State Act

THE UTTAR PRADESH SUGARCANE (REGULATION OF SUPPLY AND PURCHASE) ACT, 1953

17- [(1) The occupier of a. factory shall make such provision for speedy payment of the price of cane purchased by him as may be prescribed.]3 (2) Upon the delivery of cane the occupier of a factory shall be liable to pay immediately the price of the cane so supplied, together with all other sums connected therewith. [***]5 (3) Where the person liable under sub-section (2) is in default in making the payment of the price for a period exceeding fifteen days from the date of delivering, he shall also pay interest at a rate of 7 ½ per cent per annum from the said date of delivering, but the Cane Commissioner may, in any case, direct, with the approval of the State Government that no interest shall be paid or be paid at such reduced rate as he may fix. [Provided that in relation to default in payment of price of cane purchased after the commencement of this proviso, for the figures “7 ½” the figures “12” shall be deemed substituted.]6 (4) The Cane Commissioner shall forward to the collector a certificate under his signature specifying the amount of arrears on account of the price of cane plus interest if any due from the occupier and the collector, on receipt of such certificate shall proceed to recover from such occupier the amount specified therein as if it were an arrear of land revenue. [(5) (a) Without prejudice to the provisions of the foregoing sub-sections, where the owner or any other person having control over the affairs of the factory or any other person competent in that behalf enters into an agreement with a bank under which the bank agrees to give advance to him on security of sugar produced or to be produced in the factory the said owner or other person shall provide in such agreement that [a percentage determined by such authority and in such manner as may be prescribed]7 of the total amount of price of sugarcane purchased or to be purchased for the factory during the current crushing session from those cane-growers or from or through those societies, and interest thereon and, such societies commission in respect thereof. (b) Every such owner or other person as aforesaid shall send a copy of every such agreement to the Collector within a week from the date on which it is entered into.]4