Section 561 in Rules under the United Provinces Excise Act, 1910
561. Settlement of shops by auction.
(1)(a). Shop shall be settled by the Collector under Tree-Tax System by auction with the person offering the highest bid but a fresh auction may be held if the highest bid made is considered to be inadequate or the person offering the bid is disqualified from holding Tari shops under the Excise Rules or is of a doubtful solvency or is otherwise considered undesirable by the Collector.(b)The person offering the highest bid shall be required to deposit one-twelfth of the total bid offered by him as advance immediately on the provisional acceptance of the bid at sale by the officer conducting the sale. The other one-twelfth shall be paid immediately after the final settlement of the shop by the Collector but not later than September 30. This amount of advance deposit of one-sixth shall be adjusted towards tree-tax and surcharge on the trees marked after April 30. One-third of the total amount offered shall be payable latest by January 31, and the remaining half by April 30.(c)In case the entire amount of any of the instalments mentioned in sub-clause (b) is not deposited by the date fixed, the licence shall be cancelled and shop settled afresh by resale by the Collector by auction at the risk of the defaulter. If there is any loss on resale, it shall be recovered by adjustment of the advance deposit and balance, if any, shall be recovered as arrears of Land Revenue.(d)It shall be open to the officer conducting the auction to demand one-twelfth advance deposit by the second or third highest bidder if he thinks that the bid of the highest bidder may not be accepted owing to reasons mentioned under sub-clause (a) supra.(e)If a successful bidder due to greater demand of Tari wants to register trees of the value over and above the amount offered at auction, he can do so by depositing extra tree-tax and surcharge for such trees during any of the periods specified above.(2)Every person bidding shall be held to his bid, whether it be the highest or not and it will be distinctly understood that any remission of the entire or part of the sum of the bid shall under no circumstances be considered.(3)No person shall be allowed to bid at auction oh behalf of another person for a shop unless he holds a duly written authority from such other person to do so, or such person is present at the auction and authorities or ratifies the bid made on his behalf.(4)On default of payment of the advance money either at the time of the sale or after the final settlement of the shop by the Collector the shop shall be resold by auction. Should the price offered at the resale be less than that offered at the first sale the difference will be recoverable as arrears of land revenue from the person who made the original bid.(5)Every shop for which a licence is issued shall be kept open throughout the Tari season and a supply of Tari, sufficient to meet the demand of consumers, shall be maintained.(6)Whenever for any reason the final decision regarding the selection of licensees is likely to be delayed, it shall be open to the Collector to settle the shop provisionally with one of the bidders subject to the following conditions which shall be entered in the licence :(a)That the licence shall be terminable at will if the shop is eventually settled with another person and the licensee shall not be entitled to claim any remission in licence fee or to any compensation.(b)The provisional licensee shall be bound to register such number of trees by paying tree-tax and surcharge on them as the Collector think sufficient taken into consideration the bid offered by such licensee.(c)The condition regarding the deposit of advance mentioned in subclause (d) of clause (i) supra shall be applicable to the provisional licence issued under this clause, but this deposit shall be refunded, if the licence is eventually refused before May 1 and the licensee has not committed any breach or a report regarding breach of licence conditions is not pending against him. If the licence is refused later on the whole or part of deposit can be refunded by Collector in consultation with Excise Commissioner.(7)If a licensee is not able to get the total number of trees covered by one instalment marked within the period fixed for its payment, he shall be allowed to utilize the balance of instalment in marking tree after April 30.Note. - Particulars of advance deposits made by the licensees shall be communi cated by the Collector to the Excise Inspectors concerned.(8)The provisions of sub-rule (5) of rule 9 [Paragraph 560 (5)] supra in regard to surcharge and tree-tax leviable shall apply in the case of shops settled by auction as well.(9)The provisions of Rule 6, paragraph 560 (6) supra shall apply in regard to the deposit of security for due observance of the conditions of the licence.(10)Vend licence shall be granted in Form C.L. 10-A. The licensee shall be bound by the conditions of the licence.
