N.-W.F.P. Sugar Factories Control Rules 1950

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NORTH‑WEST FRONTIER PROVINCE SUGAR FACTORIES CONTROL RULES, 1950

No. 10583/D‑D., 19th February 1951 (Gazette, 16th March 1951). ‑In exercise of the powers conferred under section 23 of the North -West Frontier Province Sugar Factories Control Act, 1950, the Governor, North‑West Frontier Province, is pleased to make the following rules:‑

  1. Short title, extent andcommencement.‑These rules may be called the North‑West Frontier Province Sugar Factories Control Rules, 1950, and shall come into force at once. These rules shall apply to the Peshawar and Mardan districts but the Provincial Government may, by notification in the Official Gazette, extend them to such other parts of the Province to which the Act has been extended.

  2. Definitions.‑In these rules unless there is anything repugnant in the subject or context‑

(i) ".`Act" means the North‑West Frontier Province Sugar Factories Control Act, 1950 (Act XII of 1950).

(ii) " Inspector " means any person appointed under section 7 of the Act to perform the duties of an Inspector.

(iii) "Occupier of a Factory " means the person who has ultimate control over the affairs of a factory.

(iv) " Notification " means a notification published in the North- West Frontier Province.

(v) "Purchasing agent" includes any person, not being the grower or his authorised representative or a cane‑growers' Co‑operative Society or a paid employee of the occupier of the factory not employed on a commission basis, who purchases, supplies, delivers, weighs or pays for cane.

(vi) "Purchasing centre" means any place at which cane is pur chased supplied, delivered or paid for and includes such portion of the premises of the factory at which any of the co‑operations take place.

(vii) "Weighbridge" means any mechanism used to weigh cane and includes any weighbridge maintained or used by the occupier, or purchasing agent or by any person acting on his behalf.

(viii) "Year" means the agricultural year commencing on the 1st day of July and ending on the 30th day of June next following.

  1. Sugar Cane Control Board.‑(1) TheBoard shall consist of seven members including the Chairman. Five of the members shall be no minated by the Government of North‑West Frontier Province, either by name or by virtue of their office of whom two shall be sugarcane growers. The remaining two members shall be the representatives of the sugar factories of whom one each will be nominated by Messrs. Premier Sugar Mills, Mardan and Messrs. Frontier Sugar Mills, Takhtibhai.

(2) The Board shall in addition to the powers and duties conferred or imposed upon it by the provisions of the Act, advise the Provincial Government on all matters connected with the sugar industry of the Province that may be referred to it by the Provincial Government.

(3) The meetings of the Board shall be held at such places and on such dates as the Chairman may fix.

(4) Notice in writing of all meetings shall be circulated by the Chairman to all members not less than one week before the date fixed for the meeting, except in urgent cases.

(5) The term of appointment of the Board and its members excepting the first Board which may come into existence any time shall normally be one year, from the 1st July till 30th June, next year, unless otherwise the Provincial Government directs.

(6) When the place of a member nominated to the Board becomes vacant by resignation or death of such member or by an order of Provincial Government such member ceases to be a member the Pro vincial Government shall nominate a new member to fill the vacancy, subject to the provisions of sub‑rule 2, and such new member shall hold office for the un-expired period of the term of office of the member in whose place, he has been nominated.

(7) The procedure in Appendix I to these rules shall be followed at meetings of the Board.

  1. Inspectors.‑(1) The Commissioner.‑Director of Industries andAssistant to Cane Commissioner‑shall be ex‑officio Inspectors of the whole of the area to which the Act extends and all the Tehsildars in Peshawar and Mardan Districts, the Revenue Assistant Commissioner, Mardan, the Assistant Commissioner, Charsadda and Assistant Com missioner, Noweshera shall be ex‑officio inspectors in their respective jurisdictions.

(2) An Inspector may, with such assistants as he thinks necessary‑

(a) enter any factory or other place which is or which he has reason to believe will be used as a purchasing centre or for the maintenance of any records, registers, accounts, or other documents relevant thereto;

*(b)*examine the weighbridges or scales or weights used, kept or possessed for the weighment or purchase of cane at any such place,

(c) cause carts, lorries or wagon's carrying cane or other consign ments of cane to be weighed or reweighed in his own presence ;

*(d)*examine the prescribed registers, maintained at such places and check such other records, registers, accounts or documents as are maintained and are in his opinion relevant ;

(e) check the relevant weighments purchases and payments made at such place ;

*(f)*record the statement of any person whom he may deem necessary to examine for the proper discharge of his duties ;

(g) Examine such record as are maintained at a factory showing the amount of cane purchase, the amount of cane crushed the sucrose contents thereof, the quantity of sugar manufactured, the percentage of extraction of sugar from cane, the quantity of sugar produced, issued and in stock ;

(h) issue from time to time such instructions as may be necessary to insure equitable purchase of cane, provided that such instructions shall only be issued for reasons to be recorded in writing and if they have not been previously approved by the Cane Commissioner they shall be submitted to him forthwith for confirmation, and

(i) exercise in good faith such other powers as may be necessary for carrying out the purpose of the Act or of these rules.

