Chapter IX Chapter IX

(1) The State Government may acquire any land within a market area, which in its opinion is needed for the purposes of this Act, under the provisions of the Land Acquisition Act, 1894 or any other corresponding law for the time being in force. (2) Such land shall be transferred by the State Government to the market committee on payment by the market committee of the compensation awarded under the Land Acquisition Act, 1894, or any other corresponding law for the time being in force and of all other charges incurred by the State Government on account of the acquisition, within such period and in such manner as the State Government may, by general or special order, determine and on such transfer the land shall vest in the market committee.

Every member of the market committee shall be personally liable for any misapplication of its moneys to which he shall have been a party, or which shall have occured through, or been facilitated by, gross neglect of his duty as a member, and may be sued for recovery of the moneys so misapplied as if such moneys had been the property of the State Government. Provided that no member shall be personally liable in respect of any contract or agreement made, or for any expense incurred by, or on behalf of, the market committee, and the funds of the market committee shall be liable for, and be charged with, all costs in respect of any such contract and agreement and all such expenses.

(1) Any sum due from a market committee to the State Government shall be recoverable as an arrear of land revenue. (2) Any sum due to a market committee on account of any fees, charge, cost or expenses under this Act or under the rules or bye-laws remaining unrecovered after following the procedure prescribed by rules, shall be recoverable as an arrear of land revenue.

Subject to the procedure laid down in section 5, the State Government may, by a notification in the Official Gazette, declare that a market area shall cease to be such area or divide a market area into two or more separate market areas.

(1) Where a market area ceases to be a market area,— (a) any market established therein shall cease to be a market, and (b) the market committee or committees established for the market area shall stand dissolved and the following consequences shall ensue, namely:- (i) the members of the committee or committees shall vacate their office; (ii) the unexpended balance of the Market Committee Fund and other property and liabilities of the market committee shall vest in the State Government : Provided that the State Government shall not be liable to discharge the liabilities so vesting in so far as the same exceed the unexpended balance of the Market Committee Fund and the value of the property vesting in the State Government. (2) Where any area is excluded under section 6 from a market area for which a market committee has been established and such area is not included in any other market area or declared to be a market area so much of the Market Committee Fund and other property vesting in the market committee as the State Government may by order in writing direct shall vest in the State Government. (3) The State Government shall credit to the State Agricultural Produce Markets Fund such sum as in its opinion represents the fund and property vesting in it under sub-section (1) or (2).

(1) When during the term of a market committee the limits, of the market area for which it is established are altered or the market area is divided into two or more separate market areas, the State Government may by order in writing dissolve the market committee and direct that a market committee be constituted for each market area as formed on account of such alteration. The members of the market committee so dissolved shall vacate their office from the date specified in the order. (2) A new market committee constituted under the provisions of sub-section (2) shall consist of members nominated by the State Government and its Chairman and Vice-Chairman shall be elected in the manner provided in his Act. The member shall, so far as in the opinion of the State Government may be practicable, be persons who were members of the dissolved market committee. (3) The members of such new market committee shall hold office for such period not exceeding two years as the State Government shall by order in writing specify. (4) On the expiry of the period of office of the members of a market committee under sub-section (3), the market committee shall be reconstituted in the manner provided in section 11.

(1) When under sub-section (1) of section 54 a new market committee has been constituted, there shall be transferred to it such portion of the dissolved committee’s market fund and other property and debts and obligations as the State Government may by order in writing direct. (2) The rights and liabilities of the dissolved market committee in respect of civil and criminal proceedings, contracts, agreements and every other matter or thing arising in or relating to any part of the area subject to the authority of the new market committee shall vest in the new market committee. (3) Any notification, notice, fee, order, scheme, licence, permission, bye-law or form, made, issued or imposed by the market committee which has been dissolved, in respect of any part of the area subject to the authority of the new market committee, shall be deemed to have been made, issued or imposed by the new market committee unless and until it is superseded by any notification, notice, fee, order, scheme, licence, permission, rule, bye-law or form, made, issued or imposed by it.

A copy of any entry in any book, register or list regularly kept in the course of business in the possession of a market committee if duly certified in such manner as may be prescribed, shall, in respect of the existence of the entries and in respect of the matters and the transactions therein recorded, be admissible in evidence in every case to the same extent to which the original entry would, if produced, have been admissible.

