Case Note & Summary
The Supreme Court of India decided an appeal arising from a special leave petition filed by M/s. Attabira Regulated Market Committee against M/s. Ganesh Rice Mills regarding the liability to pay market fee under the Orissa Agricultural Produce Market Act, 1956. The respondent had filed a writ petition before the High Court of Orissa (OJC No. 2337/85) challenging the demand for market fee on paddy purchased from villages Saharatikira and Bheden. The High Court by order dated March 21, 1991, ruled in favour of the respondent, which prompted the appellant Market Committee to approach the Supreme Court. The Supreme Court granted leave and proceeded to hear the appeal. Notice was sent to the respondent on April 14, 1992, but neither acknowledgement nor unserved envelope was received, so notice was deemed served. The sole question before the court was whether Saharatikira and Bheden were within the notified market area of the appellant. The court examined the notification issued under sub-section (1) of Section 4 of the Orissa Agricultural Produce Market Act, 1956 (Orissa Act 3 of 1963). The notification declared the notified market area with annexures. Annexure 'A' stated that the area falling within a radius of 8 kms from the plots specified in Schedule B were within the notified area. Schedule B mentioned that the area comprising Attabira and Bheden Police Stations in the District of Sambalpur were within the notified area. The court found that the villages Saharatikira and Bheden were situated within the 8 kms radius from the aforesaid police stations. Therefore, the villages fell within the notified area. The respondent admittedly was doing purchase of paddy from the notified area. Consequently, the respondent was required to pay market fee under the Act. The court allowed the appeal, set aside the High Court order dated March 21, 1991 in OJC No. 2337/85, and held that the respondent was liable to pay market fee. No costs were awarded. A separate special leave petition, SLP (C) No. 2092 of 1992, was dismissed as withdrawn.
Headnote
A) Agricultural Market Law - Notified Market Area - Inclusion of Villages Within 8 km Radius - Orissa Agricultural Produce Market Act, 1956, Section 4(1) - The dispute concerned whether Saharatikira and Bheden villages were within the notified market area under the notification issued pursuant to Section 4(1) of the Act. The court observed that the notification stated that the area falling within a radius of 8 kms from the plots specified in Schedule B were within the notified area, and Schedule B mentioned Attabira and Bheden Police Stations in Sambalpur district. Since the villages were situated within that 8 km radius and the respondent was purchasing paddy from the notified area, the court held that the villages fell within the notified area and the respondent was liable to pay market fee under the Act. (No paragraph numbers in judgment)
Issue of Consideration
Whether Saharatikira and Bheden are within the notified market area of the appellant under Section 4(1) of the Orissa Agricultural Produce Market Act, 1956.
Final Decision
Appeal allowed; High Court order dated 21.03.1991 in OJC No.2337/85 set aside; respondents liable to pay market fee under Orissa Agricultural Produce Market Act, 1956; no costs; separate SLP(C) No.2092/1992 dismissed as withdrawn.
Law Points
- Villages within 8 km radius of notified market area are within notified area
- purchaser of agricultural produce from notified area liable to pay market fee
- notification under Section 4(1) of Orissa Agricultural Produce Market Act
- 1956 determines notified market area
- service of notice deemed served if no acknowledgement or unserved envelope received