  1. Intimation regarding starting ofcrushing.‑The occupier of the factory will send a notice of starting crushing one clear month in advance to the Cane Commissioner in Form 2, Appendix II

6. Estimate of quantity ofcane required by factories.‑(1) The occupier of a factory shall submit to the Cane Commissioner on or before 1st May, each year in Form 3, Appendix II as estimate of the quantity of Cane which will be required by the factory during the crushing season next following the ensuing crushing season.

(2) The Cane Commissioner shall, after consulting the Board publish the same with such modifications as may be necessary within a month of the receipt of the estimate, in the Government Gazette and at the office of the Collector of the District in which the factory is situated.

(3) The Provincial Government may on its own motion or on an application for revision filled within a month of the publication of the estimate, revise it.

  1. Declaration ofreserved areas.‑(1) In declaring reserved areas under section 10 (1) of the Act, the Cane Commissioner may take into considerations‑

(a) the distance of the factory from the area proposed to be reserved ;

*(b)*facilities for transport to the factory from the area proposed to be reserved ;

(c) whether the area has previously supplied cane to the said factory ;and

*(d)*previously existing zoning arrangements among the factories,

(e) the estimated quantity of cane required by the factory.

(2) An order of the Cane Commissioner declaring any area to be reserved for any particular factory or altering the boundaries of an area already reserved or cancelling any previous order declaring an area to be reserved shall be communicated to the occupier of the factory concerned and shall be published in the North‑West Frontier Province Gazette and at the office of the Collector of the district in which the area is situated and also at the gate of the factory.

8. Survey of *reserved area and Grower's Registers.‑(1)*When an area has been reserved the Cane Commissioner may cause a survey of the sugarcane in it to be made in Form 4, Appendix II and may deliver a copy of the survey report to the occupier of the factory concerned.

(2) The cost of the survey may be assessed at one rupee for every 20 acres of sugarcane surveyed and shall be payable by the occupier of the factory within a month of the delivery of the form referred to in sub -rule (1).

(3) The occupier of a factory shall after such local verification as he considers necessary prepare a register in Form 5, Appendix II as required under section 12 of the Act to be called the Grower's Register, and it shall be open to inspection by every cane grower of a reserved area.

(4) Any grower having, or claiming to have grown sugarcane in a reserved area may apply to the occupier of the factory for the correction of entry in or the addition of 'a new entry to the Growers' register. The occupier shall keep a record of these applications.

(5) The occupier of the factory shall, after such enquiry as he considers necessary, pass orders on the application within a fortnight of its receipt and a true copy of such orders shall be supplied to the applicant. An appeal from the order of the occupier shall lie to the Revenue Extra Assistant Commissioner within whose jurisdiction the land in question is situated and his decision shall he final‑

(6) The occupier of a factory shall give a copy of the entries in the Growers' Register on application made before the 15th December in any year to any person.

(7) The Growers' Register shall be preserved by the occupier of a factory for a period of two years following the crushing season to which is refers.

*9. Purchase of Cane grown in a reserved area.‑(1)*The occupier of a factory shall estimate or cause to be estimated, by 30th September, the quantity of sugarcane with each grower enrolled in the Grower's Register and shall submit the estimate to the Cane Commissioner who may, after such enquiries as he considers necessary, modify the estimates and cause them to be published in such manner as he may direct.

(2) A cane‑grower or a cane‑grower's co‑operative society in a reserved area may offer in Form 6, Appendix II by the 1st October each year to supply during the crushing season to the occupier of the factory for which the area has been reserved, cane not exceeding, in the case of cane‑growers, the quantity estimated in accordance with sub‑rule (1).

(3) The occupier of the factory for which the area is reserved shall enter into an agreement with the cane‑grower or the cane‑grower's co operative society, as the case may be, in Forms 7 and 8, respectively, or in any other Form approved by the Cane Commissioner, within a month of the offer mentioned in sub‑rule (2).

(4) The occupier of a factory shall spread the purchases made in the reserved area in an equitable manner, and shall in the case of cane- growers of the reserved area make purchases of cane only after issuing requisition slips.

In order to comply with this rule the occupier shall cause identifica tion cards to be distributed to all cane‑growers of the reserved area to whom requisition slips will be issued, and shall maintain a record of the same.

(5) Requisition slips and identification cards to members of a cane- grower's co‑operative society shall be issued by the society.

(6) In case of a dispute whether a particular system adopted for the purchase of cane grown in the reserved area is equitable or not the dis pute may be referred to the Cane Commissioner, whose decision shall be final.

*10. Declaration of an assigned area and purchases of cane in an assigned area.‑ (1)*An order of the Cane Commissioner declaring an area to be assigned for a factory or prescribing the quantities of cane to be purchased by its occupier in the assigned area, or modifying or cancelling any such previous orders, shall be communicated to the occupier of the factory and shall be published at the office of the Collector of the District in which the area is situated, and at such centres in assigned areas as the Cane Commissioner may direct.