The Chairman, the Vice-Chairman, the members, the Secretary and other officers and servants of a market committee and the Chairman, the members and other officers and servants of the Board shall be deemed to be public servants within the meaning of section 21 of the Indian Penal Code.

(1) No suit or other proceedings shall be instituted against a market committee or the Board or a member, officer or servant thereof or a person acting under the directions of any of them for anything done or purporting to be done in good faith under this Act, until the expiration of two months next after a notice in writing, stating the cause of action, the name and place of abode of the intending plaintiff and the relief which he claims, has been in the case of a market committee, or the Board delivered or left at its office, and in the case of any such member, officer, servant or person as aforesaid delivered to him or left at his office or usual place of abode, and unless the plaint contains a statement that such notice has been so delivered or left. (2) Any such suit not instituted within six months from the date of the accrual of the alleged cause of action shall be dismissed. (3) Nothing in this section shall be deemed to apply to any suit instituted under section 54 of the Specific Relief Act, 1877.

(1) The State Government may, by notification in the Official Gazette, make rules, either generally or specially for any market area or market areas for the purposes of carrying out the provisions of this Act. (2) In particular and without prejudice to the generality of the foregoing provision, such rules may provide for or regulate— (i) the preparation and revision of list of voters for the purpose of any election under section 11, determination of disputes arising in such election and payment of expenditure in connection with or incidental to such election; (ii) the periodical inspection of all weights and measures and the weighing and measuring instruments in use in a market area; (iii) the manner of control and supervision to be exercised by the market committee over Inspectors appointed under section 15 of the Bombay Weights and Measures (Enforcement) Act, 1958; (iv) the provision of facilities for the settlement of any dispute between a buyer and seller of agricultural produce or their agents including disputes regarding the quality or weight of the article, the allowances for wrappings, containers, dirt or impurities or deductions for any cause; (iv-a) the manner of election of members of the Board under clause (a) of sub-section (2)of section 34 A; (iv-b) the allowances and fees to be paid to a member of the Board under sub-section (2) of section 340; (iv-c) the conditions of appointment and service and pay-scale of the Managing Director under clause (a) of sub-section (3) of section 341; (iv-d) the forms in which accounts shall be maintained under clause (ix) of section 34 J; (iv-e) the percentage of the income of market committees at which the market Committees shall pay contribution to Development Fund under sub-section (2) of section 34M; (iv-f) the auditors by whom and the audit fees on payment of which accounts of the Board shall be audited annually under sub-section (2) of section 34P; (iv-g) the delegation of powers and duties by the Board under section 34Q; (iv-h) the manner in which inquiries into all or any of the activities of the Board shall be made under sub-section (2) of section 348; (v) the preparation of plans and estimates for works proposed to be constructed partly or wholly at the expense of the market committee and the grant of sanction to such plans and estimates; (vi) any other matter which is expressly required or allowed by this Act to be prescribed by rules (3) Any rule made under this Act may provide that any contravention thereof or any of the conditions of any licence issued or renewed thereunder shall, on conviction, be punishable with imprisonment which may extend to one month or with fine which may extend to five hundred rupees or both. (4) The power to make rules conferred by this section is subject to the condition of the rules being, made after previous publication. (5) All rules made under this section shall be laid for not less than thirty days before the State Legislature as soon as possible after they are made, and shall be subject to rescission by the Legislature or to such modifications as the Legislature may make during the session in which they are so laid, or the session immediately following. (6) Any rescission or modifications so made fey the Legislature shall be published in the Official Gazette and shall thereupon take effect.

