Rajan Roy, J. - (1.) The petitioner, a Sugar Mill, incorporated as a Company has filed this writ petition seeking the following reliefs: "i.) Issue a writ, order or direction in the nature of Mandamus directing the respondents to allow the Petitioner to include the molasses purchased from outside, for captive consumption in the distillery owned by the Petitioner in Molasses year 2015-16; ii) Issue a writ, order or direction in the nature of mandamus directing the respondents to allow the Petitioner to transfer 64,800 molasses as is needed by it for its captive consumption from its sugar mill to its distillery; iii) Issue a writ of certiorari setting aside the Clause 2(i)(iii) of Molasses Policy, 2016-17 notified on 13.07.17 (Annexure No.1) to the extent that it restricts the petitioner from captive consumption (own produced) of molasses Year 2015-16; iv) Issue any other appropriate writ, order or direction as the Hon'ble Court may deem just, proper and necessary in the circumstances of the case; and v) Award the costs of the petition, in favour of the Petitioner. v-a) Issue a writ, order or direction in the nature of Certiorari quashing the impugned show cause notice dated 07-11-2017 passed by the respondent No.2 and Government Order dated 18-11-2017 as well as minutes of meeting held by Deviation Committee on 08-11-2017, contained as Annexure No.12, Annexure No.14 and Annexure No.13 to the writ petition. v-b) Issue a writ, order or direction in the nature of mandamus commanding the respondents not to take coercive measures against the petitioner in pursuance of the show-cause notice dated 07-11-2017 passed by respondent No.2 and Government Order dated 18-11-2017 as well as minutes of meeting held by Deviation Committee on 08-11-2017."
(2.) The State Legislature has promulgated the Uttar Pradesh Sheera Niyantran Adhiniyam 1964 (hereinafter referred as Act 1964) to provide in public interest for the control of storage, gradation and price of molasses produced by Sugar Factories in Uttar Pradesh and the regulation of supply and distribution thereof. Vires of the said Act has been upheld by the Supreme Court in the case of S.I.E.L. India Ltd. & ors. V. Union of India & ors., 1998 AIR(SC) 3076. The State Government has made the U.P. Molasses Control Rules 1974 (hereinafter referred as 'Rules 1974'). As per Rule 2(d) of the Rules 1974 'Molasses Year' means 'the period beginning on the 1st day of November and ending on the 31st day of October in the year next following'. Every year the State Government issues its Molasses (Sheera) Policy.
(3.) In the instant case we are concerned with the policy dated 13.7.2017 pertaining to molasses year 2016-17. As per the aforesaid policy, 20% of the molasses produced by a Sugar Mill are to be reserved for the purposes of sale to manufacturers of country liquor. The purpose behind such a reservation as noticed by the Supreme Court in the case of State of U.P. & ors. v. Mawana Sugar Mills Ltd., Civil Appeal No.60610 of 20106, decided on 18.8.2017, was to ensure proper availability of molasses for the country liquor distilleries each month so that the revenue earned by the State from country liquor was not adversely affected and the minimum guarantee quantity of country liquor for the relevant year, as also the revenue generated therefrom, is also not adversely affected. Such a supply of molasses was also essential to make available to the public, safe and potable country-liquor so as to guard against consumption of spurious stuff manufactured illegally and to prevent fatal accidents and injuries to public health, as was emphasized by the State in the said case. Thus, the object was not only to generate revenue, but also the health and safety of the public. In the absence of such reservation of molasses, the Sugar-Mills would hold the stock in order to earn high profit at the end of the year or to convert it into pre-sale stock which would dislocate the supply to the country-liquor manufacturing distilleries thereby adversely affecting the above-mentioned objectives.;