IN THE HIGH COURT OF JUDICATURE AT BOMBAY BENCH AT NAGPUR
R.K. DESHPANDE, M.G. GIRATKAR, JJ.
Maharashtra Hybrid Seeds Co. (Pvt.) Ltd. - Petitioner
Versus
The State of Maharashtra, & Others - Respondents
Writ Petition No. 8157 of 2017
Decided On : 21-02-2018
Companies Act, 1956 - Seeds Act, 1966 - Seeds Rules, 1968 - Seeds (Control) Order, 1983 - Maharashtra Cotton Seeds (Regulation of Supply Distribution Sale and Fixation of Sale Price) Act, 2009 - Maharashtra Cotton Seeds (Regulation of Supply Distribution Sale and Fixation of Sale Price) Rules, 2010 - Prominent and conspicuous - Certificate of Registration - Processing of cotton and non-cotton seeds of different varieties is done by petitioner-Company in its processing unit located at District - All such processed seeds are then stored in storage attached to it - Activity of weighment packaging and labeling of all such seeds in different weighments is carried out in this storage - Packed and labeled seeds are thereafter forwarded to different storages located at various places like through which they are put in the network of marketing - Business of selling keeping for sale offering to sell bartering or otherwise supplying any seed of any notified kind or variety other than cotton seeds is regulated - Held, Respondents in their reply that petitioner-Company has committed any offence under Seeds Act or has violated restriction on export or import of seeds of notified kinds or varieties as contemplated by Section 17 of Seeds Act - In such a situation in our view power of seizure under Section 14 of Seeds Act was not available to respondents to seal storage of seeds - Even if it was so action on part of respondents is in breach of procedure to be followed as prescribed under Section 15 of said Act - Case of misbranding is covered by Section 12 of Maharashtra Cotton Seeds (Regulation of Supply Distribution Sale and Fixation of Sale Price) Act 2009 for which penalty is prescribed under Section 13 therein - However we do not find any power to search and seize such cotton seeds as contained in said Act or Rules framed there under - Writ petition is allowed
R.K. Deshpande, J.
1. The petitioner is a Company registered under the provisions of the Companies Act, 1956 and is engaged in the business of research, production, processing, marketing and sale of variety of hybrid seeds. The respondent Nos.1 to 3 are the authorities under the State Government exercising the control over the quality and quantity of agricultural inputs, processing, marketing and sale of seeds undertaken by the Companies, like the petitioner. The respondents perform their powers, functions and duties, as are conferred upon them, under the provisions of the Seeds Act, 1966, the Seeds Rules, 1968, the Seeds (Control) Order, 1983, the Maharashtra Cotton Seeds (Regulation of Supply, Distribution, Sale and Fixation of Sale Price) Act, 2009 and the Maharashtra Cotton Seeds (Regulation of Supply, Distribution, Sale and Fixation of Sale Price) Rules, 2010.
2. The processing of cotton and non-cotton seeds of different varieties is done by the petitioner-Company in its processing unit located at Dhanora, Tehsil Nandura, District Buldana. All such processed seeds are then stored in the storage attached to it. The activity of weighment, packaging and labeling of all such seeds in different weighments is carried out in this storage. The packed and labeled seeds are thereafter forwarded to different storages located at various places, like Pune, Jalna and Akola, through which they are put in the network of marketing.
3. The business of selling, keeping for sale, offering to sell, bartering or otherwise supplying any seed of any notified kind or variety other than cotton seeds, is regulated by Section 7 of the Seeds Act, 1966, and it is controlled by the Seeds (Control) Order, 1983. As per Clause 3 of the Seeds (Control) Order, no person can carry on the business of selling, exporting or importing seeds at any place except under and in accordance with the terms and conditions of licence granted to him in Form B under Clause 5 of the said Order. Form B under the Seeds (Control) Order is reproduced below :
“FORM B
(See clause 5)
LICENSE TO CARRY ON THE BUSINESS OF A DEALER IN SEEDS
License No. …...........
Date …................
Subject to the provisions of the Seeds (Control) Order, 1983 and to the terms and conditions of this license Shri/M/s. ….................... is hereby granted license to sell, export, import and store for the said purposes of seeds.
2. The licensee shall carry on the aforesaid business at ….................... (Place for storage and place for sale) …........................ (Tehsil or District) …...................
Date …..................
Seal:
Licensing Authority
State of …................
Terms and conditions of license:
(i) The license shall be displayed at a prominent and conspicuous place in a part of the business premises open to the public.
(ii) The holder of the license shall comply with the provisions of the Seeds (Control) Order, 1983 and the notifications issued thereunder and for the time being in force.
(iii) This license comes into force with immediate effect and shall be valid upto …................... unless previously cancelled or suspended.
(iv) The holder of the license shall, from time to time, report to the licensing authority any change in the premises where he carried on his business of sale, export, import or storage for the said purposes seeds.
(v) The licensee shall given every facility to the licensing authority or any other Officer acting under his authority for the purpose of inspecting his stock in any shop, depot or godown or other place/places used by him for the purpose of storage, sale or export of seeds.”
Clause 2(c) of the Order defines “dealer” means a person carrying on the business of selling, exporting or importing seeds, and includes an agent of a dealer. The authority to issue licence in Form B is the Director of Agriculture, Pune.
4. So far as the cotton seeds are concerned, the same are regulated by the Maharashtra Cotton Seeds (Regulation of Supply, Distribution, Sale
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