Section 11(4) in The U.P. Scheduled Commodities Dealers (Licensing and Restriction on Hoarding) Order, 1989
(4)No person shall have in his possession or custody, whether by way of bailment or otherwise any quantity of scheduled commodities on behalf of or on account of any licence:Provided that nothing in this clause shall apply to-(a)The Central Warehousing Corporation or the State Warehousing Corporation or a Co-operative Warehousing Society;(b)a Scheduled Bank or a Co-operative Bank with which a Scheduled Commodity has been pledged;(c)a Commission Agent;(d)a licensed Rice Mill or Flour Mill to whom a Scheduled Commodity has been delivered by a licensee for purposes of milling;(e)a carrier to whom a Scheduled Commodity has been delivered by a licensee for the purposes of transport.Explanation. - The stock of any Scheduled Commodity pledged with a bank, or kept in a warehouse or stored with any other person by way of pledge or any other bailment shall for purposes of sub-clause (1) be deemed to be in possession of the pledger or, as the case may be, the bailor.
