UNION OF INDIA Vs. SARASWATHI INDUSTRIAL SYNDICATE LIMITED

JUDGEMENT

(1.) This appeal is directed against the judgment and order dated 29th January, 2007 passed by the learned Single Judge whereby the writ petition filed by the respondent herein was allowed. It was inter alia held that price determination under Section 3(3C) of the Essential Commodities Act, 1955 is inter linked and will include an exercise under clause 5A of the Sugarcane (Control) Order, 1966.

(2.) While allowing the writ petition, the learned Single Judge held that the controversy was covered by decisions of the Supreme Court in Malaprabha Cooperative Sugar Factory Limited v. Union of India reported in (1994) 1 SCC 648, Malaprabha Cooperative Sugar Factory Limited v. Union of India reported in (1997) 10 SCC 216 as well as Bharat Sugar Mills Ltd. and Another v. Union of India and Ors. decided on 21st April, 1998 T.C. (Civil) Nos.15"40 of 1993 and the said decisions were applicable for all years other than 1982-83.

(3.) This issue was also considered by the Division Bench in the case of Hari Nagar Sugar Mills Limited v. Union of India in RA No.196/2005 in Writ Petition (Civil) No.2232/1984 disposed of on 19th October, 2006. After examining the controversy in detail, in view of the ratio laid down by the aforesaid two decisions in Malaprabha Cooperative Sugar Factory Limited cases (supra) as well as Bharat Sugar Mills Ltd. case (supra) it was observed that the said decisions would govern and cover all other years, except for the year 1982-83. For the year 1982-83 judgment in M/s Modi Industries Ltd. v. Union of India reported in 1999 (9) SCC 245 is to the contrary and will apply. Accordingly, the review applications were dismissed holding that both Malaprabha I and Malaprabha II leave no manner of doubt that clause 5A of the Order is an integral part and directly connected with Section 3(3C) of the Essential Commodities Act.