Chapter IV Chapter IV

(1) Every market committee shall be a body corporate by such name as the Director may specify by notification in the Official Gazette. It shall have perpetual succession and a common seal, may sue and be sued in its corporate name and shall be competent to acquire, hold, lease, sell or otherwise transfer property, to raise loans upon the security of its property in the manner and subject to the limits and other requirements including guarantees prescribed by rules, and to contract and to do all other things necessary for the purposes for which it is established. (2) A market committee shall be deemed to be a local authority within the meaning of clause (26) of section 3 of the Bombay General Clauses Act, 1904.

such person or, as the case may be, administrator shall nominate a member under this paragraph form amongst persons qualified to be councillors or members of the local authority and not holding a general licence; (v) two members to be nominated by the State Government : Provided that when a market committee is constituted for the first time all the members thereof shall be persons nominated by the State Government and shall hold office for a period of two years from the date of their nomination. (2) (a) If for any reason in the case of a market committee no election is held, the Director shall report the fact to the State Government and with the previous approval of the State Government nominate on the market committee members of the respective class specified in sub-section (1) from amongst persons qualified to be elected as members of the respective class. (b) The persons so nominated shall hold office for such period not exceed- ing two years as the Director may, with the approval of the State Government determine. (3) If for any reason in the case of a market committee an election does not result in the return of the required number of qualified persons to take office, the Director, after taking into consideration the views of the members already elected shall as soon as possible nominate from amongst persons qualified to be elected such number as is necessary to make up the required number and the persons so nominated shall be deemed to have been duly elected as members of the market committee. (4) (a) The term of office of a market committee shall, save as otherwise provided in this Act, be four years form the date of its first general meeting. (aa) The state Government may, by order published in the Official Gazette and for reasons to be recorded therein, extend the said term for a period not exceeding one year in the aggregate. (b) Save as otherwise provided in this Act, the term of office of the members of the market committee shall be co-extensive with the term of the market committee and also shall be deemed to extend to and expire with the day immedi- ately before the date of the appointment of an Administrator under clause (a) of sub-section (5). (5) (a) Where the term of office of a market committee has expired, the State Government shall, by order published in the Official Gazette direct that– (i) such parson as may be appointed by the State Government from time shall be the Administrator to manage the affairs of the market committee, during the period beginning with the date specified in the order and ending on the day imme- diately preceding the date of the first general meeting of the market committee as reconstituted on the expiry of the term of the market committee (hereinafter in this sub-section referred to as “the said period”); (ii) the market committee shall be reconstituted within such period not exceeding one year in the aggregate as may be specified in the order. (b) Daring the said period, all powers, functions and duties of the market committee under this Act shall be exercised and performed by the Administrator. (c) The Administrator may by an order in writing delegate any of the powers, functions and duties to be exercised or performed by him under clause (b) to any officer for the time being employed by the market committee. (d) The Administrator shall receive such remuneration from the Market Committee Fund as the State Government may from time to time by general or special order determine.

Any member of a market committee may in the prescribed manner resign his office by tendering his resignation to the market committee, and the resignation shall take effect on the date on which it is accepted by the Director or on the expiry of sixty days from the date of tendering the resignation whichever event occurs earlier.

(1) The Director may, on the recommendation of the market commi- ttee supported by atleast two-thirds of the whole number of members by an order remove any member of the market committee elected or nominated under this Act, if after holding such inquiry as he may deem fit, the Director is of the opinion that such member has been guilty of neglect or misconduct in the discharge of his duties or of any disgraceful conduct or has become incapable of performing his duties as a member : Provided that no resolution recommending the removal of any member shall be passed by the market committee unless the member to whom it relates has been given a reasonable opportunity of showing cause why such recommendation should not be made : Provided further that no order for removal of the member shall be passed by the Director unless the member has been given a reasonable opportunity of being heard. (2) A member so removed may, within 30 days of the date of commu- nication thereof to him, make an appeal to the State Government. (3) The decision of the State Government on appeal made under sub- section (2) and, subject thereto, the decision of the Director under subsection (1), shall be final.

(1) An elected or nominated member shall cease to hold office as such member if— (i) he ceases to be a member of the electorate by which he was elected; or (ii) he being a member of the class specified in clause (i) of subsection (1) of section 11 is granted a general licence under this Act; or (iii) he being a member nominated by a local authority, ceases to be a councillor, or as the case may be, a member of the local authority, or is granted a general licence under this Act. (2) The question whether any member ceases to hold office under sub- section (1) shall be determined by the Director.

