SIEL LIMITED Vs. UNION OF INDIA

JUDGEMENT

(1.) Leave granted.

(2.) The appellants in these appeals have challenged the constitutional validity of the Uttar Pradesh Sheera Niyantran Adhiniyam 1964 being U. P. Act 24 of 1964 which received the assent of the President on 17th October, 1964. The occasion for this challenge appears to have arisen on account of orders passed by the Controller of Molasses/Excise Commissioner, U. P. under Section 8 of the said Act read with Rule 22, and dated 13th of August, 1993, 22nd of October, 1993 and 1st of January, 1994.

(3.) Under Section 8 of the said Act the Controller may by order require the occupier of any sugar factory to sell and supply in the prescribed manner such quantity of molasses to such person, as may be specified in the order, and the occupier shall, notwithstanding any contract, comply with the order. Under Section 10 the occupier of a sugar factory shall sell molasses in respect of which an order under Section 8 has been made at a price not exceeding that prescribed in the Schedule. Under sub-section (2) of Section 10 the State Government may, by notification in the Gazette, amend the Schedule if such amendment is necessitated by reason of any variation in the cost of storage of molasses or loading or shunting charges of molasses in tank wagons or in order to bring the prices of molasses in conformity with the prices, if any, fixed by the Government of India.