GWALIOR AGRICULTURE CO Vs. STATE OF MADHYA PRADESH

JUDGEMENT

(1.) THIS is a writ petition by the Gwalior Agriculture Company, Limited, Dabra (hereinafter called the Company) under Articles 226 and 227 of the Constitution of india, challenging the validity of the Madhya Pradesh Sinchai (Jal Kar manyatakaran) Adhiniyam 1964 (Act No. 27 of 1964), (hereinafter called the Act of 1964) for the reasons mentioned in paragraph 10 of the petition, and praying for the issuance of a suitable writ and direction restraining the respondents from recovering the charges and penalty imposed on the petitioner under the aforesaid act of 1964 and for such incidental reliefs as may be found proper.

(2.) THE petitioner is a registered company at Dabra and is engaged in the cultivation of sugar-cane besides other crop. Prior to the merger of the United states of Gwalior, Indore and Malwa (i. e. the erstwhile State of Madhya Bharat)into the new State of Madhya Pradesh, the State of Madhya Bharat had passed the Irrigation Act, Samvat 2007 (Act No. 39 of 1950) (hereinafter called M. B. Act of 1950 ). Section 39 of this Act prescribed a levy for canal water supplied for purposes of irrigation to the occupiers of land, and for this purpose rules were to be framed by the Government, but the erstwhile State of Madhya Bharat had not framed any rules in accordance with the provisions of this Act, but instead, two notifications, viz. M. B. Government, Jan Karya Vibhag Notification No. 1100: 8/irr. /140: 51 dated 10-1-1954 (Ann. A) and Notifn. No. 6942/8/irrig. /566/ 54 dated 29-9-56 (Ann. B) were issued by the Madhya Bharat State Government in the name of Rajpramukh, prescribing the rate of charges for water to be supplied from canal for irrigating sugar-cane crop. The petitioner company had been using the canal water for irrigating their sugarcane-crop, and for that, it was charged the rate meant for Adsali sugar cane crop, viz- at the rate of Rs. 28/2/-per acre, as per the provisions of the notifications issued in the name of Rajpramukh, on 29-91956 (Ann. B ). After the merger of the State of Madhya Bharat into the new State of Madhya Pradesh, the Madhya Pradesh Extension of Laws Act, 1958, was passed and came into force with effect from the 1st January 1959. Section 6 of this Act deals with "repeal and Savings". The 'proviso' under this Section runs as under

(3.) THE respondents, on the other hand, have averred that the Act of 1964 passed by the Madhya Pradesh State Legislature was within their competence, and the assessment and collection of dues at the rates prescribed is proper with effect from 1-4-1954, as the Act was retrospective in its application. It was also alleged that the Adsali variety of sugar-cane cultivation was well-known to the petitioner company, and the assessment made was proper.