LAWS(P&H)-1983-11-33

WATAITI RAM MAHABIR PARSHAD Vs. STATE OF PUNJAB

Decided On November 25, 1983
WATAITI RAM MAHABIR PARSHAD Appellant
V/S
STATE OF PUNJAB Respondents

JUDGEMENT

(1.) The constitutional validity of Section 23-A recently inserted in the principal Act by the Punjab Agricultural Produce Markets (Amendment) Act 1981 (Punjab Act No 7 of 1981) is the primary. and indeed the core question in this set of fifteen cases which stand admitted to a hearing by the Division Bench.

(2.) The issues arising herein cannot be well appraised without reference to their somewhat tortuous legal background. Way back in 1961 the Punjab Agricultural Produce Markets Act (hereinafter called the Act) was originally promulgated and Section 23 thereof authorised the Market Committees to levy ad valorem fee on agricultural produce bought or sold by e licensee in the notified Market area at rate not exceeding Rupee 0.50/- paise for every hundred rupees. This scale of tee was retained till 1989 whereafter by Punjab Act No. 25 of 1989 it was raised to Re. 1.00 per hundred and later by Punjab Act No. 17 of 1973 it was further escalated to Rupees 1.50 per hundred end further by Punjab Act No. 13 of 1974 the tee was raised from Rs. 1.50 to Rs. 2.25 per hundred. This enhancement was challenged in this Court in M/s. Hanuman Dall & General Mills, Hissar v. State of Haryana, AIR 197B Punj & Har 1 and the increase to Rs. 2.25 P. per hundred was struck down and the market fee was allowed to be maintained at the original rate of Rs. 1.50 per hundred. The Punjab State Agricultural Marketing Board went in appeal the Supreme Court but meanwhile by Act No. 14 of 1976, the market tee was raised afresh from Rs. 1.50 to Rs. 2.20 per hundred but the Market Committees in Punjab were directed to charge the market fee at the rate of Rs. 2.00 per hundred with effect from the 23rd of August, 1975 only. However, in the year 1978 by Punjab Ordinance No. 2 of 1978 followed by Punjab Act No. 22 of 1978 maximum market fee leviable was again raised from Rs. 2.20 to Rs. 3.00 per hundred. This enhancement was inter alia challenged directly by the dealers of Punjab before their Lordships of the Supreme Court. By their exhaustive judgment in Kewal Krishan Puri v. State of Punjab, AIR 1980 SC 1008 the maximum market fee leviable up to Rupees 2.00 was maintained and any enhancement beyond that was struck down.

(3.) Meanwhile marketing fees at the enhanced rates which had not been sanctified had been collected and many licensees from Punjab filed a number of writ petitions in the Supreme Court for refund of the market tees collected above the authorised amount. These writ petitions were disposed of by their Lordship in M/s. Shiv Shanker Dal Mills v. State of Haryana, AIR 1980 SC 1037, wherein following a similar situation in The Newabganj Sugar Mills Co. Ltd. d: Union of India, AIR 1978 SC 1152, they devised a scheme and issued nine precise guidelines with regard to the amounts claimed. In compliance with these a directions the Registrar of the Punjab and Haryana High Court entertained claims for refund and processed and verified them, Apparently during the pendency of the Proceedings the impugned provisions of the Act were promulgated on the 2nd of March, 1981.