RG Act 5

Section 5 · Powers to control production, supply, distribution, etc., of declared goods

(1)

If the State Government is of opinion that it is necessary or expedient so to do for maintaining or increasing supplies of any declared goods or for securing their equitable distribution and availability at fair prices, it may, by order, provide for regulating or prohibiting the production, supply and distribution thereof and trade and commerce therein.

(2)

Without prejudice to the generality of the powers conferred by sub-section (1), an order made thereunder may provide-

(a)

for regulating by licences, permits or otherwise the production or manufacture of any declared goods;

(b)

for bringing under cultivation any waste or arable land, whether appurtenant to a building or not, for the growing thereon of food-crops generally or of specified food-crops, and for otherwise maintaining or increasing the cultivation of food-crops generally, or of specified food crops;

(c)

for controlling the price at which any declared goods may be bought or sold;

(d)

for regulating by licences, permits or otherwise the storage, transport, distribution, disposal, acquisition, use or consumption of, any declared goods;

(e)

for prohibiting the withholding from sale of any declared goods ordinarily kept for sale;

(f)

for requiring any person holding in stock, or engaged in the production, or in the business of buying or selling, of any declared goods,-

(i)to sell the whole or a specified part of the quantity held in stock or produced or received by him, or

(ii)in the case of any such goods which is likely to be produced or received by him, to sell the whole or a specified part of such goods when produced or received by him,

to the State Government or to an officer or agent of the State Government or to a Corporation owned or controlled by the State Government or to such other person or class of persons and in such circumstances as may be specified in the order;Explanation. - Ah order made under this clause in relation to food grains or edible oil seeds, may, having regard to the estimated production, in the concerned area, of such food grains and edible oil seeds, fix the quantity to be sold by the producers in such area may also fix, or provide for the fixation of, such quantity on a graded basis, having regard to the aggregate of the area held by, or under the cultivation of the producers;

(g)

for regulating or prohibiting any class of commercial or financial transactions relating to any declared goods which, in the opinion of the authority making the order, is, or, if unregulated, is likely to be, detrimental to the public interest;

(h)

for collecting any information or statistics with a view to regulating or prohibiting any of the aforesaid matters;

(i)

for requiring persons engaged in the production, supply or distribution of, or trade and commerce in, any declared goods to maintain and produce for inspection such books, accounts and records relating to their business and to furnish such information relating thereto, as may be specified in the order;

(j)

for the grant or issue of licences, permits or other documents, the charging of fees therefor, the deposit of such sum, if any, as may be specified in the order as security for the due performance of the conditions of any such licence, permit or other documents, the forfeiture of the sum so deposited or any part thereof for contravention of any such conditions, and the adjudication of such forfeiture by such authority may be specified in the order;

(k)

for any incidental and supplementary matters, including, in particular, the entry, search or examination of premises, air crafts, vessels, vehicles or other conveyances and animals, and the seizure by a person authorised to make such entry, search or examination-

(i)of any articles in respect of which such person has reason to believe that a contravention of the order has been, is being, or is about to be, committed and any packages, coverings or receptacles in which such articles are found;

(ii)of any aircraft, vessel, vehicle or other conveyance or animal used in carrying such articles, if such person has reason to believe that such aircraft, vessel, vehicle or other conveyance or animal is liable to be forfeited under the provisions of this Act;

(iii)of any books of accounts and documents which in the opinion of such person, may be useful for, or relevant to, any proceeding under this Act and the person from whose custody such books of accounts or documents are seized shall be entitled to make copies thereof or to take extracts therefrom in the presence of an officer having the custody of such books of accounts or documents.

(3)

Where any person sells any declared goods in compliance with an order made with reference to clause (f) of sub-section (2), there shall be paid to him the price therefor as hereinafter provided:-

(a)

where the price can, consistently with the controlled price, if any, fixed under this section, be agreed upon, the agreed price;

(b)

where no such agreement can be reached, the price calculated with reference to the controlled price; if any;

(c)

where neither clause (a) nor clause (b) applies, the price calculated at the market rate prevailing in the locality at the date of sale.

(4)

(i)

If the State Government is of opinion that it is necessary so to do for controlling the rise in prices or preventing the hoarding, of any declared goods in any locality, it may, by notification in the Official Gazette, direct that notwithstanding anything contained in sub-section (3), the price at which the declared goods shall be sold in the locality in compliance with an order made with reference to clause (f) of sub-section (2) shall be regulated in accordance with the provisions of this sub-section.

(ii)

Any notification issued under this sub-section shall remain in force for such period not exceeding three months as may be specified in the notification.

(iii)

Where, after the issue of a notification under this sub-section, any person sells declared goods of the kind specified therein and in the locality so specified, in compliance with an order made with reference to clause (f) of sub-section (2), there shall be paid to the seller as the price therefor,-

(a)

where the price can, consistently with the controlled price of the declared goods, if any, fixed under this section, be agreed upon, the agreed price;

(b)

where no such agreement can be reached, the price calculated with reference to the controlled price, if any;

(c)

where neither sub-clause (a) nor sub-clause (b) applies, the price determined under clause (iv).

(iv)

For the purposes of sub-clause (c) of clause (iii), the market price shall be determined by an officer authorised by the State Government in this behalf, having regard to cost of production of the goods, tax or other statutory levies paid or payable in respect of the production of the goods and securing a reasonable return of the capital employed in the production of the goods.

(5)

If the State Government is of opinion that it is necessary so to do for maintaining or increasing the production and supply of any declared goods, it may, by order, authorize any person (hereinafter referred to as an authorised controller) to exercise, with respect to the whole or any part of any such undertaking engaged in the production and supply of the declared goods as may be specified in the order such functions of control as may be provided therein and so long as such order is in force with respect to any undertaking or part thereof,-

(a)

the authorised controller shall exercise his functions in accordance with any instructions given to him by the State Government, so, however, that he shall not have any power to give any direction inconsistent with the provisions of any enactment or any instrument determining the functions of the persons in-charge of the management of the undertaking, except in so far as may be specifically provided by the order; and

(b)

the undertaking or part shall be carried on in accordance with any directions given by the authorised controller under the provisions of the order, and any person having any functions of management in relation to the undertaking or part shall comply with any stich directions.

(6)

An order made under this section shall,-

(a)

in the case of an order of a general nature or affecting a class of persons, be notified in the Official Gazette; and

(b)

in the case of an order directed to a specified individual, be served on such individual,-

(i)by delivering or tendering it to that individual, or

(ii)if it cannot be so delivered or tendered, by affixing it on the outer door or some other conspicuous part of the premises in which that individual lives, and a written report thereof shall be prepared and witnessed by two persons living in the neighbourhood.

(7)

Every order made under this section by the State Government or by any officer or authority of the State Government shall be laid before the House of the State Legislature, as soon as may be, after it is made and thereupon the provisions of sub-section (1) of section 26-A of the Rajasthan General Clauses Act, 1955 (Act

No. 8 of 1955

) shall apply mutatis mutandis to such order.

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