1997 (5) TMI 416

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....r the respondent. 3.. The revisionist deals in tendu leaves that are purchased from the Forest department and are then sold by him. While selling the tendu leaves to the dealer the Forest department charged sales tax on the sale price of tendu leaves on which sales tax is leviable at the point of sale by a manufacturer or importer. Admittedly, the tendu leaves in question were not imported from outside the State of Uttar Pradesh and were purchased from the Forest department of the State of Uttar Pradesh. Under the agreement with the Forest department the dealer collected tendu leaves and, therefore, the Sales Tax Department took the view that the dealer was a manufacturer within the meaning of section 2(ee) of the Act and consequently wh....

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....cturer. The provisions of the Act show that the Act was intended to create State monopoly in the purchase and distribution of tendu leaves. Section 5-A of the Act provides that the State Government or an officer empowered by it may permit........ a person to whom the State Government has sold or with whom it has agreed to sell tendu leaves to collect the same on its behalf directly from the grower of tendu leaves, on payment of price thereof. In respect of tendu leaves to grow on land which is vested in the State Government the State Government is the grower. Sub-section (3) of section 5-A then says that a person authorised under sub-section (1) shall be deemed to be an agent for all or any of the purposes of this Act as may be prescribed. ....