MAHALAKSHMI SUGAR MILLS CO LTD Vs. STATE OF U P
LAWS(ALL)-1998-3-68
HIGH COURT OF ALLAHABAD
Decided on March 06,1998

MAHALAKSHMI SUGAR MILLS CO. LTD. Appellant
VERSUS
STATE OF UTTAR PRADESH Respondents

JUDGEMENT

R.R.K.Trivedi, J. - (1.) In this bunch of writ petitions, petitioners have questioned the legality of the recovery of the amount demanded from them as collection charges at the rate of 10% of the amount sought to be recovered from them as arrears of land revenue in connection with the unpaid price of sugarcane purchased by them. In all these writ petitions question of fact and taw are similar and they can be disposed of by a common judgment. Civil Misc. Writ Petition No. 29612 of 1992 shall be the leading case.
(2.) Facts giving rise to the writ petition are that petitioner has a unit at Iqbalpur, district Hardwar which is engaged in the manufacture and sale of crystal sugar through vacuum pan process. For manufacture of sugar the essential raw-material is sugarcane which is purchased from cane-growers from the areas reserved for it under the U. P. Sugarcane (Regulation of Supply and Purchase) Act, 1953, (hereinafter referred to as 'Act'). As the sugar is an essential commodity, the price of sugar is fixed by the Union of India under clause 3 of Sugarcane Control Order, 1963. The statutory minimum price of sugarcane is also fixed by the Government of India. Thereafter the supply and purchase of sugarcane and the payment of price is regulated by the Act and Rules framed thereunder.
(3.) For crushing Season 1991-92, the State of Uttar Pradesh issued an order dated 14th November, 1991 fixing price of the sugarcane (known as 'State Advised Price') which was higher than the statutory minimum price fixed by the Union of India. State Government also took steps to compel petitioner to pay the aforesaid price of sugarcane, aggrieved by which petitioner through its association known as West U. P. Sugar Mills Association and other manufacturers, filed Civil Misc. Writ Petition No. 37139 of 1992. This writ petition was however, dismissed as withdrawn on 21st January, 1992 without liberty to file fresh writ petition.;


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