D.S.M. SUGAR MILLS, MORADABAD, ETC. Vs. STATE OF U.P. AND OTHERS ETC.
LAWS(ALL)-2006-2-342
HIGH COURT OF ALLAHABAD
Decided on February 27,2006

D.S.M. Sugar Mills, Moradabad, Etc. Appellant
VERSUS
State Of U.P. And Others Etc. Respondents

JUDGEMENT

V.K.Shukla, J. - (1.) Civil Misc. Writ Petition No. 2737 of 2006 has been filed by the D.S.M. Sugar Mill, Asmoli, Moradabad questioning the validity of the order dated 15.12.2005 passed by the Appellate Authority while deciding the appeal in exercise of its power vested under Section 15(4) of U.P. Sugar Cane (Regulation of Supply & Purchase) Act 1953 and consequential order dated 03.01.2006 passed by Cane Commissioner.
(2.) Civil Misc. Writ Petition No. 4620 of 2006 has been filed by M/s. Diwan Sugar Limited praying therein quashing of the same order dated 15.12.2005 passed by Appellate Authority and further prayer has been made commanding the respondents to fix the drawl percentage of the petitioner equal to other sugar factories of the area.
(3.) D.S.M. Sugrar Mills, Asmoli, Moradabad is a limited company duly registered under the companies Act 1956 having its registered office at Bijnore Unit which is run by the aforesaid Company is D.S.M. Sugar Mill, Asmoli, Sambhal, District Moradabad. Said factory is engaged in the manufacturing and sale of while crystal sugar with capacity of 7500 TCD (Tones crushing per day). It has been contended by the petitioner D.S.M Sugar Mill that the requirement qua Divan Sugar Mill was wrongly fixed in the earlier years and same has been rectified with effect from season 2004-05 and as per cruising capacity Cane Commissioner, U.P. had allocated 13,628 hectare of cane area having cane production of 73.56 lacs quintals. D.S.M. Sugar Mill has contended that for crushing season 2004-05 estimation was made and based on the said estimation cane area 21807 hectare qua estimation yield of 90.00 lacs quintals was assessed. It has been asserted that in the year 2004-05, petitioner was not allotted over reserved area even equal to the estimated requirement as fixed by Cane Commissioner under Section 12 of the Act. Petitioner has contended that four cane purchase center namely Hakimpur-I, Hakimpur-II, Hakimpur-III and Fetehpur Bisnoai were operated by D.S.M Sugar Mill Ltd. upto 2001 but thereafter same were allotted to Divan Sugar Mill, district Moradabad. On account of non-payment of sugar dues, thereafter on 03.12.2004 these four center were allotted to D.S.M. Sugar Mills. Said allotment has been subject matter of challenge in Civil Misc. Writ Petition No. 52420 of 2004 and on 22.12.2004 directives were issued for re deciding the matter and parties were directed to appear on 29.12.2004 and on 30.12.2004 fresh orders were passed and all these four centers were allocated in favour of M/s D.S.M. sugar mills. The order dated 30.12.2004 was again challenged by M/s Divan Sugar Mills and matter was directed to the agitated before the Appellate Authority not before this Court. D.S.M. Sugar mill submitted its proposal for crushing season 2005-06 and alongwith same appended certificate of crushing capacity 6500 lacs. TDC and demanded sufficient sugar cane according to its crushing capacity. Divan sugar mill has also submitted its proposal of crushing season 2005-06 and annexed certificate of crushing capacity 4200 lacs. TDC and demanded sufficient sugar cane according to its crushing capacity. Thereafter Cane Commissioner passed reservation order dated 15.10.2005 in exercise of its power vested under Section 15 of U.P. Sugar Cane (Regulation of Supply & Purchase) Act 1953 qua D.S.M. sugar and qua Divan Sugar Mill industry. D.S.M. Sugar Limited was not satisfied by the aforesaid reservation order and allotment of centers as such appeal was preferred before the State Government. In appeal Divan mill sugar limited filed objection. Cane Society also submitted its reply supporting the claim of D.S.M sugar mill limited. Thereafter Appellate Authority noticed shortage of sugar cane being faced by D.S.M. Sugar Mill Ltd. however no order of reservation was passed and the matter was remitted back to be decided afresh. Petitioner has contended that thereafter detail representation was moved pointing out shortage of sugar cane and the Cane Commissioner on 03.01.2006 permitted only 15 cane growers to supply sugar cane to the petitioner's company. At this stage D.S.M. sugar mill has approached this Court complaining that they have not been assigned adequate cane and there is shortage of sugar cane and further it has also been complaint that Divan Sugar Mill has been put to advantageous situation and as such both the orders be quashed and further centers namely Hakimpur-I, Hakimpur-II, Hakimpur-III and Fetehpur Bishnoai may be allotted to D.S.M. Sugar Mill Limited.;


Click here to view full judgement.
Copyright © Regent Computronics Pvt.Ltd.