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2017 (5) TMI 1509 - SC - Indian LawsExistence of Raibagh Sahakari Factory - Sugar Factory - whether it is within the radius of 15 km from the Appellant's factory or not? - Clause 6A of the Sugarcane (Control) Amendment Order, 2006 - Restriction on setting up of two sugar factories within the radius of 15 km. - Held that: - Notwithstanding anything contained in Clause 6, no new sugar factory shall be set up within the radius of 15 km of any existing sugar factory or another new sugar factory in a State or two or more States - Clauses 6A to 6C and 6E of the Sugarcane (Control) Order mentions the steps which an entrepreneur has to take in an establishment of a sugar factory. These provisions also mention time limit to implement IEM provisions which are made for extension of time as well. Consequences of non-implementation of the provisions are also laid down - Clause 6A also defines what is an existing sugar factory and what is a new factory. This Clause also stipulates the distance requirement and how the minimum distance of 15 km provided therein shall be determined. Distance requirement as provided for under Clause 6A was not applicable in the instant case. It was also emphasised that M/s. Raibag Sahakari had not crushed sugarcane since 2001-2002 i.e. in the last five crushing seasons prior to June 08, 2006, which was also a relevant consideration to hold that distance requirement was inapplicable in this case - the requirement of distance mentioned in the Amendment Order was inserted keeping in mind the benefit of the existing sugar factories. In a situation like this, when such a factory itself gave 'no objection' certificate, thereby waived the requirement, the bonafides of the Appellant cannot be doubted. Appellant is allowed to continue its factory operation subject to the condition that 14 villages which were originally assigned to Respondent No. 1 would be re-allotted to it after taking these villages from the Appellant - appeal allowed.
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