The main legal point established in the judgment is that the agreement between the plaintiff and defendant was subject to the Sugarcane Control Order and the 5-A price fixed by the Central Government, and the plaintiff was entitled to the difference amount as per the 5-A price, leading to the court's decision in favor of the plaintiff.

This suit has been filed by the plaintiff for the recovery of a sum of Rs.34,42,490.95 from the defendant together with interest at the rate of 12% per annum from the date of suit till the date of realisation and for costs.

2. The averments made in the plaint filed by the plaintiff in brief are as follows:- The plaintiff is a Co-operative Sugar Mills Ltd., registered under the Tamil Nadu Cooperative Societies Act. In the year 1995-96, as the yield of Sugarcane was excessive and surplus, the Commissioner of Sugar took a decision to divert the surplus sugarcane available from Public Sector Co-operative Sugar Mills, to the private Sugar Mills with a view to avoid loss by the sugarcane growers. The plaintiff-mill also directed to have a talk with the sugarcane receiving mills in excess and to have a discussion, regarding the sending of excess sugarcane and receiving them for crushing. The plaintiff and the defendant agreed to have the price at the rate of Rs.485/-per metric tonne on tentative basis, which is subject to revision by the Government under the Sugarcane Control Order 1966. Any provision between parties not to implement the order of the Government, under clause 5-A of the aforesaid Sugarcane Control Order 1966, is against law and any such clause of agreement not to implement the revised rate, which may be fixed by the Government under the said order is not valid as the same is forbidden by law. The revised price under the said order is to be implemented by the parties notwithstanding the fact that there is a clause in the agreement that no further revision will be made against the price also fixed by the parties. The payment of the sugarcane price has to be made within 14 days from the date of supply, failing which the plaintiff is entitled to the market rate of interest at the rate not more than 19.5% per annum on the outstanding amount. The plaintiff is entitled to the difference in accordance with Sl.No.20 in respect of S.V.Sugar Mills Ltd., as per the proceedings dated 21.03.1998 on the file of the Sugar Commissioner and Cane Commissioner of Tamil Nadu Government. The demand was made by the plaintiff under the mistaken ground that the rate applicable relates to the plaintiffs mill under Sl.No.9 of the proceedings dated 21.03.1998 of the Sugar Commissioner and Cane Commissioner of Tamil Nadu. As per the said proceedings, the defendant is liable to pay the difference of the cane price at the rate of Rs.36.29 per metric tonne. The defendant is liable to pay a sum of Rs.7,49,040.30 with interest as set out in the statement of accounts filed alongwith the plaint. Accordingly, the sugarcane was diverted by the plaintiff-mill to the defendant-mill at the rate of 25 loads per day for the period commencing from 12.06.1996 to 05.09.1996 to pay a total weight of 20640.406 metric tonnes. The value of the said cane diverted was at Rs.100.11 lakhs at Rs.485/-per metric tonne, which was fixed tentatively. As the said amount was not paid by the defendant-mill the plaintiff, made request from time to time for the said payment. Therefore, the defendant is liable to pay the interest for the said amount also. The Director of Sugars in his letter dated 05.02.1997 had intimated that the cane price at State Advised Price applicable to the plaintiff-mill was Rs.632.50 per metric tonne. Accordingly, the plaintiff had sent a letter to the defendant on 26.02.1997 demanding them to pay the difference amount of Rs.65,55,056.80 for the total quantity of 20640.406 per metric tonne of cane diverted to the defendant mill for the said season 1995-96. The total value at Rs.632.50 per metric tonne worked out to Rs.1,30,55,0580. Out of the said amount a sum of Rs.65,00,000 was already paid as on 26.02.1997 and the balance amount of Rs.65,55,056.80 is liable to be paid by the defendant. Accordingly, a notice was sent by the administrator of the plaintiff-mill on 26.02.1997 demanding the said amount. However, the defendant requested the plainti