(2) An appeal against an order of the Cane Commissioner under section 14 of the Act may be made to the Provincial Government within one month of the publication of such order at the office of the Deputy Commissioner.

(3) The occupier of a factory for which an area has been assigned shall be the 15th October each year for any crushing season enter into agree ment of Forms 7, 8, or 9, of Appendix II, as the case may be, with cane‑growers, cane‑growers' co‑operative societies, or purchasing agents for the purchase in the assigned area of such quantity of cane as may be fixed by the Cane Commissioner. .

(4) If such an agreement is entered into with a purchasing agent, the latter shall enter into similar agreements in Form 10, Appendix 11 with cane growers or cane growers' co‑operative societies in the assigned area in respect of all the cane which he has undertaken to supply to the occupier of the factory.

(5) Purchases of cane from growers in the assigned area shall be spread in an equitable manner and shall be made only after the issue of requisition slips. The purchaser shall cause identification cards to be distributed to the cane‑growers of the assigned area who have entered into the agreement, and he will keep a record of the requisition slips and identification cards issued to cane‑growers.

(6) The Cane Commissioner will lay down the system of purchase to be adopted by the occupier of a factory, or his employee, or the purchasing agents in the assigned area.

*11. General provisions regarding purchases of cane.‑(1)*No person shall transfer or abet the transfer of a requisition slip for the cane of a grower to another person, with the object of enabling cane other than that belonging to the grower for whom the requisition slip has been issued to be sold to a factory.

(2) No person shall accept or obtain, or agree to accept or attempt to obtain, from any person for himself as gratification or consideration, bonus, setoff, luck money, or any other such payment whatever other than legal remuneration, as a motive or reward for weighing or purchasing cane, or making payment therefor, or for issuing requisition slips, or for showing or forbearing to show in connection with the weighment or purchase or supply of or payment for cane, favour or disfavour to any person.

(3) No person shall falsely represent himself as a grower of cane, or as authorised by such grower to deliver cane on his behalf, or as a person duly authorised by the grower to receive payment on his behalf.

(4) The occupier of a factory or a purchasing agent shall , alter the location of, or establish a purchasing centre at, a particular place for the supply of cane to the factory, if so directed by the Cane Commissioner after consultation with the Board.

(5) Except with the previous approval of the Cane Commissioner no occupier or purchasing agent shall purchase cane consigned to them by a cane‑grower from the place where a purchasing centre has been or has been ordered to be established under sub‑rule (4).

(6) An occupier or a purchasing agent who op ns a purchasing centre shall send intimation thereof within 24 hours the start of operations to the Collector and to the Inspector within whose jurisdic tion such purchasing centre is situated.

(7) If a purchasing centre is opened with the intention of purchasing cane for a period of less than 14 days, the occupier or purchasing agent concerned shall (i) affiix a notice at the purchasing centre at the time of opening, showing the probable duration of the period during which the purchasing centre is to remain open and (ii) send intimation of such duration at the same time to the Collector and to the Inspector within whose jurisdiction the purchasing centre is situated.

(8) If a purchasing centre is opened with the intention of purchasing cane for a period of 14 days or, more, or if ix remains open for a period of 14 days or more, the occupier or purchasing agent shall, at least three days before he closes the purchasing centre either permanently, or except, as provided in sub‑rule (9), temporarily :‑

(i) affix.a notice to that effect at the purchasing centre specifying clearly the date on which the centre is to be closed, and

(ii) send intimation of the date of the proposed closure to the Collector and to the Inspector within whose jurisdiction the purchasing centre is situated.

(9) If a purchasing centre has to be closed owing to a breakdown of machinery or other causes necessitating an abrupt but temporary suspension of operations, the occupier or purchasing agent concerned shall :‑

(i) cause to be .posted immediately at the purchasing centre concerned notices indicating the probable duration of the suspension,

(ii) cause the suspension of purchase to be otherwise advertised as widely as possible,

(iii) send intimation thereof immediately to the Cane Commissioner and to the Inspector within whose jurisdiction the purchasing centre is situated and,

(iv) purchase all requisitioned cane brought within 12 hours of posting of notices under clause I. In such cases the Collector may at his discretion, and if he is satisfied that the closure was unavoidable, grant exemption from the three days' period referred to in sub‑rule (8).

(10) An occupier and a purchasing agent shall‑--

(i) cause a list to be put up at each purchasing centre showing the names of the persons employed by him for making weighments, purchases and payments, and for arranging the cane purchases at that centre,

(ii) cause such lists to' be maintained up to date,

(iii) send a copy of the names of, and full particulars about the persons whose names are entered in these lists within 24 hours of their employment, to the Collector and to the Inspector within whose jurisdiction such purchasing centre is situated,

(iv) give each person employed for making weighments, purchases and payments a written authority to that effect,

(v), not knowingly employ any person who has been previously convicted for breach of any of the provisions of the Act or the Rules, or has been sentenced to imprisonment for a period exceeding six months, without the permission of the Cane Commissioner, for making weighment, purchases or payments.

