JUDGEMENT
RAJENDRA SAXENA, J. -
(1.) THIS writ petition has been filed by the petitioner-Association (shortly Association) having its members, whose names find mention in Schedule 'a' and who carry on the business of various trade articles including sugar in the city of Udaipur. The Association has sought the relief in the nature of mandamus or any other appropriate order or direction prohibiting the Krishi Upaj Mandi Samiti, Udaipur (shortly K. U. M. S.) (respondent No. 2) from in any manner insisting upto its members to confine their trading activity in sugar to the principal Market Yard at Udaipur only and from interfering in their carrying on trade in sugar at any place other than the said Principal Market Yard. The Association has also prayed that the District Supply Officer, Udaipur (respondent No. 3) be prohibited from interfering with the carrying on the business in sugar by its members in the guise of communication like Annexure -2 or otherwise so long as they carry on their business complying with the other restricting legislation enacted under and in accordance with the provisions of Essential Commodities Act, 1954.
(2.) THE facts of this case are not in dispute. THE State Government by its Notification No. F. 10 (2) Agri. / Gr. II/75 dated 21. 4. 1977 issued under Section 4 of the Rajasthan Agricultural Produce Market Act, 1961 (hereinafter referred to, the Act) as declared the market area including the Municipal limits of Udaipur for the purposes of the said Act in respect of or any of the kinds of agricultural produce specified in the Schedule. THE State Government under Section 6 of the Act also established K. U. M. S. , Udaipur for the said market area. This is also not in dispute that vide Government Notification No. S. O. 153 dated 24. 10. 1981 (Annex. R2/2) under Section 5 (2) of the Act, a principal market yard located at the newly constructed Krishi Upaj Mandi in Hiren Magri, Udaipur was established. THE members of the Association have been granted licences by the K. U. M. S. , Udaipur under Rule 69/72 of the Rajasthan Agricultural Produce Market Rules, 1963 (in short, the Rules of 1963) read with Sec. 14 of the Act for carrying on their business as traders in agricultural produce. THE parties are also at common ground that the State Government has notified sugar as an agricultural produce and same has been included in the Schedule appended with the Act.
The case of the Association is that the sugar is a manufactured article and subjected to a big net work of a control, restriction, regulation etc imposed by various legislations, orders, directions, circulars, etc. issued from time to time by the Central Government and/or State Government. Such restrictions include the sequence with respect to manufacture, distribution, sale transportation, possession, storage, price to be charged at different levels' and so on. It is the case of the Association that as per [explanation appended to Rule 64 (1) of the Rules, 1963, it is not at all necessary for its members to carry on their trade and business in respect of sugar and to under take their business activities like purchase or sale of sugar in the Principal Market Yard or Sub-Market Yard only and thereby make sugar pass through the Principal Market Yard. The Association has urged that in view of numerous other restrictions imposed by various Orders and Circulars issued under other controlling legislations like Essential Commodities Act, etc. , it is neither possible nor feasible to carry on the business of sugar in the Principal Market Yard. It has been contended that members of the Association are at present carrying on their business of sugar in Dhan Mandi, Udaipur and that since the carrying on of the business of sugar in Dhan Mandi, Udaipur is not palatable to the K. U. M. S. it has a feeling that its Principal Market Yard is not properly functioning due to insignificant inflow of agricultural produce therein. Therefore, the K. U. M. S. from time to time rather repeatedly and persistently is making efforts to pressurise and coerce various sugar traders to stop trading in Dhan Mandi and to shift their sugar trading activities in the Principal Market Yard despite the fact that in the Principal Market Yard no adequate accommodation and facilities have been provided. The K. U. M. S. has also issued notices dated 7. 1. 1992, 4. 2. 1992 and 28. 5. 1992 (Annex. 1) and directed the members of the Association to shift their trading activities in sugar in the Principal Market Yard and even threatened to cancel their licences issued under the Act. It is alleged that in the same sequence the respondent No. 3 has also issued notices dated 4/5. 7. 1992 (Annex. 2) to the members of the Association to show cause as to why licences issued in their favour under the Rajasthan Trade Articles (Licensing & Controlling) Order, 198) (briefly, the Order of 1980) for carrying on their business in sugar be not cancelled for storing sugar at places other than those mentioned in the licences including the godowns in the Principal Market Yard (Krishi Mandi) and thus violating the condition No. 11 of the said licences. According to the Association, the respondent No. 3 has no role to play in the nutter of provisions of the Act and as such the notices like Annexure-2 issued by him are wholly unauthorised and without jurisdiction. It has been asserted by the Association that as per provisions of Rule 64 read with Its Explanation of the Rules of 1963, it is not at all necessary for its members to bring the sugar in the Principal Market Yard or Sub-Market Yard and to carry on their trading business in sugar in the Principal Market Yard only. More-over it is practically not possible and that at the same it will involve huge expenditure on transportation of the sugar in the Principal Market Yard. The Association has further contended that notices like Annexure-1 issued by the K. U. M. S. will also defeat the objects of the Act and as such those deserve to be quashed. It has also been urged by the Association that the said actions of respondents No. 2& 3 clearly tantamount in restricting its members' liberty to carry on trade and commerce and offend their fundamental right enshrined under Article 19 read with 300-A of the Constitution of India. Hence this writ petition.
