Hon’ble Yatindra Singh, J.—These cases revolve around constitutionality, interpretation and applicability of the Explanation to Section 17 (iii) of the Uttar Pradesh Krishi Utpadan Mandi Adhiniyam, 1964 (the Act) and Rule 50-A of the Uttar Pradesh Krishi Utpadan Mandi Niyamavali, 1965 (the Rules). These are quoted in Appendix-1 to this judgment.

THE FACTS

2. ITC Limited (ITC) is a company registered under the Companies Act. Its registered office is at 37, JL Nehru Road, Kolkata (West Bengal). It initially started business with making cigarettes but at present has diversified itself into many other businesses. However, here, we are concerned with its business relating to cigarettes only.

3. In order to make cigarettes, raw tobacco is first converted into cut tobacco thereafter cigarettes are made from the cut tobacco. According to ITC.

The raw tobacco is purchased in public auction from auction platform maintained by Tobacco Board of India in the State of Andhra Pradesh and Karnataka.

It has two thrashing units : one at Anaparti (Andhra Pradesh) and the other at Chirala (Andhra Pradesh).

The raw tobacco is brought to the thrashing units and converted into cubical form. This i