BIHAR SUGAR MILLS ASSOCIATION Vs. UOI

JUDGEMENT

(1.) THIS appeal is preferred against the order of the learned Single Judge dated 08.05.2003 in W.P.(C) No. 2638/2002.

(2.) AGGRIEVED by the levy sugar price fixed for the sugar season 1974 -75 vide notification dated 13.04.1999, the appellants/petitioners filed W.P.(C) No. 2638/2002 with a prayer to quash the said notification as well as the decision of the Government of India, Department of Food and Public Distribution vide letter dated 19.12.2001 thereby rejecting the request of the petitioner No. 1 to revise the levy sugar price for the sugar season 1974 -75. The petitioners also sought a direction to the Government of India to fix the levy sugar price for the sugar season 1974 -75 by taking into account the loss caused to the producers on account of the lower interim price dated 28.11.1974 so as to ensure that the producers secure the price in accordance with Section 3(3C) of the Essential Commodities Act, 1955 (for short 'EC Act') for the entire production of the sugar in the year 1974 -75. The said writ petition was dismissed by the learned Single Judge by the order under appeal. Hence, the present appeal.

(3.) IN exercise of the powers conferred by Section 3(3C) of the Essential Commodities Act, 1955, the Government of India issued an Order called the Sugar (Price Determination for 1974 -75 Production) Order, 1974 vide notification dated 26.11.1974 thereby determining and notifying the prices of the sugar payable to the sugar factories in respect of sugar produced by them during 1974 -75. The validity of the said Order along with Orders for the years 1975 -76 to 1979 -80 was decided by the Supreme Court by judgment dated 22.09.1993 in the case titled Shri Malaprabha Cooperative Sugar Factory Ltd., etc. v. Union of India & Anr.; : 1994 1 SCC 648 (hereinafter referred to as 'Malaprabha - I'). The entire batch of cases was disposed of by the Supreme Court directing the Government of India to amend the Notifications taking into account the liability of the manufacturers under Clause 5 -A of the Sugarcane (Control) Order, 1966 as regards cane price as well as the factors mentioned in Section 3(3C) of the EC Act, 1955. In pursuance thereof, Sugar (Price Determination for 1974 -75 Production) Amendment Order, 1975 was issued by the Government of India by notification dated 22.02.1995 amending the earlier order and re -fixing the levy sugar prices. The said Notification was again challenged by the sugar factories by filing Interlocutory Applications being I.A. Nos. 5 -6/1995 in C.A. Nos. 122 -123/1981 in the Supreme Court. By order dated 28.01.1997 (hereinafter referred to as Malprabha - II) (1997 10 SCC 216) the said applications were disposed of directing a fresh notification to be issued after taking into consideration the payment promised to be made to the cane growers under Clause 5 -A of the Sugarcane Control Order, 1966.