(11) No person who is not authorised in accordance with sub- rule (10) shall make or supervise weighments, purchases or payments at any purchasing centre on behalf of an occupier or purchasing agent.

Note.‑This sub‑ruleis not intended to prevent responsible officers of a factory from exercising supervision.

(12) A purchasing agent shall actively participate in, and if possible personally supervise the work of, purchase of cane at least at one of the purchasing centres where purchases are made by him or on his behalf.

(13) A purchasing agent shall produce his licence, and a person employed by an occupier or a purchasing agent for making weighments, purchases or payments, shall produce the written authority given to him under sub‑rule 10 (iv) of this rule on demand by the Inspector.

(14) The occupier of a factory situated outside the North‑West Frontier Province may make purchases of care in the North‑West Frontier Province either himself, or through any person employed or appointed by him on his behalf, but in all such cases he or his employees or other person acting on his behalf will be bound by these rules as if he were the occupier of a factory situated in the North‑West Frontier Province.

  1. *Licensing of purchasing agents.‑(1)*An application for a licence to act as a purchasing agent under the Act shall be made in Form 11, Appendix II, to the Cane Commissioner stating the district in which he wishes to purchase cane.

Note.‑If anapplicant wishes to purchase in more than one district he shall apply for a licence to the Cane Commissioner and for endorse ments thereon in accordance with sub‑rule (7).

(2) Such application shall be duly stamped and accompanied by (a) a treasury receipt showing that licence fee of Rs. 50 has been deposited in the Local Government Treasury, (b) a nomination from the occupier of the factory concerned in Form 12, Appendix II, (c) a declaration that the applicant does not hold a licence for any other district.

(3) The applicant shall deposit as security a sum of rupees one thousand in cash or Government securities of the market value of Rs. 1,000, or post office cash certificates of the present encashment value of Rs. 1,000, or a bond of hypothecation of landed property worth Rs. 2,000. Such security shall be deposited (i) if the factory concerned is situated in the Frontier Province, with the occupier thereof, who will send information about the receipt of such security to the Cane Commis sioner or (ii) if the factory concerned is situated outside the North- West Frontier Province, with the Cane Commissioner to whom applica tion for licence is made. Such security shall be maintained throughout the period such person works as a purchasing agent and for six months thereafter.

Government will have the first charge on such sum or property for the recovery of any fine or compensation due from the purchasing agent or his employees under the Act or under these Rules.

Provided that, for reasons to be recorded in writing, and with the consent of the occupier concerned, the Cane Commissioner may dispense with the deposit of security or permit the deposit of such smaller security as he thinks proper. In such cases, the occupier shall execute a bond holding himself liable for any sums recoverable from the purchasing agent by way of fine under the Act, or under these rules, or otherwise, up to a limit of Rs. 1,000.

(4) On receipt of application the Cane Commissioner may issue a licence in Form 13, Appendix II if he is satisfied that the applicant‑

(i) is not a minor, or a pardahnashinlady, or an undischarged insolvent or a person of unsound mind, (ii) has not been convicted within the previous two years of an offence under the Act of these Rules, other than one which is in the opinion of the Cane Commissioner of a technical nature and not such as to justify refusal of the licence, (iii) has not been sentenced to imprisonment for a term exceeding six months for an offence involving moral turpitude, and (iv) is not a company, firm or other association of persons;

Provided that the Cane Commissioner may call upon the applicant and the occupier of the Factory concerned to show cause why a licence should not be refused and may thereafter, for reasons to be recorded in writing, refuse to agent a licence to such applicant.

(5) A licence shall remain in force only till the 30th June next following. It shall be renewed for the year following the said 30th Juneand for each subsequent year, on application being made to that effect by the purchasing agent in writing to the Cane Commissioner granting the licence, in the same manner and on the same condition as if it were an application for a new licence. On the expiry of a licence it shall, if not renewed, be returned to the Cane Commissioner who issued it.

(6) A licence will ordinarily permit purchases at only one purchas ing centre, but the Cane Commissioner may at his discretion permit purchases to be made at not more than three purchasing centres Separate security will not be necessary for the additional centres.

(7) A licence shall be valid only within the local limits of the district in which it has been granted. If a purchasing agent desires to purchase cane in a district other than that covered by the licence, an application to that effect shall be made to the Cane Commissioner for an endorsement on the licence making it available for such district. Unless there are valid reasons to the contrary such endorsement shall be made, and not extra payment shall be made therefor.

(8) A licence shall be valid for making purchases on behalf of only one factory. If a purchasing agent desires to purchase cane for more than one factory, he shall be required to obtain a separate licence for each such factory. Such licence shall be granted if (i) the Cane Commis sioner is satisfied that the issue of another licence will not contravene the provision of sub‑rule 7, and (ii) the consent in writing of the occupiers of all factories on whose behalf he already holds licences is produced before the Cane Commissioner.

