SHERVANI SUGAR SYNDICATE LIMITED Vs. UNION OF INDIA

JUDGEMENT

(1.) Levy-price of sugar in respect of petitioner's industry is in question in this writ petition, which is directed against Orders dated 27.01.1983 (Exhibit 'C' ) and 10.11.1981 (Exhibit 'B' ) whereby and whereunder Neoli Sugar Factory belonging to the petitioner has been placed in the Fifth Schedule, treating it to be one of the factories, which would not come within the Sixth Schedule of the order dated 27.1.1983 (Annexure - C).

(2.) The basic fact of the matter is not in dispute. Neoli Sugar Factory was allegedly established before 1955. In terms of the provisions of the Essential Commodities Act, 1955 ( hereinafter for the sake of brevity referred to as 'the said Act' ) Sugar Control Order was made in terms whereof prices of levy sugar had been fixed. In terms of the control order framed under the said Act, the sugar manufacturers are required to sell a percentage of their production as "Levy sugar" at the prices fixed by the respondents and allowing them to sell the remaining production as "Freesale" sugar at the prevailing market price.

(3.) According to the petitioner, the sugar required to be sold as levy sugar manufactured in the petitioners Neoli Sugar Factory, qualified for a higher levy price in terms of the aforementioned criteria. However, it was denied the said benefit by the respondents herein. It is contended :-