Licence

(1) No sugarcane shall be crushed by any sugar factory unless the owner thereof has obtained from the Cane Commissioner a licence in such form and on such conditions as may be prescribed.

Provided that, the Cane Commissioner shall not refuse to grant a licence under this section except for reasons to be recorded in writing.

(2) The State Government may by rules prescribe the condition under which the licence may be granted.

Provided that the State Government may refuse to grant a licence to any factory, if— (a) the owner has already been denied a licence or has its licence refused or not renewed; or (b) the application for licence was not made for the previous crushing season.

(3) Every factory, subject to the provisions of this Act, shall function with the previous permission of the State Government.

(4) Notwithstanding anything contained in sub-section (1), any factory owner who has applied for a licence under section 27 and has deposited the requisite fee prescribed by the State Government, shall be deemed to have been granted a licence until the application is otherwise disposed of.

Provided that, the State Government or the Cane Commissioner may cancel or suspend the licence for breach of any conditions under which the fees were deposited.