(1) The Board may, with the previous approval of the State Government, make regulations, not inconsistent with this Act and the rules made thereunder, for the administration of the affairs of the Board. (2) In particular and without prejudice to the generality of the foregoing power, such regulations may provide for all or any of the following matters, namely:— (a) the time and date at which and the place where meetings of the Board shall be held, the procedure in regard to transaction of its business (including quorum) at such meetings under sub-section (2) of section, MD; (b) the conditions of appointment and service of officers and servants; of the Board under clause (b) of sub-section (3) of section 341; (c) the manner in which accounts of the Board shall be audited under clause (ix) of section 34J; (d) the terms and conditions on which subsidy and loans to market committees may be granted under clause (xviii) of section 34J; (e) the procedure to be followed under clause (i) of section 34K in appointing officers and servants of the Board; (f) the manner in which the record of the proceedings of the meetings of the Board shall be maintained under clause (vii) of section 34K;

(1) A market committee may, in respect of the market area and agricultural produce for which it is established, make bye-laws, not inconsistent with this Act and the rules made thereunder, for the regulation of business and the conditions of trading in the market area and for any other matters as may be prescribed : Provided that no such bye-law shall be valid until it is registered under this Act. (2) Any bye-law made under sub-section (1) may provide that any contravention thereof shall, on conviction, be punishable with fine which may extend to Rs. 200. (3) A copy of every bye-law made under sub-section (1) shall be forwarded to the Director in the prescribed manner. (4) On receipt of the copy, the Director if satisfied that the bye-law so forwarded is not inconsistent with this Act and the rules made thereunder, may register the bye-law : Provided that no order refusing to register a bye-law shall be passed without giving the market committee an opportunity of being heard. (5) Where the Director registers any bye-law of a market committee, he shall issue to it a copy thereof certified by him which shall be conclusive evidence of its registration. (6) Where the Director refuses to register any bye-law he shall communicate the order of refusal, together with his reasons therefor, to the market committee.

(1) If on a representation made in that behalf or otherwise it appears to the Director that the making of a bye-law or any modification or rescission of an existing bye-law is necessary or desirable in the interests of a market committee, he may call upon it to make the bye-law or to modify or rescind the existing bye-law within such time as he may specify. (2) If the market committee fails to comply with the direction issued under sub-section (1) within the time so specified, the Director after giving the market committee an opportunity of being heard and with the prior approval of the State Government, may make, modify or as the case may be, rescind the bye-law and register the bye-law or as the case may be, the modification or rescission so made and shall thereupon issue to the market committee a copy thereof certified by him. With effect from the date of such registration, the bye-law, the modification or as the case may be, rescission shall be deemed to have been duly made under this Act as if it had been made by the market committee under section 60.

(1) The State Government may, by notification in the Official Gazette, add to, amend or cancel any of the items of agricultural produce specified in the Schedule. (2) A notification issued under sub-section (1) shall be laid for not less than thirty days before the State Legislature as soon as possible after it is issued and shall be subject to rescission by the Legislature or to such modifications as the Legislature may make during the session in which it is laid, or the session immediately following. (3) Any rescission or modifications so made by the Legislature shall be published in the Official Gazette and shall thereupon take effect.

Nothing contained in the Bombay Markets and Fairs Act, 1862, or in any law for the time being in force relating to the establishment, maintenance or regulation of a market shall apply to any market area or affect in any way the powers of a market committee or the rights of a holder of a licence granted under this Act to set up, establish or continue any place for the purchase or sale of any agricultural produce notified under sub-section (1) of section 6 in such area.

(1) The Bombay Agricultural Produce Markets Act, 1939 and the Saurashtra Agricultural Produce Markets Act, 1955 are hereby repealed. (2) Notwithstanding the repeal of the said Acts,— (i) every market area, market, principal market yard, sub-market yard and market proper declared under any of the Acts so repealed and existing immediately before the commencement of this Act shall be deemed to be declared as such under this Act and the provisions of this Act shall apply thereto; (ii) every market committee established for any market area under any of the Acts so repealed shall, notwithstanding anything contained in section 11 but subject to the other provisions of this Act, be deemed to be a market committee established for the said market area under this Act and the members thereof holding office immediately before the commencement of this Act shall continue to hold office for the period for which they would have held office, had this Act not been enacted or until the market committee is duly reconstituted under section 11 whichever is earlier : Provided that if, in the case of any market committee, the period for which the members thereof would have held office as aforesaid expires before the 30th September, 1965, it shall be deemed to have been extended upto the end of December, 1965; (iii) any other thing done or action taken (including any appointment, order, notification, rule, bye-law made, licence issued, or fee imposed) under any of the Acts so repealed shall be deemed to have been done or taken, under the corresponding provisions of this Act and shall continue in force until it is superseded by anything done or action taken under this Act.