- (1.) Though the petitioners question the applicability of the West Bengal Agricultural Produce Marketing (Regulation) Act, 1972 to the import of raw sugar and the sale of refined sugar by the first petitioner company on the exalted constitutional ground of the competence of the State legislature to legislate in an occupied filed in the Concurrent List, a more mundane, common sense ground may be the more substantial plank for founding the challenge.
(2.) The petitioner company claims to be the largest manufacturer and processer of sugar in India and, surprisingly, has a sugar refinery in this State.
(3.) According to the petition, almost the entirety of the refined sugar manufactured at the petitioners' facility in Haldia is sold through e-auction. The odd direct sale or sale through brokers that the petitioner company is a party to is made at its registered office in Belgaum. The petitioner company claims to import all of its principal raw material in the form of raw sugar primarily from Brazil to run its integrated sugar complex which has a capacity of spewing 2500 MT refined sugar per day. The Haldia factory of the petitioner company commenced production in August, 2008 and the petitioners claim that ad hoc fees have been obtained by the respondent authorities from the petitioners in excess of Rs.6.17 crore till the middle of June, 2013 on account of either the raw sugar coming into the Haldia factory or the refined sugar leaving its gates being liable to the levy under the said Act of 1972. The petitioner company has apparently been compelled to obtain a licence under the said Act. The petitioners claim that it was only upon recent demands made by the authorities under the said Act of 1972 to submit returns that the petitioners sought legal advice and have been enlightened that the said Act of 1972 may not be applicable to either the raw sugar imported or the refined sugar sold by the petitioner company and the authorities thereunder have no jurisdiction to levy or collect market fees from the petitioner company or insist on the company submitting any returns in respect thereof.;