(9) A licence of a purchasing agent shall be cancelled by the Cane- Commissioner who issued the licence if (i) he receives an application to that effect from the occupier of the factory concerned, or (ii) the pur chasing agent is adjudged insolvent or becomes of unsound mind.

(10) A licence of a purchasing agent may be cancelled, or an entry of warning made thereon by the Cane Commissioner who issued the licence. An endorsement on a licence of a purchasing agent may be cancelled or an entry of warning made on the licence by a Cane Com missioner who endorses the licence ; in such cases, such Cane Commis sioner shall send intimation of the orders passed by him to the Cane Commissioner who granted the licence for such action as he may deem fit. No order for the cancellation of a licence, or of an endorsement thereon, or for the making of an entry of warning on the licence shall be issued, except for reasons to be recorded in writing after giving an opportunity for explanation to the purchasing agent, and reasonable notice to the occupier of the factory concerned. Pending inquiry under this rule, the Cane Commissioner may suspend a licence, or an endorse ment thereon, but such suspension shall not take effect until after the expiry of 72 hours from the giving of notice thereof to the occupier of the factory concerned.

(11) An appeal shall lie to the Provincial Government from an order of the Cane Commissioner refusing to grant a licence, or cancell ing or suspending a licence. Such appeal shall be filed within one month of the date of the Cane Commissioner's order. The order of the Cane Commissioner if no appeal is filed within the prescribed period shall be final.

*13. minimum price and weighments.‑(1)*An occupier or a purchas ing agent or any person employed by them shall not purchase cane for factory or pay for it at a price below the minimum price fixed under these rules in accordance with section 16 of the Act.

(2) The occupier of a factory or a purchasing agent shall not make any deduction from the amount due for cane sold to him by a Cane Grower or a Cane Grower's Co‑operative Society, except such deduc tion as may be prescribed or as the Provincial Government may, by notification, from time to time allow.

(2) The minimum price payable for cane shall be fixed per standard maund of 82 2/7 lbs., or as may be notified by Government from time to time.

(4) All transactions in connection with the purchase and supply of cane shall be made according to the maund of 82 2/7 lbs., or as may be notified by Government from time to time, and it shall not be lawful to use any other weight in relation to any such transaction.

(5) No cane shall be purchased without actual weightment.

(6) The net weight of cane shall be correctly recorded to the nearest weight of a maund.

(7) The occupier of a factory, or a purchasing agent shall permit a representative of a Cane Grower's Co‑operative Society, or any other person duly authorised by the Cane Commissioner for the purpose, to watch or check weightments and to examine the parchiesin which weights are recorded.

(8) No scales or weights shall be used, kept or possessed for the weightment of cane by, or on behalf of, an occupier or a purchasing agent.

(i) which are incorrect, provided that a weighbridge shall not be deemed to be incorrect which weighs correct to within two per cent. of the correct weight of the consignment actually being weighed, and cannot be adjusted more accurately, or

(ii) the scale arms of which are not clearly marked on both sides whenever possible and or either not accessible to the vendors of cane and their authorised agents, or are not legible to persons standing near the carts which are being weighed, or

(iii) which have been disapproved by an Inspector, provided that the Inspector shall not disapprove any scales or weights which comply with the rules unless after due warning a weighbridge is not adjusted and unless it is persistently found to be incorrect.

(9) All weights, used, kept or possessed for the purchase of cane shall be made of iron, brass or other suitable metal, and be clearly stamped or marked to indicate the denomination.

(10) That part of the mechanism of a weighbridge by which its adjustment is controlled shall, wherever possible, be kept suitably sealed or locked.

(11) All scales and weights used, kept or possessed for the purchase of cane shall be open to inspection, examination and test by an Inspector at all times without notice, and shall be made available for such inspec tion, examination and test when required by the Inspector.

(12) An occupier or purchasing agent shall cause all weighbridges or scales used, kept, or possessed by him for the purchase of cane to be tested at least twice a week, and maintain a record of such tests which shall on demand be shown to the Inspector.

(13) At every purchasing centre adequate facilities for weighment, to the satisfaction of the Cane Commissioner, (shall be provided by the occupier to avoid congestion and undue delay in the weighment of cane, and carts and lorries shall not be kept waiting unduly for weighment.

Explanation.‑A cart or lorry shall not be deemed to have been kept waiting unduly if the supplier of cane. having received instructions in writing to deliver cane on a certain day, ignores those instructions, or where the practice of issuing written instructions is in force, brings cane without receiving such instructions.

(14) An occupier shall :‑-----

(i) provide metalled approaches to and exists from all weighbridges at the factory premises to such distance as may be in each case reasonable and feasible and up to a distance of one furlong, when required to do so by the Cane Commissioner.

(ii) keep the same in a proper state of repair,

(iii) provide seasonable space for parking of carts and lorries waiting their turn for approach to the weighbridges, and

(iv) provide sheds and cattle‑troughs at the factory gates to the satisfaction of the Cane Commissioner.