This Court vide its ad-interim order dated 24. 8. 1992 directed that the status quo be maintained regarding carrying on the business of selling and purchasing of the sugar by the members of Association as was continuing on that date. The respondents were restrained from insisting the members of Association to shift their trading activities in sugar in the Principal Market Yard, Udaipur. The members of Association were also directed to continue paying the Mandi fees in accordance with the provisions of the Act and the Rules of 1963.
The respondent No. 2 filed an application under Article 226 (3) of the Constitution for vacation of the said interim order and also filed a detailed reply to the writ petition therein. It has been alleged on behalf of the K. U. M. S. that the members of the Association have been granted licences under section 14 of the Act, to carry on their trading activities in notified agricultural produse in the Principal Market Yard, where about 234 shops/godowns have already been constructed and good number of more shops/godowns in the Principal Market Yard and that they have already been allotted shops/godowns and that they are carrying on their trade there. The remaining members of the Association are also occupation of shops/godowns and that they have also been favoured with new shops/godowns in the Principal Market Yard. It is the case of K. U. M. S. that Section 4 (3) of the Act clearly prohibits trading in notified agricultural produce beyond the limits of principal market yard and that rule 64 of the Rules, 1963 specifically lays down that all the notified agricultural produce brought into the market or produced or processed in the market proper shall pass through the Principal Market Yard or Sub-Market Yard and shall not be sold at any other place within the market proper. It has been contended by the K. U. M. S. that the Explana-tion appended to Sub-rule (1) of Rule 64 simply clarifies hat processed agricultural produce shall include all the notified agricultural produce processed in the market, but not a manufactured produce Therefore sugar is not exempted from making it pass through the Principal Market Yard or Sub Market Yard and that it can not be sold at any other place within the market proper. It has been alleged that since the Association has not challenged the vires of the provisions of Section 4 (3) of the Act or Rule 64 of Rules, 1963 its members are not entitled to trade in sugar at any other place except the Principal Market Yard and as such the issuance of notice like Annex. 1 by the K. U. M. S. is perfectly legal, justified and not without Jurisdiction. The K. U. M. S. has also taken certain legal objections that some members of the Association had earlier filed regular Civil Suits in the Civil Court, Udaipur for seeking the relief of perpetual injunction against the respondents in this regard which have been dismissed in default or with drawn with liberty to file fresh Smt. that the Association is not registered one and that no legal or fundamental right of its members has been violated and therefore, this writ petition is not maintainable.
Respondent No. 3 in his return has hotly contested this writ petition and asserted that as per terms and condition No. 11 of the licence issued under the provisions of Order of 1980, the licencee shall, in case when he functions in a regulated market, abide by such instructions relating to his business as are given by the marketing authority having jurisdiction, and that there is another term & condition that the licence shall not carry on the business and store the commodity at a place other than mentioned in the said licence. Respondent No. 3 has further asserted that since the members of th Associa-tion are not carrying on their business of sugar at the places mentioned in the licences issued in their favour and carrying on the same at other places and no intimations regarding change of addresses were given by them, he being the licensing authority is fully competent to initiate action against them for the violation of said conditions and to cancel or refuse to renew their licences Hence notices like Annex. 2 are not without jurisdiction and illegal. Repon-dent No. 3 has contended that under the provisions of the Order of 1980, appeal & revision can be filed by the aggrieved person. Hence the Association has an aternate and efficacious remedy and, therefore, this writ petition is maintainable against him.
(3.) THE Association in its rejoinder has retiterated that the respondent No. 2 has no legal authority to insist upon its members to confine their trading activity in sugar to the Principle Market Yard only and that factum of allotment of shops/godowns in favour of its members and further constructions under taken by the K. U. M. S. as also the services rendered by it are wholly irrelevant consideration for resolving this controversy. THE Association has maintained that sugar being a manufactured produce, is exempted from the rigour of Rule 64 (1) of the Rules, 1963. THE Association has also pointed out that practically in all Krishiupaj Mandis in various districts, of Rajsamand, Bhilwara, Chittorgarh, Ajmer, Nagaur, Churu, Jhunjhunu, Tonk Alwar, Sikar, Pali etc. the traders are trading in sugar out-side the Principal Market Yard and that only in few selected towns and cities the trade in sugar is being carried on in the Principal Market Yard and that also not because of it being the requirement of law, but because the convenience of the traders. For this the Association has submitted a list Annexure-10.
On behalf of the K. U. M. S. (respondent No. 2) an additional affidavit of Shri Sri Narain Bhatnagar, Secretary, K. U. M. S. has been submitted, wherein it has been deposed that after the issuance of the impugned notice like Annexure-1, the traders had started complying with the provisions of the Act strictly and that out of 18 members of the Association mentioned in Schedule 'a', 13 traders had brought the sugar in the Principal Market Yard from 1. 4. 1992 to 30. 8. 1992, that during the said period 25500 bags of sugar were brought in the Principal Market Yard and sold to buyers there and that after the ad-interim order dated 24. 8. 1992 the traders have now stopped bringing sugar in the Principal Market Yard. He has also deposed that K. U. M. S. is one of the best Krishi Upaj Mandi Samiti in the State, where facilities of all kinds like Canteen Building, Bank Building, Guest House, Shops/godowns, about 250 big open spaces, Veterinary dispensary, Krishak Rest House, Dispensary Labour Shed, Ware Housing Godown, State Seeds Corporation, PBX facilities etc. for traders are available.
I have heard the learned counsel for the parties and the learned Dy. Government Advocate at length and perused the relevant record.
;