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1984 Supreme(AP) 54

Andhra Pradesh High Court
Judges : K.MADHAVA REDDY, SARDAR ALI KHAN
Agricultural Market Committee, Anantapur - Appellant
Versus
Kulluru Subbi Reddy - Respondent
W.A. Nos. 1219 & 1220/83
Decided On : 02-08-84
Advocates Appeared :
Mr. S. Venkateswara Rao, Mr. K. Venkataramayya & Mr. D.V. Reddi Panthulu

Headnote:AP (Agricultural Produce and Livestock) Markets Act, 1966, Section 7 (6) and GO Ms No 719 dt 27-12-79 - Failure of Market Committee to provide facilities in market yard as specified in GO Groweres can not compelled to shift to market yard - Cannnot be prosecuted - Licences cannot be cancelled

       HELD : When the amount is colleced by the market committee by way of fee they are under a statutory duty to expend if for providing facilities in the market yard Any fee can be justified only on the ground of Quid Pro Quo After the fee collected, facilities cannot be withheld The Committee is under an obligation to provide the same before requiring the traders Commission Agents and growers to shift to the new market yard While there is an obligation to pay the fee under the Act, there is a corresponding obligation upon the Market Committee to expend the fee so collected for providing at least the minimum facilities envisaged by the GO

       Hence it is held that the market committee in the instant case, has not provided the minimum facilities directed to be provided in paragraph 3 of GO Ms No 719 Dt 27-12 p 1979 and consequently they cannot compel the petitioners to shift to the market yard and arevent them from carrying on the business in the licenced premisises, nor are they entitled to cancel The licences and prosecute the petitioners for not shifting so long as that situation continues

( 1 ) THESE two writ petitions - W. P. No. 10830/83 by the Anantpur District Seeds and Oil Mills Association and W. P. No. 10911/83 by several growers of groundnut and other notified agricultural products within the area of the Andhra Pradesh Agricultural Market Committee - seek a writ of mandamus directing the Anantapur Market Committee "not to enforce the provisions of S. 7 (6) of the Andhra Pradesh (Agricultural Produce and Livestock) Markets Act, 1966 (hereinafter referred to as the Act) till regular and pucca facilities are provided by the Anantapur Market Committee. "

( 2 ) PENDING these Writ Petitions, the petitioners prayed in W. P. M. Ps. 14797/83 and 14904/83 for directing the respondent-Market Committee not to insist or force the growers of several villages to sell their products (groundnut shelled or unshelled) in the market yard at Anantapur and to forbear from enforcing the provisions of S. 7 (6) of the Act till infra structure and all facilities are provided. These petitions were disposed of by our learned brother Waghray, J. by his order dated 15-12-1983 holding that "it will not be just to immediately force the petitioners to a market yard where all facilities have not yet been provided. He directed that the existing practice shall be allowed to be continued for a period of one month from the date of his order. He also observed that the position can be reviewed on a further affidavit being filed by the Market Committee. He further clarified that "the mere fact that the petitioners are allowed to carry on their business as per the existing practice, it does not mean that they should not follow or abide or obey the other provisions of the Act regarding filing of returns and payment of market fee. " Aggrieved by the said order, the Agricultural Market Committee has preferred Writ Appeals 1219 and 1220 of 1983.

( 3 ) WHEN these matters came up for hearing before a Bench of this Court, an Advocate-Commissioner was appointed to inspect the Market Yard at Anantapur and to ascertain whether the facilities in accordance with G. O. Ms. No. 719 dated 27-12-1979 were provided in the Anantapur Market Yard. The Advocate-Commissioner, after inspection of the Market Yard on 9-1-1984 in the presence of the counsel for both the parties submitted a report to this Court on 16-1-1984. Parties have filed their objections to the Commissioners report. As the disposal of the writ appeals required the consideration of contentions raised in the writ petitions also, at the request of the parties, the writ petitions also were heard along with the writ appeals.

( 4 ) THE writ petitioner in W. P. No. 10830/83 is an Association of Commission Agents who holds a licence to do business under S. 7 (1) of the Act. It is their case that the Agricultural Market Committee, Anantapur was constituted under S. 4 (4) of the Act by the Government in G. O. Ms. No. 1548 F and A dated 22-10-1971 declaring the area of the market as the whole of the Anantapur town and the adjoining area. The Market Committee did not have a market yard at that time. Later on, by G. O. Ms. No. 515, F and A, dated 26-5-1980 the Government amended the notification and declared the market yard with boundaries stated therein for the notified market area as detailed therein. An extent of 20 acres was acquired for the location of the market yard. Under another notification i. e. G. O. Ms. No. 175, F and A, dated 13-6-1983 the notified market area of Anantapur Market Committee was extended to an area within a radius of 25 kms. Of the Market Yard. So far, no facilities and no infra structure necessary for effective functioning of a market have been provided. Unless the necessary infra structure is provided and necessary amenities are made available in the Market Yard, it would not be possible for the growers, traders and commission agents to carry on business in that market yard. A circular was issued for construction of shop-cum-godowns and for allotment of the same to any person who w




















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