TaxTMI 
TaxTMI 
1969 (9) TMI 131
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.... Calcutta and owns a factory run under, the name and style of "Woodcrafts (Assam) Ltds in Marian District Sib-sagar. It manufactures commercial plywood, decorative plywood, tea chests and other things and the raw material of comes from the forest reserves of Assam. On 7th April, 1956 an agreement of lease was entered by the petitioned with the Governor of Assam where By the Petitioner was granted by the Government the sole right to fell logs, remove trees and timber of the species referred to in Schedule B annexed to the document. The lease was for a period of 20 years with an option of renewal. Clause 18 of the lease which is relied upon by the Petitioner, is in the following terms "(18) (a) Rates of Royalty:- That the lessee will during t....
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....bility of the lessee thereof, or other dispute or difference whatsoever, the decision of the Government of Assam shall be final and binding on the parties thereto. 2. The Petitioner states that there were certain specified rates of royalty appearing in Schedule 'B' which were governing from the date of the presents to 30th September. 1956 at 6-11-6p. per C. Ft. and the same were revised on 30th October, 1956 to Rs. 2/- per C. Ft. which was later reduced on representation of the Petitioner to Rs. 1.37 P. per C. Ft. by letter dated 28th January, 1958, and the Petitioner paid at the reduced rates without any objection for the period 1956-59. Before the commencement of the second period, the Chief Conservator of Forests wrote to the ....
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....s demanded the Petitioner as well as A. R, and T. Co. to pay all arrear dues for 1959-62 at the 1956-59 rates and the dues at the rate of Rs. 2.25 P. per C. ft. from 1962 up-to-date. (Annexure 'XV to the counter-affidavit). The Companies were informed that if they pay as ordered in this letter, they will be allowed extraction of timber under the terms of the lease pending further decision regarding realization of dues at enhanced rate with retrospective effect for the period '59-62', On the above facts shortly put, the questions are: (1) Whether Government's revision of royalty for the period 1959-62 made after the expiry of the period (namely on 20-11-62 when the Cabinet took the decision or on 13-12-62 when it was....
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....anction, of the Provincial Government, or some person in whom such right, or the power to create such right, was vested when the notification under Section 17 was published. Mr. Ghose submits that the agreement dated 7-4-56 is a contract in writing made in pursuance of Rule 21, and, as such, the terms thereof are statutory and can be enforced by a Writ. Rule 21 clearly shows that no one has any right in or over a reserved forest except as laid down under the provisions of that rule. This rule authorises the Government to grant rights over reserved forest under a contract in writing. This is one of the methods open to the Government to grant various rights to persons in a reserved forest. Rule 21 enables the Government to follow a particu....
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.... delay in the revision of rates has put the Petitioner in great disadvantage in a competing market for the commodity he manufactures out of the raw material. The Petitioner is also unnecessarily burdened' with the increase of royalty after the commodities had been sold out on the basis of price calculated at the rate of the royalty then obtaining. The argument is not without force, but the appeal must be to the Government and not to the Court to give relief if really hardship and injustice have ensued to any party. The Court under Article 226 is confined to administer the law in accordance with the trite and well-recognised principles. Unless the case is brought within the four corners of the tests necessary for inducing the Court to ex....