(15) Weighments of the cane shall not be made more than half an hour after sunset, unless lighting arrangements approved by the Cane Commissioner as sufficient for the easy reading of the scale arms by both the purchaser and the vendor, or his authorised agent, are made and maintained.

(16) No deduction shall be made from the weight of cane on the ground that the cane is improperly stripped or on any other ground whatever, unless approved by the Cane Commissioner:

Provided that where cane is brought in bundles and weighed in bundles a deduction not exceeding l seer for every 4 maunds of cane may be made on account of the weight of the binding material.

  1. Payments.‑(1) The occupier or purchasing agent shall provide adequate facilities to the satisfaction of the Cane Commissioner for the payment of the price of cane.

(2) The occupier or purchasing agent shall make all payments for cane at the purchasing centre within one. week of demand:

Provided further that when a purchasing centre is closed, all pay ments must be made at the centre within a week of the closing of the centre, and if any growers do not appear to receive payments within a week of the closing of the centre, payments to them should thereafter be made at the factory within 24 hours of demand.

(3) Payments shall be made on the basis of the recorded weight of the cane, at the purchasing centre.

(4) Payments for cane purchased for a factory shall not be made to a representative of the grower (or to a representative). of the person representing himself to be such grower, unless he is duly authorised by him in writing to receive such payment:

Provided that no person who has purchased the cane from the grower, or who is employed by an occupier or a purchasing agent, and no person who has lent money to the grower, and no agent or such person, shall take such payment.

(5) An occupier and purchasing agent shall be liable for all pay ments due for cane supplied to him or on his behalf. If a purchasing agent fails to make payment for cane purchased by 'him for a factory, the occupier of such factory shall be responsible for making such pay ments ;

Provided that notice or complaint of non‑payment is given, or made in writing, to the occupier of the factory concerned, within three months of the date on which the purchasing centre at which the cane was supplied is closed.

(6) Except as provided in sub‑rules (7), (8), (9) and (10) no deduc tion shall be made by way of fine or otherwise from the price of the cane purchased which would reduce such price to a figure below that calculated at the prescribed minimum rate.

Recoveries of the dues of a Cane Growers Co‑operative Society may be made by deduction from the price payable for cane.

(7) When transport is provided by the occupier of the factory he may deduct the cost of transport according to the rate fixed by the Cane Commissioner.

(i) Deduction may be made, if cane is definitely below the average of standard cane for the area on account of delay in transport or natural causes, a g., serious water‑logging, intensive insect attack disease, or severe frost. The Cane Commissioner will issue general instructions for the guidance of the occupiers in regard to the extent to which such deductions are to be made and in cases of dispute the decision of the Cane Commissioner will be final.

(8) The Provincial Government, if satisfied that in any local area a substantial quantity of cane will remain standing and unsold on the 1^st^ June, and is not likely to be purchased at the prescribed minimum price, may by notification in the Gazette direct that in such area such deduction as may be specified in the Notification may be made from the price of the cane purchased after that date.

(9) If any loan has been advanced by any occupier or a purchasing agent for meeting the expenses of cultivation to the persons from whom cane has been purchased, the amount of such loan, together with simple interest thereon at a rate not exceeding one pie per rupee per month for the period the loan has been outstanding, may, subject to the terms of the agreements between the lender and the borrower, be deducted from the amount paid for the cane.

Provided that the amount of the loan is not disproportionate to the area to be sown, or the assistance necessary to sow it, or the value of the cane to be delivered, and that no deduction is made in respect of a loan given more than three years previous to the date of the purchase of cane.

Explanation.‑A loan for the purpose of this rule shall mean only an advance made in pursuance of an agreement to sow a definite area of sugarcane, and for enabling or assisting such area to be sown, or in pursuance of an agreement to deliver a certain amount of cane. The Cane Commissioner will decide, on application from the occupier ox purchasing agent concerned, whether a loan is proportionate to the area to be sown, or the assistance necessary to sow it, or the value of the cane to be delivered.

*15. Notices.‑(1)*An occupier or a purchasing agent shall cause to be put up at each purchasing centre from the date it is started till the date it is closed :‑----

(i) A copy of an abstract of the rules when received from Government,

(u) notice of suitable size in clear bold letters showing the minimum price fixed by Government, and

(iii) the rates at which cane is being purchased at the Centre.

(2) Such notices shall be put up :‑

*(a)*at each entrance to the factory.

*(b)*at the place at which weighments of cane are made for the factory, and ,

(c) at such other conspicuous places near the places mentioned in (a) and *(b)*as the Collector of the District or the Inspector may direct.

(3) Entries of such notices shall be made ligibly in Urdu, Pushto and English scripts, and shall be on one side of the paper only.