If at any time any vacancy occurs for any reason in a market committee and remains unfilled, it shall be filled within such period and in such manner as may be prescribed by the election or nomination as the case may be, of a member thereto. The member so elected or. nominated shall hold office so long only as the member in whose place he is elected or nominated would have held it if the vacancy had not occurred.

No act or proceedings of a market committee shall be questioned on the ground merely of the existence of any vacancy in, or any defect in the consti- tution of, the market committee.

(1) Every market committee shall elect one of its members from the members of the class specified in clauses (i), (ii), and (iii) of sub-section (1) of section 11 to be its Chairman and another member to be its Vice-Chairman in such manner as may be prescribed. (2) The Chairman or Vice-Chairman may resign from office by tendering his resignation in writing to the market committee but it shall not take effect until it is accepted by the Director or on the expiry of sixty days from the date of tendering the resignation whichever event occurs earlier. (3) A temporary vacancy in the office of the Chairman or Vice-Chairman shall be filled in such manner as may be prescribed. (4) The Chairman and Vice-Chairman shall exercise such powers and per- form such duties and hold office for such terms as may be prescribed.

Save as otherwise provided in this Act, the business of a market committee (including the holding of its meetings) shall be conducted in accordance with the rules, which may also prescribe the quorum at meetings.

Every contract entered into by a market committee shall be in writing and shall be signed on behalf of the market committee by its Chairman and two other members, and no contract not so executed shall be binding on it.

(1) Every market committee shall have prepared each year on or before such date, and in such manner, as may be prescribed a budget estimate of its income, and expenditure for the next succeeding year. (2) The market committee shall before such date as may be prescribed sanction the budget so prepared without modifications or with such modifications as it thinks. (3) Subject to any rules made in respect of reappropriation, no expenditure shall be incurred unless there be a provision in the budget estimate so sanctioned. (4) A market committee may at any time during the year for which any budget estimate has been sanctioned cause a revised or supplementary budget es- timate to be prepared. Every such revised or supplementary budget estimate shall be considered and sanctioned by a market committee in the same manner as if it were an original budget estimate.

(1) The accounts and records of a market committee shall be mined and the accounts audited, in the prescribed manner. (2) Every market committee shall prepare an annual statement of accounts and an annual report in the prescribed manner and submit the same to such authority as may be prescribed.

(I) There shall be a Secretary for every market committee,, who shall be appointed by the market committee with the approval of the Director and subject to the terms and conditions prescribed. The Secretary shall exercise such powers and perform such duties as the market committee may from time to time direct. (2) The market committee may employ such other officers and servants as may be necessary for the management of the market. The market committee shall, in the case of any officer or servant of Government whom it employs pay such pension, contribution, gratuity or leave allowance as may be required by the conditions of his service under Government for the time being in force. (3) Subject to any rules made in this behalf, the market committee may provide for the payment to its officers and servants of such salaries, leave allo- wances, pensions or gratuities as it deems proper, and may contribute to any provident fund which may be established for their benefit.

A market committee shall exercise the powers and perform the func- tions and duties conferred or imposed on it by this Act and the rules.

(1) Where more market committees than one are established for any market area, the Director may, notwithstanding anything contained in this Act, issue general or special directions as to which of the market committees shall exercise, perform and discharge respectively all or any of the powers, duties and functions of the market committees under this Act, in which they are jointly interested or which are of a common nature. (2) The cost incurred by a market committee in pursuance of directions issued under sub-section (1) shall be shared by the other market committees concerned in such proportions as may be agreed upon, or in default of agreement, as may be determined by the Director or such officer as the Director may designate in this behalf. The decision of the Director or officer, as the case may be, shall be final.

(1) A market committee may appoint one’ or more sub-committees consisting of such number of its members as it may determine, for carrying out any work or to report to it on any matter. (2) A market committee may delegate to any one or more of its members or to any such sub-committee such .of its powers and duties as it may deem necessary.

It shall be the duty of every market committee to maintain and manage the market, to take all possible steps to prevent adulteration and to promote grading and standard dilation of the agricultural produce as may be prescribed, to provide such facilities in the market as the Director may from time to time direct and to enforce in the market area the provisions of this Act, the rules, bye-laws and the conditions of licences granted under the Act in connection with the purchase and sale of the agricultural produce with which it is concerned. It shall also be the duty of every market committee to collect and maintain such information relating to market intelligence as may be prescribed and to supply the same to Government whenever so required.

