VIKAS ENTERPRISES Vs. STATE OF U P

JUDGEMENT

(1.) The petitioners are both engaged in the business of manufacturing and selling of exercise books at Hapur in the district of Ghaziabad. They are aggrieved by the refusal of the District Magistrate, Gaziabad to allot what has been described as "concessional rate cultural variety of white printing paper" used for the purpose of fabricating exercise books.

(2.) 'Paper' is an essential commodity as defined in Section 2 (vii) of the Essential Commodities Act, 1955, under the scheme of allocation of paper to various States, the Controller (Paper), Government of India makes Statewise allocation of paper of the aforesaid variety as per requirements of various States. The State Government in its turn thereafter in consultation with the Ministry of Education and other representative bodies comprising exercise books manufacturers then makes the Districtwise allocation of the aforesaid paper. The paper allocated by the State Government to a particular district is hereafter allotted by the District Magistrate to various exercise books manufacturers of the district. The allotment is made in consultation with a committee consisting of the District Magistrate as its President, the District Inspector of Schools, the District Supply Officer, the District Industries Officer and one representative each of the manufacturers of the district and the President of district unit of U. P. Exercise Books Manufacturers Association,

(3.) With a view to securing equitable distribution of exercise books and their availability at fair prices, the State Government made an order, called the Uttar Pradesh Exercise Books Order, 1977. The said Order came into force on 9th Sept., 1977. "Exercise book" has been defined under this Order as "any exercise book or examination answering book fabricated with the concessional rate cultural variety of white printing paper made available by the Central Government direct or through the State Government and mentioned in the Schedule." 'Dealer' has been defined as a person engaged in the business of manufacture, sale or storage for sale, of any exercise books, whether by wholesale (whether as manufacturer, supplier or distributor) or by retail, and includes his representative or agent. Under Clause 4 (1) of the Order it is provided that no dealer to whom concessional rate cultural variety of white printing paper is allotted shall use such paper for any purpose other than fabrication of exercise books, sell or distribute nor sell such exercise books in contravention of any directions such as may be issued from time to time by the State Government or the Prescribed Authority in this behalf. It further provides under Clause (2) that no dealer shall manufacture, sell or distribute for sale any exercise book in contravention of such directions as may be given from time to time by the State Government or the Prescribed Authority in this behalf.