Motilal Padampat Udyog Ltd vs The State Of Bihar & Ors on 24 November, 2015
The Rules were
struck down on the ground of absence of legal sanction for
such levy under the Act as it stood then by a Division Bench
of this Court, by the decision reported in 1975 BBCJ 397, in
case of "Bhola Nath Gupta and Ors. Vs. State of Bihar",.
Thereafter, through Bihar Molasses (Control) (Amendment)
Act, 1977, Section 8A was inserted in the Act, which
empowered the State Government to impose administrative
Patna High Court CWJC No.11815 of 2001
16/27
charges on molasses. "Released molasses", which was
earlier defined under Section 2(f) of the Act, as "such
molasses, which is either considered surplus to the
requirements of the distilleries of the State of Bihar or which
is unfit for the use of such distilleries", came to be re-
defined, as "such molasses, which is allotted to any distillery
of the State of Bihar or to the distilleries outside the State of
Bihar or to any person".