LAWS(ALL)-2012-2-442

THE SEKSARIA BISWAN SUGAR FACTORY LTD. BISWAN, A COMP INCORP Vs. THE CHIEF DIRECTOR (SUGAR ) ( PRESCRIBED AUTHORITY), DIR. OF

Decided On February 21, 2012
The Seksaria Biswan Sugar Factory Ltd. Biswan, A Comp Incorp Appellant
V/S
The Chief Director (Sugar ) ( Prescribed Authority), Dir. Of Respondents

JUDGEMENT

(1.) IT has been stated at bar that the controversy involved in this petition is similar to that of W.P. No. 471 (MS) 2012 and is squarely covered by the decision dated 20.1.2012 passed in the said writ petition.

(2.) IT has been stated that due to excessive and arbitrary fixation of State Advised Cane Price along with low sugar realisation, the financial condition of the petitioner's company has deteriorated and has resulted in serious liquidity crunch. The sugar release order dated 31.1.2012 passed by the respondent was inadequate as in the said release order, the petitioner has prayed for release of 5 Lakh quintals of sugar in addition to the normal release, but the opposite parties while passing the release order dated 31.1.2012 has only allowed release of 17085.5 MT of sugar for the entire units of the petitioner's company, which is inadequate.

(3.) IT has also been pointed out that in Civil Appeal No. 7508 of 2005 [West U.P. Sugar Mills Association & others Versus State of Uttar Pradesh and others] along with connected appeals, Hon'ble Apex Court, vide order and judgment dated 17.1.2012, has directed the sugar factories to pay the balance outstanding principal amount to the cane growers or to the co -operative societies according to SAP of the relevant crushing seasons and as such, on account of non -availability of the funds, petitioner is not in a position to pay the outstanding amount to the cane growers. Therefore, petitioner preferred a representation with reference to Section 3 (e) of the Essential Commodities Act, 1955 read with Sugarcane (Control) Order, 1966, praying therein to allow the petitioner to sell 5 lakh quintals of sugar from the current year's production apart from the general sugar release order.