VIJAY RICE MILL RUDRAPUR NAINITALS Vs. STATE OF U P
LAWS(ALL)-1997-12-122
HIGH COURT OF ALLAHABAD
Decided on December 19,1997

VIJAY RICE MILL, RUDRAPUR, NAINITAL Appellant
VERSUS
STATE OF UTTAR PRADESH Respondents

JUDGEMENT

S.R. Singh, J. - (1.) In this batch of writ petition filed by the licensed Rice Millers, the main question that surfaces up for consideration by the Court, is as to whether the petitioners are liable, qua the Mandi Samiti, to pay market fee on the transaction of sale of rice to the State Government under the provisions of clause 3 (1) of the U. P. Rice and Paddy (Levy and Regulation of Trade) Order, 1985.
(2.) Petitioners, it is stated, make purchases of paddy for being husked into rice both from inside and outside the market area of Krishi Utpadan Mandl Samities of Rudrapur and Villaspur, but sizeable percentage of entire paddy, it is alleged, is lifted by them from outside the concerned market areas of Rudrapur and Vilaspur, it is stated in the petition that purchases of paddy from outside the market area of Mandi Samities of Rudrapur and Vilaspur take place in those areas and the petitioners pay market fee to the concerned Mandi Samitles on transaction of sale of paddy outside the market area of the aforesaid Mandi Samities and no market fee becomes payable on the rice manufactured out of the paddy purchased from outside the market areas of Rudrapur and Vilaspur. It is their case that the market fee is payable only on one transaction of sale and since they have already paid market fee on the transaction of sale of paddy to the Mandl Samitles from where the paddy was purchased, market fee would not be payable to Mandi Samlties of Rudrapur and Vilaspur on sale of rice husked out of such paddy. According to them, market fee is payable by them only on the sale of rice which is produced out of paddy purchased inside the market areas of Rudrapur and Vilaspur. It is on the strength of these allegations that the petitioners have landed in this Court for the following bottom-line reliefs : (i) to Issue a writ, order or direction in the nature of mandamus directing the Secretary Food and Civil Supplies. Government of U. P. to decide the issue of payment of market fee on levy rice manufactured out of paddy purchased from outside the concerned market area by the petitioners ; (ii) to issue a writ, order or direction in the nature of mandamus directing the respondents to include the market fee on levy rice in the notified prices of rice fixed by respondent No. 1 and such levy rice which has been manufactured out of paddy purchased from outside the market area of respondent Nos. 8 and 9 ; (iii) to issue a writ, order or direction in the nature of mandamus declaring that the levy price for delivery of rice fixed by the State Government in consultation with the Central Government under Section 16 of the U. P. Rice and Paddy (Levy and Regulation of Trade) Order. 1985 in exercise of its power under Section 3 (3)-B of E. C. Act in so far as it does not include the market fee on levy rice wherever It is payable, is discriminatory and violative of Articles 14 and 19 (1) (g) and 300A of the Constitution; and (iv) to issue a writ order or direction in the nature of mandamus directing the respondent Nos. 8 and 9 to suspend recovery of market fee on levy rice manufactured out of paddy purchased by the petitioners from outside the market areas of Rudrapur and Vilaspur.
(3.) We have heard Sri Sunil Ambwani, for the petitioners, learned standing counsel for opposite party Nos. 1 to 7 and Sri B. D. Mandhyan, for opposite parties No. 8 and 9. None has appeared for Food Corporation of India arrayed herein as opposite party No. 10.;


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