collector a certificate under his signature specifying the amount of arrears on account of the price of cane plus interest, if any, due from the occupier and the Collector, in receipt of such certificate, shall proceed to recover from such occupier the amount specified therein as if it were an arrear of land revenue."
(3.) In writ petition no. (M/S) 1839 of 2012 there is a recovery of Rs. 2485.07/- lacs and in writ petition no. (M/S) 1922 of 2012 the recovery is Rs. 255.05/- lacs. The Tehsildar has issued recovery citations in both the writ petitions and the amount has to be recovered as arrears of land revenue. These two recovery citations have been challenged by the petitioner in two writ petitions.;
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