(1) On the establishment of a market, the market committee may, subject to rules made in that behalf, grant or renew a general licence or a special licence for the purpose of any specific transaction or transactions to a trader, general commission agent, broker, weighman, surveyor, warehouseman or any person to operate in the market area or part thereof, or after recording its reasons there for, refuse to grant or renew any such licence. (2) Licences may be granted under sub-section (2) in such forms, for such periods, on such terms and conditions and restrictions (including any provision for prohibiting brokers and commission agents from acting in any transaction both as buyer and seller, or on behalf of both the buyer and seller, and provision for regulating advances, if any, to be made to agriculturists by brokers, commission agents or traders and any provision for prescribing the manner in which and the places at which auctions of agricultural produce shall be conducted and the bids made and accepted and places at which weighment and delivery of agricultural produce shall be made in any market area)as may be prescribed or determined by he bye-laws and on payment of fees determined by the market committee Which maxima as may be prescribed (3) A market committee may, for reasons to be recorded in writing, suspend or cancel a license,— (i) if the licence has been obtained through wilful misrepresentation or fraud, or (ii) if the holder thereof or his servant or any person acting on his behalf with his express or implied permission, commits a breach of any of the terms, conditions, or restrictions imposed by the licence, or (iii) If the holder of the licence has adjudged and insolvent and has not obtained his discharge, or (iv) if the holder of the licence is convicted of any offence under this Act : Provided that no licence shall be suspended or cancelled unless the holder thereof has been given a reasonable opportunity to show cause against such suspension or cancellation. (4) If in respect of any holder of a licence, it appears to the Director that on any ground specified in sub-section (3) an action under that sub-section by the market committee was necessary but that the market committee has not taken any such action the Director may, on any such ground and for reasons to be recorded in writing and after giving a reasonable opportunity to the holder of the licence ,to be heard, by order suspend or cancel any licence granted or renewed under this section. (5) Any person aggrieved by an order refusing to grant or renew a licence or suspending or canceling any licence may, appeal within thirty days from the date of the communication of the order to him— (i) to the Director, if such order has been made by a market committee and (ii) to the State Government, if such order has been made by the Director. (6) The Director or as the case may be, the State Government after giving the appellant a reasonable opportunity of being heard, shall on such appeal make such order as is deemed just and proper.

The market committee shall, subject to the provisions of the rules and the maximal and minima from time to time prescribed levy and collect fees on the agricultural produce bought or sold in the market area : Provided that the fees so levied may be collected by the market committee through such agents as it may appoint.

The Chairman, Vice-Chairman or Secretary of the market committee- or any member, officer or servant authorized by the committee in this behalf, may— (a) for carrying out any of the duties imposed on the market committee under this Act at all reasonable times enter and search any place, premises or vehicle, and (b) seize any article in respect of which he has reason to believe that an offence under this Act has been or is being or is about to be committed and any vehicle or animal which he has reason to believe to be in use or to have been used or to be about to be used for carrying such articles, and shall detain the same so long as may be necessary in connection with any proceeding under this Act or for a prosecution : Provided that a report of the seizure- shall forthwith be made by the person seizing the article, vehicle or animal to the Chairman if he is not the Chairman himself: Provided further that the grounds for seizing any such article, vehicle or animal shall be communicated in writing within twenty four hours of the seizure to the person from whose possession the same was seized.

(1) The Chairman, “Vice-Chairman or Secretary of the market committee or any other member, officer or servant authorized by the committee in this behalf may summarily evict from the market any person found to be opening in the market area without holding a valid licence. (2) Such eviction shall be without prejudice to any punishment to which the person evicted may be liable under this Act.

(1) Notwithstanding anything contained in the Bombay Weights and Measures (Enforcement) Act, 1958 if any difference arises between an Inspector appointed under section 15 of the said Act and any person interested as to the meaning or construction of any rule or regulation or as to the method of verifying, adjusting or stamping any weight or measure or weighing or measuring instrument in any market area, at the request of the person interested it shall be and in other case may be, referred by the Inspector to the market committee and the decision of the market committee shall, subject to the provisions of sub-section (3), be final. (2) If any dispute arises in the course of business under this Act between persons operating in the market, any person who is party to the dispute may refer it to the market committee and the decision of the market committee, subject to the provisions of sub-section (3), shall be final. (3) From a decision under sub-section (2) or (2) an appeal shall within the time prescribed lie to the State. Government or such officer as the State Government may appoint in this behalf. The decision of the State Government or, as the case may be, such officer shall be final.