16. Registers and records.‑(1) The occupier or a purchasing agent shall prepare, or cause to be prepared, at each purchasing centre a parchain triplicate showing correctly‑

(a) the serial number of the parcha ;

(b) the date of purchase ;

(c) the name of the person from whom the cane is purchased, with his parentage and full address, together with similar particulars about the person authorised by the vendor to deliver cane on his behalf ;

(d) the number of the requistion or purziassigned to the vendor, if any ;

(e) the weight of the cane, including the weight of the cart, lorry or wagon, as the case may be ;

(f) the weight tax of the cart, lorry or wagon, as the case may be ;

(g) the weight of the binding material to be deducted ;

*(h)*the net weight of the cane purchased ;

(i) the rate at which the cane is purchased ; and

(j) the price that has to be paid for the cane at that rate after making deduction on account of The Development Fund.

The entries under items (e) and (f) shall be made and announced in the presence of the person who actually delivers the cane while the cart, lorry or wagon is still standing on the weighbridge, and in the case of weighment on beam scales, immediately or completion of the weighment.

Entries as regards items (a) to (e) shall be made as soon as weigh ment takes place, and entries as regards items (f) to (j) as soon as the empty cart is weighed.

(2) The parchareferred to in sub‑rule (1) shall be handed over in duplicate to the person from whom cane is purchased, or to his author ised agent, before he leaves the purchasing centre. The triplicate copy of counterfoil shall be kept at the purchasing centre concerned.

(3) .When payment is made for cane purchased, the receipt of the payee shall be taken on one of the counterfoils of the parchahanded over to him in accordance with the provisions of sub‑rule (2).

(4) An occupier and a purchasing agent shall maintain or cause to be maintained, at each purchasing centre, a register or record showing correctly‑

(a) the serial number of the parcha,

(b) the date of the purchase,

(c) the name of the person from whom the cane is purchased, with his parentage, caste and full address, together with similar particulars about the person, if any, authorised by the vendor to deliver the cane on his behalf,

o(d) the number of the requisition slip or purziassigned to the vendor, if any,

*(e)*the weight of the cane including the weight of the lorry or cart pr wagon, as the case may be.

(f) the weight of the binding material to be deducted,

*(g)*deduction on account of bad cane,

*(h)*the net weight of the cane purchased,

(i) the rate at which the cane is purchased,

(j) the price that has to be paid for the cane at that rate,

*(k)*the amount of loan, if any, advanced to the person from whom the cane is purchased,

(1) the amount of interest up to the‑date of recovery of‑the same,

(m) amount deducted on account of The Development Fund,

(n) the amount actually paid on account of the cane purchased, and

(o) the date of payment.

Provided that where no loans are advanced the columns giving the particulars required by *(k)*and (1) above may be omitted from the register or record.

(5) A separate register or record shall be maintained for each factory on behalf of which purchases are made.

(6) An occupier and purchasing agent shall maintain, or cause to be maintained, at each purchasing centre an inspection book in which Inspectors may record their remarks and instructions.

(7) The registers and records maintained, and copies of counterfoils or parcha issued, including the copies or counterfoils of the parchascon taining the receipts of the payees, shall be kept at the purchasing centre until it is finally closed for the year. They shall be opened to inspection and check by an Inspector, or such other public servant as may be appointed by him for the purpose in this behalf

Provided that the registers and records may be taken for check to the factory once in a. calendar month and retained there for a period not exceeding 24 hours, at a time when no purchases of cane are being made at the purchasing centre.

(8) The registers, records, parchasetc., referred to in sub‑rule (7), shall be preserved by the occupier, concerned for two years from the date of last transaction entered thereon.

(9) The Cane Commissioner may sanction the use of such other registers, records and forms in place of those specified in sub‑rule (1), (3) and (4) as in his opinion substantially fulfil the object of those sub‑rules.

(10) The occupier of a factory shall submit correct returns .relating to the production and sale of sugar and purchase of cane in such form, by such date, and to such authority as may be directed by the Cane Commissioner.

  1. Arbitration.‑(1) Anydispute touching an agreement referred to in these rules shall be referred to the Cane Commissioner for decision, or if he so directs to arbitration. No suit shall lie in a civil or revenue court in respect of any such dispute.

(2) If the Cane Commissioner directs the reference of a suit to arbitration, it shall be referred to a sole arbitrator acceptable to the parties concerned. In case no sole arbitrator is acceptable to both parties, the dispute in question shall be referred to a Board of Arbitra tion, consisting of one representative of each party and an umpire acceptable to both representatives. Ii: the representatives of the parties are unable to elect such an umpire within a fortnight, the Cane Commissioner shall either himself act as umpire, or nominate one. The Umpire shall be the President of the Board of Arbitration, and shall have a vote in case of disagreement between the representatives.

(3) The sole arbitrator or the President of the Board of Arbitration shall have the full power of a Court in respect of summoning the parties, witnesses and records.

(4) The decision of the sole arbitrator or Board of Arbitration shall be final and binding on both parties, and shall not be called in question in any civil or revenue court.

