(1.) In this writ application the petitioner, partner of a registered firm, challenges the validity of Sugar (Retention and Sale of recognised Dealers) Order 1979 (the "Retention order"). He also prays that the demand notice (Annexure 3 issued by respondent No. 5, in the purported exercise of power under the Retention Order) should be directed to be cancelled or withdrawn.
(2.) The petitioner carries on business in sugar. He purchases sugar from different Sugar Mills in the State of Bihar and Uttar Pradesh. The sugar so purchased is sold by him in wholesale to various dealers. On 17-12-1979 when the Retention Order came into force the petitioner had a stock of 770 bags. On 22-12-1979 the petitioner was told, in Annexure-3, that 65 percent of sugar in the stock of petitioner and the quantity that had been despatched to him should be sold to the State Government. The rest of the stock could otherwise be sold by the petitioner. As already stated the Retention Order and Annexure-3 are both under challenge in this writ application.
(3.) The Essential Commodities Act, 1955 as the preamble itself indicates, is a law promulgated "in the interest of general public for the control of production, supply and distribution of trade and commerce in certain commodities. "Section 3(1) of the Act confers wide powers. Its states: