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1998 Supreme(AP) 639

Andhra Pradesh High Court
Judges : G.BIKSHAPATHY
A.P.OIL MILLERS ASSOCIATION LIMITED, HYDERABAD - Appellant
Versus
Commissioner of Civil Supplies and consumer Affairs, Hyderabad - Respondent
Decided On : 09-10-98

Headnote:AP SCHEDULED COMMODITIES DEALERS (Licensing and Distribution) Order, 1982 - -Cl3 - Pulses, Edible Oil seeds and Edible Oils (Storage Control) Order, 1977, Cl3 - Pulses and Edible Oil seeds and Edible oils (Storage Control) Amendment Order, 1997 - Words “Edible Oil seeds” and “Edible Oils” wherever occurring in Control Order in 1997 were deleted - State Order is always subject to Central Order - Central Order will prevail over State Order in case any conflict between these two orders - Amendment order of 1997 completely deletes the item Edible Oilseeds and Edible Oils from purview of 1997, order - All the State Governments were consulted before issuing 1997 Amendment - When once the edible oil seeds and edible oils are deleted from Central Storage Order, 1997, same also is liable to be carriedout by the State - Commodities “Edible Oil Seeds and Edible Oils” whenever occurring in APSCD (L&D) Order, 1982 stand deleted - Not only restrictions on stock limits but also licensing of dealer and all other requirements stand dispensed with - Dealers in Edible Oil Seeds and Edible Oils are not required to obtain licence under APSCD (L&D) Order, 1982

G. BIKSHAPATHY, J.

( 1 ) THE question that arises for consideration is whether the dealers in edible oil seeds or edible oils are still required to obtain licence under the A. P, scheduled Commodities Dealers (Licensing and Distribution) Order, 1982 in view of amendment deleting the edible oil seeds and edible oils from the purview of Pulses, Edible Oil Seeds and Edible Oils (Storage Control) Order, 1977.

( 2 ) IN both the Writ Petitions common questions of law arise for consideration. Therefore, they are disposed of by a common judgment.

( 3 ) THE petitioner is an Oil Millers Association and the members of the association are the manufacturers and dealers of edible oils. The edible oil seeds as well as edible oils are declared as essential commodities under section 2 (a) (v) of the Essential Commodities Act (for short the Act ) If the central Government is of the opinion that it is necessary or expedient so to do for maintaining or increasing supply of any essential commodity or for securing their equitable distribution and available at fair price or for securing any essential commodities for the Defence of India or for the efficient conduct of the Military operations, it may issue any order prohibiting or regulating the production, supply and production thereof in trade and commerce therein. Under Section 3 of the Act the Central Government is empowered to make the order. Under sub-section (2) of Section 3, the Central Government may also make an order for regulating by licences, permits or otherwise the storage, transport, distribution, disposal, acquisition, use or consumption of any of the essential commodities. Under Section 5 of the Act, the Central Government by a notification delegate any power exercisable by it to the State Government on such conditions as it may impose. Thus, it is stated that it is only when the Central Government forms an opinion under Section 3, it may issue an order in terms of the opinion. Under Section 5 also, the State Government can issue the order in consonance with the order of the Central Government.

( 4 ) IN exercise of the power under Section 3, the Central Government issued pulses, Edible Oil Seeds, and Edible Oils (Storage Control) Order, 1977 published in the Gazette of India dated 21-11-1977. As per clause 3 of the said Control Order, no person shall carry on any business as a dealer, or as a purchaser in pulses or in edible oil seeds or edible oil except in accordance with the terms and conditions of the licence granted under the State Order if the stock of pulses or the edible oil seeds or edible oil exceeds the quantities specified therein. The maximum quantity of edible oil is also restricted in clause the Central Government issued notification G. S. R. No. 800, dated 9-6-1978 delegating the power under Section 5 of the Act to the State Government to make Control Orders relating to the food stuffs subject to the conditions laid down therein. Accordingly, the Stategovernment made Control Order known as A. P. Scheduled Commodities Dealers (Licensing and Distribution) Order, 1982 after obtaining the concurrence of the Central Government- Clause 3 of the A. P. Control Order obligates a person to obtain a licence and observe certain other conditions. Therefore, it is incumbent on the part of the dealer to obtain a licence in view of the orders issued by the Central Government. It is the case of the petitioner that they have obtained licence under the relevant Control orders in edible oil seeds and edible oils and have been following the conditions of licence from time to time. But, however, the Central Government has issued the Pulses Edible Oil Seeds and Edible Oils (Storage Control) amendment Order, 1997 in exercise of the powers conferred in Section 3 of the Act, in order to amend the Central Control Order, 1977. By the said amendment, the words edible oil seeds and edible oils wherever occurring in Control Order, 1977 were deleted. The effect of the said amendment is that under t




















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