ONKARMAL RADHAKISHAN Vs. STATE OF MADHYA PRADESH

JUDGEMENT

(1.) By this writ petition under Article 226 of the Constitution of India, the petitioner, which is a partnership firm, challenges the levy and collection of fee by the Krishi Upaj Mandi Samiti, Rajnandgaon (respondent No. 2) on the groundnut oil imported by the petitioner within the market area of that. Krishi Upai Mandi.

(2.) The petitioner trades in pulses, oil-seeds and oil in Rajnandgaon within the market area of Krishi Upai Mandi, Rajnandgaon. It imported and sold ground nut oil within the market area of the Krishi Upaj Mandi. Consequently, respondent No. 2 levied fee under Section 20 of the Madhya Pradesh Agricultural Produce Markets Act, 1960, on the groundnut oil brought and sold by the petitioner within the market area for the period between 1-4-1971 to 31 12-1971. The petitioner objected to this levy of fee. The objection was rejected by respondent No. 2, vide its order, dated 26-12-1972. Thereupon, respondent No. 3, who is In-charge Recoveries of Krishi Upaj Mandi Samiti, Rajnandgaon, served a demand notice under Section 146 of the M. P. Land Revenue Code, 1959, requiring the petitioner to pay the amount of fee. This demand notice is Annexure IV. The petitioner claims before us that this levy of Mandi-fee on groundnut oil and its consequent recovery being illegal and without jurisdiction are liable to be quashed.

(3.) The main contention advanced by Shri N. Section Kale, learned counsel for the petitioner, is that groundnut oil is not an agricultural produce as defined in Section 2 (1) (i) of the Madhya Pradesh Agricultural Produce Markets Act, 1960. It was submitted by the learned counsel that various items under Category IV of the Schedule annexed to the Act do not indicate that groundnut oil is also included in that category. Elaborating his argument, learned counsel proceeded to say that the heading "Oil-seeds and edible oils" assigned to Category IV of the Schedule is only for the sake of convenience of grouping together various items. The produce sought to be brought within the term 'agricultural produce' are only those which are enumerated in various items under Category IV. It was, therefore, argued that groundnut oil as such is not an agricultural produce as defined in Section 2 (1) (i) of the Act and no Mandi-fee could, therefore, be levied on the sale of groundnut oil within the market area of Krishi Upaj Mandi, Rajnandgaon.