(5) The sole arbitrator or the Board of Arbitration shall give an award within the time fixed by the Cane Commissioner failing which the Cane Commissioner may decide the dispute himself, or appoint another arbitrator or arbitrators for the purpose.

(6) Any party considering himself aggrieved by an award may appeal to the Provincial Government within one month of the date of the communication of the award and the Government shall pass such orders as they deem fit.

(7) The Provincial Government's order in appeal shall be final.

(8) On application to the Civil Court having jurisdiction over the subject‑matter of the decision or award, the decision of the Cane Com missioner, or the award of the arbitrator or arbitrators, or the Provincial Government's order in appeal against an award, shall be enforced by the Court as if such decision, award, or orders in appeal were a decree of that Court.

  1. *Penalties.‑(1)*Any person contravening any of the provisions of these rules for which no penalty has been provided in the Act, or not obeying a lawful order or direction conveyed to him in writing by the Cane Commissioner, if he is authorised by the Provincial Government to pass or issue such order shall be punishable with fine which may extend to Rs. 1,000;

Provided that for a breach of the provisions of these rules com mitted by a purchasing agent, or an employee of the occupier of a factory, under the orders in writing of the occupier, or with his conniv ance and for his benefit, such occupier shall also be liable to punishment under this rule.

(2) Where an occupier or a purchasing agent is charged with an offence against these rules, he shall be entitled, subject to the discretion of the Court, upon complaint duly made by him, to have any other person whom the charges as the actual offender brought before the Court at the time appointed for hearing the charge; the trial of the case shall thereupon proceed as if such other per son were also an accused person; and if, after the commission of the offence has been proved, the occupier or the purchasing agent, as the case may, proves to the satisfaction of the Court :‑

(a) that he has used due diligence to enforce the execution of these rules, and

(b) that the said person committed the offence in question without his knowledge, consent or connivance, that other person shall be convic ted of the offence and shall be liable to the like fine as if he were the occupier or the purchasing agent, as the case may be and the occupier shall be discharged from all liability in respect thereof under these rules.

(3) When it is made to appear to the satisfaction of the Inspector at any time prior to the initiation of a prosecution.

(a) that an occupier or a purchasing agent has used all due‑diligence to enforce the execution of these rules, and

(b) that the offence has been committed without the knowledge, consent or connivance of the occupier or the purchasing agent, or in contravention of his orders, as the case may be, the Inspector shall proceed against the parson whom he believes to be the actual offender without first proceeding against the occupier or the purchasing agent and such person shall, if found guilty, be liable to get the punishment to which the occupier or the purchasing agent would otherwise have been liable.

(4) No prosecution shall ordinarily be instituted under these rules unless the party complained against has been given an opportunity to show cause why he should not be prosecuted.

(5) No Court shall take cognizance of any offence under these rules except upon complaint made within one year of the date on which the offence is alleged to have been committed.

(6) In the case of a first offence the Court may, instead of passing a sentence of fine, discharged the offender after administering a warning. Such warning in the case of a purchasing agent shall be endorsed on his licence.

(7) On pronouncement of judgment in a case instituted under these rules the Court shall send copies thereof to the Cane Commissioner, the occupier of the factory concerned, and the Collector of the District in which the factory is situated.

19. Protection to persons acting under these rules.‑Nosuit, pro secution or other legal proceedings shall lie against any person for anything which is in good faith done or intended to be done under these rules.

20 Power to exempt fromrules.‑The Provincial Government may for special reasons, by notification, exempt any factory or class of factories from all or any of the previous rules framed under the Act.

21. Interpretation of rules.‑Allmatters connected with the inter pretation of these rules shall be referred to the Cane Commissioner, whose decision shall be final.

APPENDIX I

1. Rules of procedure at meetings of sugar cane Control Board.‑Allmeetings of the Board shall be presided over by the Chairman. In the absence of the Chairman any member nominated by the Chairman, or in the absence of any such nomination. a Chairman elected by the members present shall preside.

*2.*At all meetings of the Board four members, inclusive of the Chairman, shall form a quorum.

  1. Notice of a resolution or a motion to be moved at a meeting of the Board other than the first meeting shall be sent to the Chairman at least seven days before the date fixed for such meeting. The Secretary shall send to each member at least five days before the date fixed for a meeting a notice of the business to be brought forward at the meeting.

  2. No business other than that contained in the agenda sent to members shall be transacted at a meeting except with the consent of the Chairman.

  3. No motion or amendment shall be discussed at a meeting unless it is seconded.

  4. Every question shall be decided by a majority of votes of the members present. In case of the votes being equally divided, the Chairman shall have a casting vote.

  5. The Chairman shall be the sole judge of any point ‑ of order and may, if necessary, dissolve the meeting or adjourn it to any other day.

  6. If at any meeting there is no quorum, the Chairman shall adjourn the meeting to any subsequent date, and no quorum shall be necessary for such an adjourned meeting.

  7. In any case not provided by these rules the procedure shall be in accordance with the ruling of the Chairman.

(Note.‑For Appendix II see Gazette, dated 16th March 1951).

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