DAILY FOODS Vs. UNION OF INDIA

JUDGEMENT

(1.) Milk is an essential commodity within the meaning of Essential Commodities Act, 1955 (for short 'the Act'). The Central Government has the power to regulate production, supply, distribution etc of milk and milk products as provided in Section 3 of the Act The Central Government as provided in Section 5 can also delegate its power to make orders under Section 3 of the Act and direct the powers to be exercised by such officer or authority subordinate to the Central Government or to such State Government or such officer or authority subordinate to a State Government as may be specified in the direction. Section 2(d) provides that 'State Government' in relation to a Union Territory means the Administrator thereof. .In the case of Union Territory of Delhi the Central Government by notification dated 9th June, 1978 delegated its powers under Section 3 of the Act to the State Government. By virtue of that delegation the Administrator of Delhi over a period of time has been issuing various orders for maintaining and increasing the supply of milk for securing its equitable distribution in Union Territory of Delhi.

(2.) On 9th June 1992 the Central Government, in exercise of powers conferred on it by Section 3 of the Act, for maintaining and increasing the supply of liquid milk of the desired quality in the interest of general public and for regulating the production, supply <PG>515</PG> and distribution of milk and milk product brought into force "The Milk and Milk Product Order 1992" (for short 1992 Milk Order'). Paragraph 2(g) of the said Order defines milk products as follows:-

(3.) Paragraph 3 of 1992 Milk Order envisages the constitution of Milk and Milk Product Advisory Board. It provides that the Board shall be constituted soon after the commencement of the order but not later than 180 days from the date of the commencement of the order. The Advisory Board is required to assist, aid and advise the Central Government on any matter concerning the production, manufacture, sale, purchase and distribution of milk and milk product and on matters incidental thereto. Although more than 180 days have expired the said Board has still not been constituted. Paragraph 12 of the 1992 Milk Order provides that the Central Government may, by Notification in the official gazette, appoint or designate any officer of the Government not below the rank of a Joint Secretary to Government of India, to exercise the powers and functions of the Controller under the Order. The Controller shall, subject to the control of the Central Government, be responsible for the general implementation and control of the provisions of the order. Paragraph 12 also states that the Controller shall, without prejudice to any other powers conferred upon him under the Order and the powers of the Central Government under paragraph 13, be responsible for implementing the provisions of the Order and shall take such steps as may benecessary for furtherance of the purposes of the Order. Paragraph 20 of the 1992 Milk Order confers power on the Controller to impose temporary restrictions on production of milk product. Paragraph 20 reads as under: