The Goa Agricultural Produce Marketing (Development and Regulation) Act, 2007

-1- GOVERNMENT OF GOA Department of Law & Judiciary Legal Affairs Division ––– Notification 7-12-2007-LA The Goa Agricultural Produce Marketing (Development and Regulation) Act, 2007 (Goa Act 11 of 2007), which has been passed by the Legislative Assembly of Goa on 8-3- 2007 and assented to by the Governor of Goa on 1-8-2007, is hereby published for general information of the public. Sharad G. Marathe, Joint Secretary (Law). Porvorim, 6th August, 2007. The Agricultural Produce Marketing (Development and Regulation) Act, 2007 (Goa Act 11 of 2007) [1-8-2007] AN ACT To provide for improved regulation in marketing of agricultural produce, development of efficient marketing system, promotion of agri-processing and agricultural export and the establishment and proper administration of markets for agricultural produce in the State of Goa and to put in place an effective infrastructure for marketing of agricultural produce and lay down procedure and system thereto. BE it enacted by the Legislative Assembly of Goa in the Fifty-eighth Year of the Republic of India as follows :— CHAPTER I Preliminary 1. Short title, extent and commencement.— (1) This Act may be called the 1[Goa Agricultural Produce and Livestock Marketing (Promotion and Facilitation) Act, 2007] (2) It shall extend to the whole of the State of Goa. (3) It shall come into force on such date as the Government may, by notification in the Official Gazette, appoint. Synopsis Appointed date on which Act came in to force: The Government vide Notification No. 13/1/07- MR/MKT/RCS dated 26th August 2010, published in the Official Gazette Series- I No. 22 (Extraordinary) Notified appointed date for the Act come in to force is a date on which the Notification published in the Official Gazette i.e. 26th August 2010 2. Definitions.— In this Act, unless the context otherwise requires,— 2 [(a) “ad hoc buyer” includes a buyer registered under section 60A of this Act.] 3[(aa)] "agricultural produce" means all produce (whether processed or unprocessed) of agriculture, horticulture, apiculture, sericulture, livestock and products of livestock, forest -2- produce, etc., as are specified in the Schedule or declared by the Government by Notification from time to time and also includes mixture of two or more than two of such products; 4[(iii) (b) “agriculturist” means a person who ordinarily by his own labour or by the labour of any member of his family or by the labour of his tenants or servants or hired labour or otherwise, is engaged in the production or growth of any notified agricultural produce, and includes a member of a co-operative society registered in the State of Goa which is dealing with agricultural produce and a person who has sold agricultural produce to the co-operative society, of the value not less than Rs. 5000/- in the preceding financial year or of such amount as may be determined by the State Marketing Officer from time to time in the preceding financial year; but does not include a trader, trading agent, broker, processor or commission agent:] (a) a member of a co-operative society registered in the State of Goa which is dealing with agricultural produce; or (b) a person who has sold agricultural produce to the co-operative society, of the value not less than Rs. 5000/- or of such amount as may be determined by the State Marketing Officer from time to time in the preceding financial year; but does not include a trader, trading agent, broker, processor or commission agent; 5[(bb) “assaying lab” means a laboratory set up, for testing of quality parameters as per the tradable parameters or grade-standards or any other parameters notified by the Marketing Board;] (c) "bill" means a bill issued by the traders as prescribed; (d) "business" means the purchase, sale, processing, value addition, storage, transportation or other connected activity of agricultural produce; (e) "buyer" means a person or a firm or a company or a co-operative society or a Government agency or a public undertaking or a public agency or a corporation or a commission agent, who himself or on behalf of any other person or agent, buys or agrees to buy agricultural produce in the market area as notified under this Act; (f) "bye-laws" means the bye-laws made by the 6[Goa Agricultural Produce and Livestock Marketing Board] under this Act; 7[(fa) “cold storage” in relation to market yard means cold storage declared as market sub-yard under section 5E of this Act;] (g) "Collector" means the Collector of the district or any officer empowered to discharge the duties of the Collector under the provisions of this Act; (h) "commission agent" means a person who on behalf of his principal trader and in consideration of a commission on the amount involved in such transaction, buys agricultural produce and keeps it in his custody and delivers it to the principal trader in due course or receives and takes in his custody agricultural produce sent for sale within the market area or from outside the market area, sells the same in the market area and collects payment thereof from the buyer and remits the sale proceeds to his principal trader; (i) "contract farming" means farming by a person called "Contract Farming Producer" under a written agreement with another person called "Contract Farming -3- Sponsor" to the effect that his agricultural produce shall be purchased as specified in the contract farming agreement; (j) "contract farming agreement" means the agreement made for contract farming between Contract Farming Producer and Contract Farming Sponsor; (k) "contract farming producer" means an individual agriculturist or association of agriculturists, by whatever name called; (1) "contract farming sponsor" means a person entering into contract with the contract farming producer in terms of section 46 of this Act; 8[(la) “direct marketing” in relation to agricultural produce, means direct wholesale purchase of agricultural produce from the farmers by the processors, exporters, bulk buyers, etc. outside the principal market yard, submarket yard, private market yard and market sub-yard under section 5D of this Act;] (m) "District Council" means a Zilla Panchayat established under the Goa Panchayat Raj Act, 1994 (Goa Act 14 of 1994); (n) "export" means dispatch of agricultural produce outside India; (o) "exporter" means such person or a firm who exports agricultural produce; (p) "e-trading" means trading in which billing, booking, contracting, negotiating, information exchange, record keeping and other connected activities are done electronically on computer network or internet; 9[(pa) “electronic trading platform” means electronic platform set up either by Government or its agencies or a person licenced under section 60B for conducting trading in notified agricultural produce including livestock through electronic media or by any means of communication in which registration, buying and selling, billing, booking, contracting and negotiating are carried out online through computer network/internet or any other such electronic device; “(pb) “Farmer-Consumer Market Yard” means market yard established under section 5D of this Act; “(pc) “Farmer-Producer Company (FPC)” means a company of farmer producer members incorporated with the Registrar of Companies;] (q) "Government" means the Government of Goa; (r) "hamal" means a labourer or coolie engaged for Dara-making, loading, unloading, filling, stitching, emptying or carrying any agricultural produce in the notified market area; (s) "Import" means bringing agricultural produce in India from other country; (t) "Importer" means a person or firm who imports agricultural produce; (u) "Licence" means a licence granted under this Act; (v) "Licensee" means a person or association or firm or company or public sector undertaking or society holding a licence issued under this Act; 10[(va) “livestock” means cows, buffaloes, bullocks, bulls, goats and sheep, and includes poultry, fish and such other animals, and products thereof, specified in the Schedule; hereto;] -4- (w) "local authority" means and includes a Village Panchayat or Zilla Panchayat or Municipal Council or Municipal Corporation, as the case may be; (x) "Market" means a market area declared under section 4 of this Act and includes market yard and sub-yards; (y) "market area" means area notified as market area under section 4 of this Act; (z) "market charges" includes charges on account of or in respect of commission, brokerage, weighing, measuring, hamali (loading, unloading and carrying), cleaning, drying, stitching, stacking, hiring, stamping, bagging, storing, warehousing, grading, surveying, transporting and processing; (za) "market functionary" means a trader, a commission agent, buyer, hamal, processor, stockiest and such other person as may be declared under the rules or bye-laws to be a market functionary; (zb) "market yard" means a specified place and includes any enclosure, building or locality declared as such in any market area by the Government; (zc) "marketing" means all activities involved in the flow of agricultural produce commencing from the stage of harvest till it reaches to the ultimate consumers, viz. grading, processing, storage, transport, channels of distribution and all other activities involved in the process; 11[(zca) “Market Yard of National Importance” means a market yard as notified under section 5B of this Act;] (zd) "Marketing Board or Board" means the 12[Goa Agricultural Produce and Livestock Marketing Board]established under section 10 of this Act; (ze) "notified agricultural produce" means any agricultural produce notified under section 4 of this Act; 13[(zea) “Notified Agricultural Produce and Livestock” means agricultural produce and livestock, specified in the Schedule; hereto; “(zeb) “National Agriculture Market (NAM)” means an integrated market, where buying and selling of notified agricultural produce including livestock and activities incidental thereto are carried out in India possessing marketing utility across time and space;] (zf) "Other Backward Classes" means the other backward classes of citizens as specified by the Government from time to time; 14[(zfa) “over trading” in relation to a trader means the amount exceeding the value of the agricultural produce including livestock purchased at any point of time vis-à-vis to the amount of security deposited with or the bank guarantee he has furnished to the Marketing Board; “(zfb) “own consumption purchases” means retail purchases made in small quantities for domestic consumption and not for resale or business purposes. “(zfc) “person” includes individual, a co-operative society, Hindu Undivided family, a company or firm or an association or a body of individuals, whether incorporated or not; -5- “(zfd) “petty trader” in relation to agricultural produce means a non licensee trader under this Act who carries on purchasing or selling of notified agricultural produce in the quantity not exceeding such quantity as specified in this Act and notified by the Government as retail;] (zg) "prescribed" means prescribed by rules made under this Act; (zh) "private market yard" means such place other than the market yard or sub-market yard in the market area where infrastructure has been developed and managed by a person for marketing of notified agricultural produce by holding a licence for this purpose under this Act; (zi) "processing" means any one or more of a series of treatments relating to powdering, crushing, decorticating, dehusking, parboiling, polishing, ginning, pressing, curing or any other manual, mechanical, chemical or physical mode of treatment to which agricultural produce or its product is subjected to; (zj) "processor" means a person who undertakes processing of any notified agricultural produce on his own accord or on payment of a charge; (zk) "registration" means registration done under this Act; (zl) "retail sale" means a sale of notified agricultural produce not exceeding such quantity as the Marketing Board may, by bye-laws, determine for retail sale in respect thereof; (zm) "rules" means rules made under this Act by the Government; (zn) "Schedule" means the Schedule to this Act; (zo) "schedule castes/schedule tribes" shall carry the same meaning as assigned to them under clause (24) and (25) respectively of Article 366 of the Constitution of India; (zp) "Secretary" means the Secretary of the Marketing Board and includes a Joint, Deputy or Assistant Secretary of the Marketing Board; (zq) "seller" means a person who sells or agrees to sell any agricultural produce; 15[(zqa) “Silo” means silo declared as market sub-yard under section 5E of this Act; “(zqb) “Special Commodity market Yard” means such market yard notified under section 5A of this Act; “(zqc) “State” means the State of Goa;] (zr) "State Marketing Officer" means a person appointed as the State Marketing Officer for the State of Goa; (zs) "Sub-market yard" means a specified place other than market yard and includes any enclosure, building or locality, declared as such in any market area by the Government or the State Marketing Officer, by notification; (zt) "trader" means a person who in his normal course of business buys or sells any agricultural produce and includes a person engaged in processing of agricultural produce but does not include an agriculturist; (zu) "transportation" means taking agricultural produce by pushcart, bullock cart, -6- truck or other vehicle, in the course of business, for marketing, from one place to another; (zv) "transporter" means a person who transports agricultural produce; (zw) "Value addition" means processing, grading, packing or other activities due to which value is added to the agricultural produce; 16[(zwa) “warehouse” in relation to market yard, means warehouse declared as market sub-yard under section 5E of this Act;] 17[(zwb) “Revolving Marketing Development Fund” means a separate non-lapsable fund maintained by State Marketing Officer under sub-section (2A) of section 44 of this Act;] (zx) "Year" means the financial year or such year as may be notified by the Government from time to time. CHAPTER II Establishment of Markets 3. Notification of intention of developing and regulating marketing of agricultural produce in specified area.— (1) Upon a representation made by any person or local authority or by the growers of any agricultural produce within the area for which a market is proposed to be established or otherwise, the Government or the person appointed by the Government as the State Marketing Officer, may, by notification in the Official Gazette and in such other manner as may be prescribed, declare its or his intention of developing and regulating the marketing of such agricultural produce in such area as may be specified in the notification. (2) A notification under sub-section (1) shall state that any objection or suggestion which may be received by the Government or the State Marketing Officer within a period which shall be not less than thirty days from the date of publication of such notification in the Official Gazette, shall be considered by the Government or the State Marketing Officer. 4. Declaration of market areas and development and regulation of marketing of specified agricultural produce therein.— After expiry of the period specified in the notification issued under section 3 and after considering such objections and suggestions as may be received before the expiry of such period and after making such inquiry as may be necessary, the Government or the State Marketing Officer may, by notification, declare the area specified in the notification issued under section 3 or any portion thereof to be a market area for the purposes of this Act and that marketing of all or any kind of agricultural produce specified in the notification issued under section 3 shall be developed and regulated under this Act in such market area. 5. 18 [5. Principal market yard, sub-market yard, market sub-yard, private market yard, private market sub-yard, farmer-consumer market yard, private farmer- consumer market and electronic trading platform. (1) In this State, there may be— (a) principal market yard(s) managed by the Marketing Board; (b) sub-market yard(s) managed by the Marketing Board; (c) market sub-yard(s) managed by the Marketing Board; (d) private market yard(s) managed by a person, holding a licence under section 5C; -7- (e) private market sub-yard(s) managed by a person holding a licence under section 5F; (f) farmer-consumer market yard(s) managed by the Marketing Board; (g) private farmer-consumer market yard(s) managed by a person, holding a licence under section 5D; (h) electronic trading platform. (2) The Government shall, as soon as possible after the issue of notification under sections 3 and 4, by a notification, declare any ‘place’ in the market area as principal market yard or sub-market yard or market sub-yard or farmer-consumer market yard, as the case may be, managed by a Marketing Board, for the purpose of regulation of marketing of notified agricultural produce and livestock, expressly or impliedly in physical, electronic or other such mode, under this Act. Explanation.— In this sub-section (2), the expression ‘place’ shall include any structure, enclosure, open space locality, street including warehouse/silos/pack house/cleaning, grading and packaging and processing unit vested in the Marketing Board of the delineated market area. (3) The Government may, by notification, declare a ‘place’, licenced under section 51, to be private market yard, private market sub-yard, private farmer- consumer market yard, as the case may be, for marketing of notified agricultural produce and livestock, expressly or impliedly in physical, electronic or other such mode, under this Act. Explanation.— In this sub-section (3), the expression ‘place’ shall include any structure, enclosure, open space locality, street including warehouse/silos/pack house/cleaning, grading and packaging and processing unit vested in the person licenced for the purpose under this Act. 5A. Establishment and notification of “Special Commodity Market Yard”.— (1) The Government may designate any existing market yard established under sub-section (2) of section 5 as “Special Commodity Market Yard” or establish and notify any market yard as “Special Commodity Market Yard” after consideration of such aspects as throughput of particular agriculture produce and livestock and special infrastructure requirements therefore. It may be- (i) fruits, vegetables and flowers markets, including onion market, apple market, orange market and other such market; (ii) cotton market; (iii) medicinal and aromatic plants market; (iv) livestock market including camel market, fish market, poultry market and other such market; and (v) any other such markets. (2) All provisions for and in relation to the Marketing Board made in the Act shall mutatis mutandis apply to the Marketing Board established for “Special Commodity Market Yard”. 5B. Establishment and notification of “Market Yard of National Importance (MNI).— The Government may designate and notify any existing market yard established under sub-section (2) of section 5 as “Market Yard of -8- National Importance” or establish and notify any market as “Market Yard of National Importance” after consideration of such aspects as total throughout, value, upstream catchment area, down-stream number of consumers served and special infrastructure requirements thereof: Provided that the market yard handling not less than such annual tonnage or such annual values, as may be prescribed, may be considered for conferring the status as the “Market Yard of National Importance”; Provided further that out of such annual tonnage or such annual value, 30 percent may arrive from not less than two other States. 5C. Establishment of private market yard.— (1) Subject to such reasonable conditions and such fee as may be prescribed, the 19[State Marketing Officer or such officer as may be authorized by him] may grant a licence to a person to establish a private market yard, for trading of notified agricultural produce and livestock. (2) The private market yard licensee, or its management committee, by whatever name it is called, may register commission agents and other market functionaries to operate in the licenced private market yard. (3) The private market yard licensee, or its management committee, may collect user charge on notified agricultural produce and livestock transacted in the private market yards, at the rate ad valorem not exceeding the rate as notified by the Government: Provided that no user charge shall be collected from agriculturist seller. (4) The private market yard licensee shall contribute such user charge collection and registration fee, to the 20[Revolving Marketing Development Fund] for this purpose at the rate in percentage at par with Marketing Board. (5) The 21[State Marketing Officer] will spend the money from such Fund under sub- section (4) in development of common marketing infrastructure, skill development, training, research and pledge financing and such other activities as will aid in creating an efficient marketing system in the State/Country. (6) The private market yard licensee shall formulate a Standard Operating Procedure (SOP) for conduct of business and activities ancillary thereto in the licenced private market yard. 5D. Establishment of farmer-consumer market yard (direct sale of agricultural produce by farmer to consumer in retail).— (1) Subject to such terms and conditions and fee, as may be prescribed, the 22[State Marketing Officer or such officer as may be authorized by him], may grant licence to person to establish farmer consumer market yard for marketing of specified agricultural produce in retail. (2) Such farmer-consumer market yard may be established by a person by developing infrastructure, as may be prescribed, and at a place accessible to both farmers(s) and consumer(s): Provided that the consumer shall not purchase more than such quantity of agriculture produce at a time in this market yard as prescribed. (3) The farmer-consumer market yard licensee may collect the user charge on the sale of agriculture produce from the seller and amount so realized shall be -9- retained by farmer consumer market yard licensee: Provided that the Government in public interest may from time to time, by notification, put ceiling on the rate of collection of user charge. 5E. Declaring ware-house/silos/cold storage or other such structure or place as market sub-yard.— (1) Save as otherwise provided in this Act, the Government may, by notification declare warehouse/silos/cold storage or other such structure or place with infrastructure and facilities as prescribed, to function as market sub-yard. Explanation.— The expression ‘place’ under this sub-section shall include any structure, enclosure, open space, locality, street including pack house/cleaning, grading and processing unit, etc. (2) The owner of such warehouse/cold storage, or other such structure or ‘place’, as the case may be, desirous of declaration of such place as market sub-yard under sub-section (1), shall apply to the 23[State Marketing Officer or such officer as may be authorized by him], in such form and in such manner and such fee; and also for such period but not less than three years, as prescribed. (3) The licensee of such warehouse/silos/ cold storage or other such structure or place, may collect user charge on notified agricultural produce transacted at the declared market sub-yard under sub-section (1), at the rate ad valorem not exceeding the rate as notified by the Government: Provided that no user charge shall be collected from agriculturist seller. (4) A declared market sub-yard licensee shall contribute, such user charge, to the separate Fund maintained by the Marketing Board at the rate in percentage at par with 24[Revolving Marketing Development Fund]. The fund will be utilized for the purposes and as specified in sub-section (5) of section 5C of this Act. 5F.— Direct marketing (wholesale direct purchase from farmers outside the market yard, sub-market yard, private market yard).— (1)Collection/aggregation centers in the proximity of the production areas may be set up by a person with infrastructure, as may be prescribed, with linkages to retail chain, or processing/export unit/premises, or any other such unit/premises, as may be prescribed, in accordance with the provisions of this Act and rules made thereunder for marketing of notified agricultural produce. (2) Notwithstanding anything contained under sub-section (1), direct wholesale purchase can also be carried out outside the principal market yard, sub- market yard, market sub-yard, private market yard by declaring the place of such purchase, without establishment of any permanent collection/aggregation center, as prescribed. (3) Direct marketing licensee shall have to maintain records and all accounts relating to daily trade transactions and shall submit monthly report, as prescribed, to the Licensing Authority. (4) The Licensing Authority can seek any type of additional information from the direct marketing licensee; and can also inspect and issue direction relating to functioning of such wholesale purchases and the activities incidental thereto. (5) The direct marketing licensee shall be liable to pay one-fourth of the -10- applicable market fee on wholesale purchases made. Such licensee shall deposit the due amount 25[Revolving Marketing Development Fund] for the month by 7th day of the next month. The Fund will be utilized for the purposes and as specified in sub- section 5 of section 5C of this Act.] 6. Notification of intention to alter limits of or to amalgamate or to split a market area.— (1) The Government may, by notification, declare it's intention,— (i) to alter the limits of a market area by including within it any other area in the vicinity thereof or by excluding therefrom any area comprised therein; or (ii) to amalgamate two or more market areas and constitute one market area thereof. (2) Every notification issued under sub-section (1) of this section shall define the limits of the area which is intended to be included in or excluded from a market area, or of the market areas intended to be amalgamated into one market area, or of the area of each of the markets intended to be constituted after splitting up an existing market area, as the case may be, and shall also specify the period which shall not be less than six weeks within which objections, if any, shall be received by the Government. 7. Procedure subsequent to notification under section 6.— (1) Any inhabitant of the market area or of the areas covered by the notification issued under sub-section (1) of section 6 may, if he objects to anything contained therein, submit his objections in writing to the Government within the period specified for this purpose in the said notification. (2) When the period specified in the notification issued under sub-section (1) of section 6 has expired and the Government has considered and passed orders on such objections as may have been submitted to it within such period, the Government may, by notification, include the area or any part thereof in the market area or exclude it therefrom or amalgamate market areas thereof. 8. Effect of alteration of limits.— Where a notification under section 7 has been issued, the Government shall, after consulting the Marketing Board, frame a scheme to determine what portion of the assets and other properties vested in one market shall vest in the other market and in what manner the liabilities of the market shall be apportioned between the two markets and such scheme shall come into force on the date of it's publication in the Official Gazette. 9. Power of Government to issue consequential order.— (a) Where a notification is issued under sub-section (1) of section 6 excluding area from any market area and such excluded area is not declared to be a separate market area; or (b) Where a notification is issued under sub-section (1) of section 6 including any area within a market area, the Government may pass such consequential orders as it may deem fit in respect thereof and the sub-committee constituted for such market area before the date of such exclusion or inclusion, shall, notwithstanding anything contained in this Act, continue to be sub-committee for the said excluded or included area until the declaration of such areas as market area under this Act. CHAPTER III Constitution of Marketing Board 10. Establishment of the Marketing Board.— The Government shall establish a Marketing Board called as the 26[Goa Agricultural Produce and Livestock Marketing Board]for -11- the State of Goa consisting of a Chairman, a Vice-Chairman and other members. The Marketing Board shall have such powers and discharge all such functions as are vested in it by or under this Act. 11. Incorporation of the Marketing Board.— The Marketing Board shall be a body corporate by the name of "the 27[Goa Agricultural Produce and Livestock Marketing Board]", and shall have perpetual succession and a common seal and it may sue or be sued in its corporate name and shall be competent to contract, acquire and hold property, both movable and immovable and to do all other things necessary for the purposes for which it is established. 12. Constitution of the Marketing Board.— 28[(1) Subject to the provisions of sub section (2), the Marketing Board shall consist of the following 29[nineteen] members, namely:— (a) Twelve agriculturist members to represent agriculturists, one from each taluka of the State of Goa, to be elected by the agriculturists only from the respective taluka; (b) two female agriculturists members, one each from the North Goa District and the South Goa District, to be elected by the agriculturists only in the manner prescribed; (c) one trader holding “A” or “B” class licence to be elected from amongst traders of all classes; 30[(d) (i) Registrar of Co-operative Societies or his nominee; (ii) Director of Agriculture or his nominee; and (iii) Director of Animal Husbandry or his nominee.] (e) the Secretary of the Marketing Board, to function during the term of the Marketing Board.] (2) Notwithstanding anything contained in sub-section (1) or any other provisions of this Act, when the Marketing Board is constituted for the first time, all the members, the Chairman and the Vice-Chairman thereof shall be nominated by the Government: Provided that the Chairman and the Vice-Chairman shall be nominated from amongst the agriculturists from the State of Goa. 31[Provided further that where the number of members of the Marketing Board is increased within one year preceding the date on which the term of other existing members of the Marketing Board expires, the Government may nominate a person from the respective category, to such office.] 13. Election and term of office of members.— (1) The members shall be elected in the prescribed manner. Such rules may also provide for the determination of constituencies, the preparation and maintenance of the list of voters, persons qualified to be elected, disqualifications for being chosen as, and for being a member, the right to vote, the payment of deposit and it's forfeiture, the determination of election disputes and all matters incidental and ancillary thereto, including provisions regarding election expenses. (2) Except as otherwise provided in this Act, the members of the Marketing Board (not being a Marketing Board constituted for the first time) shall hold office for a period of five years and the members of the Marketing Board constituted for the first time shall hold office for a period of two years: Provided that, where the general elections of the members of Marketing Board could not -12- be held before expiry of the term of office of its members as aforesaid, the Government may, by order published in the Official Gazette, extend from time to time, the term of office of the members of the Marketing Board, so however that, the period for which the term of office is so extended shall not exceed the period of one year in the aggregate: 32[Provided further that person who is a member of the Marketing Board by virtue of he being a representative of traders shall hold office so long as he continues to hold “A” or “B” class licence.] (3) The names of all the members of the Marketing Board shall be published by the Government in the Official Gazette and upon such publication, the Marketing Board shall be deemed to be duly constituted. 14. Preparation of list of voters and statement of expenditure.— (1) The superintendence, direction and control of the preparation of the list of voters for the purpose of conducting election to the Marketing Board shall vest with the Marketing Board and for the purpose of preparing the list of voters and conduct of election, the Marketing Board shall constitute necessary election fund. (2) Whenever the list of voters is to be prepared or revised for the purpose of conducting election to the Marketing Board, the Registrar of Co-operative Societies shall, in writing, inform the Marketing Board about the same and require the Marketing Board to submit the list of voters of different constituencies and also require to deposit with him such amount before such date as may be specified by him for meeting expenses of elections. (3) The Registrar of Co-operative Societies shall, after the declaration of the result of the election, draw up a statement of the expenditure incurred in conducting the election and shall within a period of three months from such result forward the same to the Marketing Board for information. The balance amount remaining unspent, if any, shall be refunded to the Marketing Board alongwith the dead stock purchased for the purpose. If the expenditure incurred exceeds the amount of deposit, the Registrar of Co-operative Societies shall call upon the Marketing Board to pay the excess amount as specified by him within one month from the date of receipt of the direction from him and the Marketing Board shall comply with such direction. 15. Commencement of term of office of members.— (1) The term of office of members of the Marketing Board shall commence on the date of the first meeting of the Marketing Board at which business is transacted. (2) The first meeting of a Marketing Board shall be held on such date as may be fixed by the State Marketing Officer or any officer authorised by him in that behalf, being a date which is within thirty days from the date on which the names of members are published in the Official Gazette. If the first meeting is, for any reason, not held within thirty days as aforesaid, the State Marketing Officer shall report the fact to the Government and state therein the reasons for the failure to hold the meeting and shall, thereafter, act according to the directions of the Government issued in that behalf. (3) The term of office of outgoing members shall expire on the date immediately preceding the date of such first meeting. 16. Appointment of Administrator or Committee of Administrators after expiry of the normal or extended term of office of members.— (1) Notwithstanding anything contained in sub- section (3) of section 15 or any other provisions of this Act, where the -13- term of office of two years, five years or the extended term of office, if any, of members of the Marketing Board has expired, the Government or any officer not below the rank of Assistant Registrar authorized by it, shall, by a written order,— (a) direct that all members of the Marketing Board shall, as from the date specified in the Order, cease to hold and vacate their offices as members or otherwise; and (b) appoint a person or the Committee comprising of not more than three members, from time to time, as the Administrator or the Committee of Administrators, as the case may be, to manage the affairs of the Marketing Board, for the period specified in the order upto the date of the first meeting of the reconstituted Board after the election is held (hereinafter in this section referred to as the "said period") and election shall be held within a period of six months from the date, the Administrator or the Committee of the Administrators, as the case may be, assumes office: Provided that this period of six months may be extended, from time to time, by the Government, in exceptional circumstances, to a period not exceeding one year in the aggregate, by notification published in the Official Gazette, for reasons which shall be stated in such notification. (2) During the said period, all the powers and duties of the Board and it's various authorities under this Act and the rules and bye-laws made thereunder or any other law for the time being in force shall be exercised and performed by the Administrator or the committee of the Administrators, as the case may be. (3) The Administrator or the Committee of Administrators, as the case may be, may delegate any of his or its powers and duties to any officer, for the time being serving under him or it or under the Marketing Board. (4) The Administrator or the members of the Committee of Administrators, as the case may be, shall receive such remuneration from the Fund of the Marketing Board as the Government may, from time to time, by general or special order, determine. 17. Resignation of members and nominations in certain circumstances.— (1) Any member of the Marketing Board may resign his office by writing under his hand addressed to the Chairman and the Chairman may resign his office by writing under his hand addressed to the State Marketing Officer and such resignation shall take effect from the date it is accepted by the Chairman or the State Marketing Officer, as the case may be. (2) If, at any time, it appears to the Government that the Marketing Board by reason of the resignation of all or a majority of the members thereof, is unable to discharge the functions conferred or imposed upon it by or under this Act, the Government may, by order published in the Official Gazette, nominate persons to fill the vacancies of the members who have resigned: Provided that the persons so nominated shall hold office only for the remainder of the term of the members in whose place they are nominated or until the vacancies are duly filled in by election, whichever is earlier. 18. Removal of members for misconduct.— The Government, on the recommendation of the Marketing Board, supported by not less than two third of its members having voting right at a meeting, may remove any member of the Marketing Board who has been found guilty of neglect or misconduct in the discharge of his duties or -14- of any disgraceful conduct or has become incapable of performing his duties as a member or is adjudged as insolvent: Provided that, no such member shall be removed from his office unless he has been given reasonable opportunity of being heard by the Government. 33 [19. Casual vacancies.— Subject to the provisions of sub-section (2) of section 13, in the event of any vacancy on the Marketing Board occurring on account of death, resignation or removal of a member or otherwise, the Chairman shall forthwith communicate the occurrence of such vacancy to the Government and such vacancy shall be filled by the Government by appointing a person from the respective category thereto, who shall hold office so long as the member in whose place he is appointed would have held it, if the vacancy had not occurred: Provided that the person so appointed by the Government shall hold such office during the pleasure of the Government: Provided further that, if the vacancy occurs within six months preceding the date on which the term of office of the member expires, such vacancy shall not be filled: Provided also that, where there are vacancies on the Marketing Board in excess of one third of total number of members, the remaining members shall call upon the Registrar to hold the election to fill such vacancies for remaining period] 20. Election of Chairman and Vice-Chairman.–– The meeting of the Marketing Board shall be presided over by the Chairman and in the absence of the Chairman, by the Vice-Chairman. The Chairman and the Vice-Chairman shall be elected by the members of the Marketing Board, excluding the Secretary of the Marketing Board and the Government nominees. Only the members as mentioned in 34[clauses (a) and (b)] of sub-section (1) of section 12 shall be eligible to contest the elections for the post of the Chairman or the Vice- Chairman. 21. Term of office of Chairman and Vice-Chairman.— The Chairman and the Vice-Chairman shall hold office for such period as may be prescribed. 22. Chairman and Vice-Chairman to hold office until their successors enter upon office.— The Chairman and the Vice-Chairman shall, notwithstanding the expiration of their term of office, continue to hold their office, until their successors enter upon their office or the Administrator or the Committee of Administrators, as the case may be, is appointed under section 16 and assumes office. 23. Honorarium to Chairman and Vice-Chairman.— The Chairman and the Vice-Chairman shall be paid such honorarium as the State Marketing Officer may specify, having regard to the finances of the Marketing Board, so however that, the total amount of such honorarium to be paid shall not exceed the limit as may be prescribed. 24. Procedure for election of Chairman and Vice-Chairman.— (1) On the constitution of the Marketing Board after a general election or otherwise, a meeting shall be called for the election of the Chairman and Vice-Chairman on the date fixed by the State Marketing Officer under sub-section (2) of section 15. (2) Such meeting shall be presided over by the State Marketing Officer or any person authorised by him in that behalf. The State Marketing Officer or such authorised person shall, when presiding over the meeting, have the same powers as that of the powers -15- exercised by the Chairman while presiding over a meeting of the Marketing Board, but shall not have the right to vote. (3) If, in the election of a Chairman or Vice-Chairman, there is an equality of votes, the result of the election shall be decided by lots to be drawn in the presence of the presiding officer in such manner as he may determine. 25. In the event of a dispute arising as to the validity of the election of a Chairman or Vice- Chairman, the State Marketing Officer, if he is the presiding officer, shall decide the dispute himself and in any other case the officer/person authorised to act as a presiding officer by the State Marketing Officer shall refer the dispute to the State Marketing Officer for his decision. The decision of the State Marketing Officer, subject to an appeal to the Government, shall be final and no suit or other proceeding shall lie in any Court in respect of any such decision. 26. Resignation of Chairman and Vice-Chairman.— (1) The Chairman may resign from his office by writing under his hand addressed to the State Marketing Officer and such resignation shall take effect from the date it is accepted by the State Marketing Officer. (2) The Vice-Chairman may resign from his office by writing under his hand addressed to the Chairman and such resignation shall take effect from the date it is accepted by the Chairman. 27. Motion of no-confidence against Chairman or Vice-Chairman.— (1) A Chairman or Vice- Chairman shall forthwith cease to be a Chairman or a Vice-Chairman, as the case may be, if the Marketing Board at a special meeting by a resolution passed by a majority of not less than two third of its total number of members (excluding the members who have no right to vote), so decides. (2) The requisition for such special meeting shall be signed by not less than half of the total number of members (excluding the members who have no right to vote) and shall be sent to the State Marketing Officer. (3) The State Marketing Officer shall, within fifteen days from the date of receipt of the requisition under sub-section (2), convene a special meeting of the Marketing Board: Provided that, when the State Marketing Officer convenes such special meeting of the Board, he shall give advance written notice thereof to the Chairman or to the Vice-Chairman, as the case may be. (4) A special meeting to consider a resolution under sub-section (1) shall be presided over, by the State Marketing Officer or such person/officer authorized by him in this behalf, but the State Marketing Officer or such person/officer shall have no right to vote at such meeting. (5) The member of Marketing Board who have no right to vote may take part in the discussion. (6) If the motion of no confidence is not carried or if the meeting could not be held for want of quorum, no such requisition for considering fresh such motion of no confidence in the same Chairman or Vice-Chairman shall be made before the expiry of six months from the date of such meeting. 28. Consequences of absence of Chairman, Vice-Chairman or member without leave.— Subject to the rules made by the Government in this behalf, a Chairman, a Vice-Chairman or a member, as the case may be, who absents himself from -16- three consecutive meetings of the Marketing Board without leave of the Marketing Board, shall cease to be a Chairman, a Vice-Chairman or a member, as the case may be. 29. Vacancies in office of Chairman and Vice-Chairman to be filled up.— (1) In the event of a vacancy in the office of the Chairman or Vice-Chairman by reason of death, resignation, removal or otherwise, the vacancy shall, subject to the provisions of this Act, be filled, as soon as may be, by election or by nomination of the Chairman or Vice-Chairman, as the case may be. (2) Every Chairman or Vice-Chairman elected or nominated under this section to fill a casual vacancy shall. hold office for such period as the Chairman or Vice-Chairman in whose place he is elected or nominated, as the case may be, would have held it if such vacancy had not occurred. 30. Refusal to hand over charge to new Chairman or Vice-Chairman.— (1.) On the election or nomination of a new Chairman or Vice-Chairman, the out-going Chairman or Vice-Chairman in whose place the new Chairman or Vice-Chairman has been elected or nominated shall forthwith hand over charge of his office to such new Chairman or Vice- Chairman, as the case may be. (2) If the outgoing Chairman or Vice-Chairman fails or refuses to hand over the charge of his office as required under sub-section (1), the State Marketing Officer or any Officer empowered by the State Marketing Officer in this behalf, may, by order in writing, direct the Chairman or the Vice- Chairman, as the case may be, to forthwith hand over the charge of his office and all records, funds, papers and property of the Marketing Board in his possession, if any, to the new Chairman or Vice- Chairman. (3) If the outgoing Chairman or Vice-Chairman to whom a direction has been issued under sub- section (2) does not comply with such direction, the State Marketing Officer or any person authorized by him in this behalf may apply to the Sub-divisional Magistrate within whose jurisdiction the Marketing Board is functioning for seizing and taking possession of records, papers, funds and property of the Marketing Board in the possession of such Chairman or Vice-Chairman. (4) On receipt of an application under sub-section (3), the Sub-divisional Magistrate may authorize any police officer, not below the rank of a Police Sub-Inspector, to enter and search any place where the records, funds, papers and property of the Marketing Board are kept or likely to be kept and to seize them and hand over possession thereof to the new Chairman or Vice-Chairman, as the case may be, who then shall be deemed to have assumed charge. 31. Meetings, etc. of Marketing Board.— The meetings, quorum and procedure to be followed at meetings of the Marketing Board shall be regulated in accordance with the bye- laws made for that purpose by the Marketing Board. 32. Members to act during vacancy and acts of Marketing Board, etc., not to be invalidated by informalities.— (1) During any vacancy of member in the Marketing Board, the continuing members may act as if no vacancy has occurred. (2) A Marketing Board shall have power to act notwithstanding any vacancy in the office of member thereof or any defect in the constitution thereof or in any act or proceedings thereof and all such acts shall be valid notwithstanding that it is subsequently discovered that some person who was not entitled to do so, presided over the meeting of Marketing Board or voted at such meeting or otherwise took part in the proceedings of the Marketing Board. -17- CHAPTER IV Powers and duties of Marketing Board 33. Powers and duties of Marketing Board.— (1) It shall be the duty of the Marketing Board to implement the provisions of this Act, the rules and bye-laws made thereunder in the market area, to provide facilities for marketing of agricultural produce in the market area as directed by the State Marketing Officer or the Government, as the case may be, and do such other acts as may be required in relation to the superintendence, direction and control of markets or for regulating marketing of agricultural produce in any place in the market area and for purposes connected with the matters aforesaid and for that purpose may exercise such powers, perform such duties and discharge such functions as may be provided by or under this Act. (2) Without prejudice to the generality of the foregoing provisions, the Marketing Board may,— (a) regulate the entry of persons and of vehicular traffic into the market; (b) supervise the behaviour of the persons who enter the market for transacting business; (c) grant, renew, refuse, suspend or cancel licences; (d) maintain and manage the market, including admissions to and conditions for use of market within the market area; (e) provide for necessary facilities required for the marketing of agricultural produce within the market in the market area; (f) regulate and supervise the auctions of notified agricultural produce in accordance with the provisions and procedure laid down under the rules made under this Act or the Bye-laws of the Marketing Board; (g) regulate the making, carrying out and enforcement or cancellation of agreements of sales, weighment, delivery, payment and all other matters relating to marketing of notified agricultural produce in the prescribed manner; (h) take all possible steps to prevent adulteration and to promote and organize grading and standardization of agricultural produce; (i) take measures for the prevention of purchase and sale below the minimum support prices as fixed by the Government from time to time; (j) collect, maintain, disseminate and supply information in respect of production, sales, storage, processing, prices and movement of notified agricultural produce including information relating to crops, statistics and marketing intelligence as may be required by the State Marketing Officer; (k) arrange to obtain fitness (health) certificate from veterinary doctor in respect of animals, cattle, birds, etc., which are bought or sold in the market area; (l) carry out the publicity about the benefits of regulation, system of transaction facilities provided in the market area through such media as, in the opinion of the Marketing Board, may be effective or necessary; (m) provide for settlement of disputes arising out of any kind of transactions connected with the marketing of agricultural produce and all matters incidental and ancillary thereto; -18- (n) subject to the provisions of section 11, acquire, hold or dispose off any movable or immovable property for the purpose of efficiently carrying out it’s duties; (o) institute or defend any suit, prosecution, action, proceedings, application or arbitration and compromise such suit or action; (p) make arrangement for holding of elections of the Marketing Board in the prescribed manner; (q) levy, take, recover and receive charges, fees, rates and other sums or money to which the Marketing Board is entitled; (r) subject to approval of the State Marketing Officer, obtain loans, subsidies, subventions from the State and Central Government or any financing agency for providing warehousing and marketing facilities in the market; (s) subject to approval of the State Marketing Officer, prepare budgets, supplementary budgets, make re-appropriation in the budget and incur expenditure accordingly; (t) keep a set of standard weights and measures in the markets against which weighment and measurement may be checked; (u) inspect and verify the scales, weights and measures which are in use in the market area and also the books of accounts and other documents maintained by the licensee in such manner as may be prescribed; (v) administer the Marketing Board Fund referred to in section 44 of this Act and maintain the account thereof and get the same audited in the prescribed manner; (w) prosecute persons for violating the provisions of this Act, the rules and bye-laws framed thereunder; (x) provide storage and warehousing facilities in the market area; (y) with the prior sanction of the Government or the State Marketing Officer, undertake any other activity conducive to the promotion or regulation of marketing of agricultural produce; (z) perform such other duties as may be prescribed; 34. Appointment of sub-committees and delegation of power.— The Marketing Board may appoint one or more sub-committees consisting of one or more of it's members and may delegate to such sub-committee, such of its powers or duties as it may think fit. The sub-committee so appointed shall function under the superintendence, guidance, direction and control of the Marketing Board. 35 [34. Levy of user charge by Marketing Board.— Notwithstanding anything contained in this Act, the Marketing Board may allow trade even in those items of the agricultural produce including livestock which is not notified for regulation under this Act or are not specified in the Schedule hereto. (2) The Marketing Board shall collect user charge, as specified in bye-laws for allowing trade as provided under sub section (1) at the rate not exceeding two percent ad valorem in case of non perishable transacted agricultural produce and not exceeding one percent ad valorem in case of perishable agricultural produce and livestock. -19- (3) Save as otherwise provided in this Act, there shall neither be regulation nor levy of applicable user charge on sale transactions of fruits and vegetables taking place outside the principal market yard, sub-market yard(s) and market sub-yard(s).] 35. Power to borrow.— (1) The Marketing Board may, with previous sanction of the State Marketing Officer, raise money required for carrying out the purpose for which it is established, on the security of any property vested in it and of any fees leviable and recoverable by it under this Act. (2) The Marketing Board may, for the purpose of meeting the expenditure on lands, buildings and equipment required for establishing the market, obtain a loan from the Government on such terms and conditions as the Government may determine. 36. Power to order production of accounts, entry, inspection and seizure.— (1) The Secretary of the Marketing Board or any officer empowered by the Marketing Board in this behalf, may, for the purposes of this Act, require any person carrying on business in any kind of notified agricultural produce to produce before him the accounts and other documents, and to furnish any information relating to stocks of such agricultural produce or purchase, sale, processing, value addition and delivery of such agricultural produce by such person and also to furnish any other information relating to payment of market fees by such person. (2) All accounts and registers maintained by any person in the ordinary course of business of any notified agricultural produce and documents relating to stocks of such agricultural produce or purchase, sale, processing, value addition of such agricultural produce in his possession and offices, establishment, godowns, vessels or vehicles of such person shall be kept open for inspection at all reasonable times by the Secretary of the Marketing Board or any officer empowered by the Marketing Board or the Government. (3) If any such authorized officer has reason to suspect that any person is attempting to evade the payment of any market fee due and payable by him under section 34 or that any person has purchased, sold, processed or added value to any notified agricultural produce in contravention of any of the provisions of this Act or the rules or the bye-laws framed thereunder, in the market areas, he may, by order in writing to such person, seize such accounts, registers or documents of such person, as may be necessary and shall grant a receipt for the same and shall retain the same so long as it may be necessary for the examination thereof or for prosecution. (4) For the purposes of sub-section (2) or sub-section (3), such authorised officer may enter or search any place of business, warehouse, office, establishment, godown, vessel or vehicle where such officer has reason to believe that such person keeps or for the time being has kept accounts, registers or documents of his business or stock of notified agricultural produce relating to his business. (5) The provisions of sub-sections (4) to (8) of section 100 of the Code of Criminal Procedure, 1973 (2 of 1974) shall, so far as may be, apply to search under sub-section (4). (6) Where, any books of accounts or other documents seized under sub-section (3) contains entries recorded therein making a reference as to the quantity, quotations, rates, receipts or payment of money or sale or purchase of goods, such books of accounts or other documents shall be admitted in evidence and such entries shall be considered as prima-facie evidence of matters, transactions and accounts purported to have been recorded therein. -20- 37. Power to stop vehicles and inspect store.— (1) At any time when so required by any officer empowered by the Marketing Board in this behalf in the market area concerned, the driver or any other person incharge of the vehicle, vessel or other conveyance shall stop the vehicle, vessel or other conveyance, as the case may be and keep it stationery, as long as may reasonably be necessary and allow such officer to examine the contents of the vehicle, vessel or other conveyance and inspect the records relating to notified agricultural produce carried by him and disclose his name and address and the name and address of the owner of the vehicle, vessel or other conveyance and the name and address of the owner of the notified agricultural produce carried by such vehicle, vessel or other conveyance. (2) The officer empowered under sub-section (1) shall have power to seize any notified agricultural produce brought into or taken out of or proposed to be taken out of the market area by any vehicle, vessel or other conveyance, if such officer has reason to believe that any market fee or other amount due and payable under this Act or value payable to the seller in respect of such produce has not been paid. (3) If any officer empowered under sub-section (1) has reason to suspect that any person is attempting to evade the payment of any market fee due and payable by him under section 34 or that any person has purchased or stored any notified agricultural produce in contravention of any of the provisions of this Act or the rules or the bye-laws framed thereunder in the market area, he may enter or search any place of business, warehouse, office, establishment or godown where, he has reason to believe that such person keeps or has for the time being kept stock of notified agricultural produce and he may first seize such agricultural produce and such seized agricultural produce may be confiscated in favour of the Marketing Board in the manner as prescribed for this purpose: Provided that a reasonable opportunity of being heard shall be given to the person concerned before confiscation of the agricultural produce. (3) The provisions of sections 100, 457, 458 and 459 of the Code of Criminal Procedure, 1973 (2 of 1974) shall apply to entry, search and seizure under sub-sections (1), (2) and (3), as they apply in relation to the entry, search and seizure of property by the Police Officer and such seizure shall forthwith be reported by the officer aforesaid to a Magistrate having jurisdiction over the area. 38. Power to write off loss, shortage of fee, etc., which is irrecoverable.— The Marketing Board may write off any fee or other amount whatsoever due to it or wherever any loss to the Marketing Board in money or store or other property occurs through any fraud or negligence of any person or for any other cause and in the opinion of the Marketing Board, the fee, amount, money, store or property is found to be irrecoverable or should be remitted, the Marketing Board may order to write off or remit such fee, amount, money, store or property as loss or irrecoverable, as the case may be: Provided that where the amount due or the value of the store or other property exceeds five hundred rupees, the Marketing Board shall, before making any order to write off or remit as aforesaid, obtain the sanction of the State Marketing Officer. 39. Execution of contracts.— (1) Every contract entered into by the Marketing Board shall be in writing and signed on behalf of the Marketing Board by its Chairman and the Secretary or in the absence of the Chairman, by the Vice-Chairman and Secretary. -21- (2) No contract other than a contract executed as provided in sub-section (1) shall be binding on the Marketing Board. 40. Certain disputes regarding weights and measures to be decided by the Secretary of the Marketing Board.— (1) The disputes relating to the method of verifying, re- verifying, adjusting or stamping any weights or measures or weighing or measuring instrument in any market area, such dispute may, at the request of the party interested, be referred to the Secretary of the Marketing Board and the decision of the Secretary of the Marketing Board shall, subject to the provisions of sub-section (2), be final. (2) An appeal shall lie, within the prescribed time limit, from the decision under sub-section (1) to the Government or such officer as the Government may appoint in this behalf. The decision of the Government or such officer, shall be final. 41. Power to grant exemption from payment of market fees.— (1) The Government may, by notification in the Official Gazette and subject to such conditions and restrictions, if any, as may be specified therein, exempt in whole or in part, any agricultural produce brought for sale or bought or sold in the market area, specified in such notification, from the payment of 36 [market fee/user charge] for such period as may be specified therein. (2) Any notification issued under sub-section (1) may be rescinded by the Government before the expiry of the period for which it would have remained in force and on rescission; such notification shall cease to be in force. CHAPTER V Staff of Marketing Board 42. Power of the Marketing Board to employ staff.— (1) 37[The Marketing Board shall employ an official deputed by the Government from the 38[Department of Agriculture/Directorate of Agriculture, not below the rank of Agriculture Officer”] and such other officers and servants as may be necessary for the management of the market and for the collection, maintenance, dissemination and supply of information relating to crops, statistics and market intelligence and for carrying out it's duties under this Act and shall pay such officers and servants such salaries and allowances, pension or gratuity as the Marketing Board thinks fit and shall contribute to any Provident Fund and Pension Fund which may be established for the benefit of such employees: Provided that all posts other than that of a Secretary, save as such general or special directions issued by the State Marketing Officer in this behalf, shall be created with the prior approval of the State Marketing Officer. (2) The Secretary of the Marketing Board shall be the Chief Executive Officer and the custodian of the records and properties of the Marketing Board who shall exercise such powers as are conferred and perform such duties as are imposed upon him by or under this Act. (3) The powers conferred by this section on the Secretary of the Marketing Board shall be exercised subject to any rules which may be made in that behalf by the Government. CHAPTER VI Budget and Fund of the Marketing Board 43. Preparation and sanction of budget.— (1) The Marketing Board shall prepare and pass the budget of it's income and expenditure for the ensuing year in the prescribed form and shall submit it to the State Marketing Officer for sanction before the prescribed date -22- every year. The State Marketing Officer shall sanction the budget with or without modification within two months from the date of receipt thereof. If the budget is not returned by the State Marketing Officer within two months, it shall be presumed to have been sanctioned by the State Marketing Officer. (2) The Marketing Board may sanction or cause to undertake execution of construction works out of it's fund other than the permanent funds referred to in sub-section (5) of this section on the basis of the plan and designs approved by the Marketing Board: Provided that no expenditure except payment of pension shall be made out of the pension fund. (3) No expenditure shall be incurred by the Marketing Board on any item if there is no provision to that effect in the budget sanctioned thereof unless it can be met by re- appropriation from saving under any other head. The sanction for the re-appropriation may be obtained from the State Marketing Officer, provided that, in case of re-appropriation from minor head under one major head, sanction for re-appropriation will not be required. (4) The Marketing Board may, at any time during the year for which any budget has been sanctioned, cause a revised or supplementary budget to be passed and obtain sanction in the same manner as if it is an original budget. (5) The Marketing Board shall make provision in it's budget for crediting the amount into the permanent fund at the rate of twenty percent of it's gross receipts comprising of license fee and market fees and into the pension fund as specified from time to time by the State Marketing Officer. No expenditure from the permanent fund shall be incurred except with the prior approval or as per the direction given by the State Marketing Officer. No expenditure from this fund or from amount as provided under sub-section (2) of section 44 shall be proposed in the budget referred to in sub-section (1). (6) The State Marketing Officer, while according sanction for construction work, may, at his discretion, direct that the execution of the works shall be entrusted to the Public Works Department of the Government or any other agency authorized by the Government for this purpose or to the contractor/s from the approved panel of contractors. 44. Marketing Board fund.— (1) Save as provided in sub-section (2), all moneys received by the Marketing Board shall be paid into a fund to be called 'the Marketing Board fund’ and all expenditure incurred by the Marketing Board under or for the purposes of this Act shall be defrayed out of the said fund. Any surplus remaining with the Marketing Board after meeting such expenditure shall be invested in such manner as may be prescribed. Any money received by the Marketing Board by way of arbitration fee or as a security for costs in arbitration proceedings relating to the disputes or any money received by the Board by way of security deposit, contribution to Provident Fund or for payment in respect of any notified agricultural produce or charges payable to weighman, hamal and other functionaries and such other money received by the Marketing Board as may be provided in the rules or bye-laws shall not form part of the Marketing Board fund and shall be kept in such manner as may be prescribed. (2) Save as otherwise provided in this Act, the amount to the credit of the Marketing Board fund as also other money received by the Marketing Board shall be kept in a scheduled co-operative bank or in a Nationalized Bank or in Post Office Saving Bank or in any other mode with the approval of the State Marketing Officer. -23- 39[(2A) The 40[State Marketing Officer] shall maintain a 41[Revolving Marketing Development Fund] to account the receipts realized as contribution from licensees of private market yard, private market sub yard, e-trading platform, direct marketing and from such other contribution. 42[(2AA) The Marketing Board shall contribute five percent of its income derived from license fees and market fees to the Revolving Marketing Development Fund.] (2B) The 43[State Marketing Officer] shall spend such fund, in development of common marketing infrastructure, skill development, training, research and pledge financing and such other activities as will aid in creating an efficient marketing system in the State/Country.] 44[44 A. Accounts and Audit of Marketing Board.— (1) The accounts of the marketing Board shall be subject to internal audit for which the marketing Board may make such arrangement as it deem fit. (2) Within 45 days of the close of the financial year, the annual accounts and balance sheet of the marketing Board shall be prepared by the Secretary and all money accruing to or received by the marketing Board from whatever source and all amounts disbursed or paid shall be entered in the accounts. (3) At the time of audit, the Secretary shall cause to be produced all accounts, registers, documents and other relevant papers which may be called for by the audit officer for the purposes of the audit. Any explanation called for by such officer for the removal of any discrepancy shall be immediately furnished to him. (4) The accounts of the Marketing Board shall be audited within six months of the close of the financial year to which such accounts relate: Provided that the State Marketing Officer may upon request from the Marketing Board and for justifiable reasons, grant extension of time for period not exceeding six months. (5) The State Marketing Officer shall appoint an auditor from the panel of Auditors and Chartered Accountants constituted by the Registrar of Co-operative Societies, Government of Goa from time to time. (6) The Marketing Board dealing with the funds from the Government or any other external individual or institutions may be subject to a re-audit initiated by the State Marketing Officer at the request of creditor, on such specific terms of reference as agreed to by the State Marketing Officer. The cost and expenses of the re-audit shall be borne by such creditor. (7) The accounts when audited shall be printed. The copies of accounts and audit report with comments thereon shall placed before the marketing Board.] 45. Application of Marketing Board fund. — (1) Subject to the provisions of section 44, the Marketing Board, in order to discharge functions and duties entrusted to it under this Act, may use the Marketing Board fund. Without prejudice to the generality of this provision, the Marketing Board fund may be used for the following purposes, namely:— (i) the acquisition of a site or sites for the market; (ii) the establishment, maintenance and improvement of the market yard; (iii) the construction and repairs of building necessary for the purpose of the market yard and for convenience or safety of the persons using the market yard; -24- (iv) the maintenance of standard weights and measures; (v) the meeting of establishment charges including payment and contribution towards provident fund, pension and gratuity of the officers and servants employed by the Marketing Board; (vi) loans and advances to the employees of the Marketing Board; (vii) the payment of interest on the loans that may be raised for the purpose of the market and for provision of sinking fund, in respect of such loans; (viii) the collection and dissemination of information relating to crop statistics and marketing of agricultural produce; (ix) meeting the expenses incurred in auditing the accounts of the Marketing Board; (x) payment of honorarium to the Chairman, Vice-Chairman, travelling allowances to the Chairman, Vice-Chairman and other members of the Marketing Board and sitting fees payable to members for attending the meetings; (xi) contribution to the National Council of State Agricultural Marketing Boards as prescribed; (xii) contribution to any scheme for development of agricultural marketing including transport; (xiii) to provide facilities like grading, standardization, quality certification services and communication to agriculturists in the market area; (xiv) to provide for development of agricultural produce in the market area; (xv) payment of expenses on elections under this Act; (xvi) incurring of all expenses on research training in marketing of agricultural produce; (xvii) prevention, in conjunction with other agencies, viz. State, Central and others, of distress sale of agricultural produce; (xviii) fostering co-operative marketing and assisting co-operative marketing societies in the procurement and organization of profitable disposal of produce, particularly the produce belonging to small and marginal farmers; (xix) to create and promote, on it's own or through public or private partnership, infrastructure of post-harvest handling of agricultural produce, cold storages, pre-cooling facilities, pack houses and all such infrastructure which is required to develop modern market system; 45[(xx), to make arrangement for creating the facilities for livestock trade by providing required Infrastructure;] 46[(xxi)] any other purpose connected with the marketing of agricultural produce under this Act which is in the public interest, subject however, that the expenditure thereon is made with the prior sanction of the State Marketing Officer. CHAPTER VII Contract Farming 46. Procedure and Form of Contract Farming Agreement.— The Contract Farming Agreements shall be governed in the manner laid down hereinafter.— (1) Contract Farming Sponsor shall register himself with the Marketing Board or with the officer authorised by the Marketing Board in that behalf in such manner as may be -25- prescribed. (2) The Contract Farming Sponsor shall get the Contract Farming Agreement recorded with the officer authorised by the Marketing Board, in this behalf. (3) The Contract Farming Agreement shall be in such form and contain such particulars, terms and conditions as may be prescribed. (4) Notwithstanding anything contained in the Contract Farming Agreement, no title, rights, ownership or possession, shall be transferred, alienated or vest in the contract farming sponsor, his successor or his agent as a consequence arising out of such Contract Farming Agreement. (5) Any dispute arising out of the Contract Farming Agreement shall be referred to an authority prescribed in that behalf for settlement. The prescribed authority shall resolve the dispute in a summary manner within 30 days from the date of receipt of such reference after giving the parties a reasonable opportunity of being heard. (6) Any party aggrieved by the decision of the prescribed authority may prefer an appeal to the prescribed Appellate Authority within thirty days from the date of decision and such Appellant Authority shall dispose of the appeal within thirty days from the date of such appeal after giving the parties a reasonable opportunity of being heard and the decision of the Appellate Authority shall be final and binding upon the parties thereto. (7) The decision of the authority under sub-section (5) and the decision in the appeal under sub- section (6) shall have force of a decree of the civil court and shall be enforceable as such and the decretal amount shall be recovered as arrears of land revenue from the party thereto. (8) Any dispute relating to or arising out of Contract Farming Agreement shall not be called in question in any Court of Law. (9) The agricultural produce covered under the Contract Farming Agreement may be sold to the Contract Farming Sponsor outside the market area which shall be free from levy of market fees. 47[Chapter VIII] REGULATION OF TRADING 47. Sale-transactions of notified Agricultural Produce and Livestock.— (1) All notified agricultural produce including livestock shall ordinarily be sold in the principal market yards, sub-market yards and market sub-yards licenced under this Act or not, private market yard or at the electronic trading platforms: Provided that the notified agricultural produce including livestock may be sold at other places also to a licence holder especially permitted in this behalf under this Act. (2) In relation to agricultural produce, nothing in the sub-section (1) shall apply to the following sale and purchase where; (i) sale is made by the producer himself to any person for his domestic consumption in quantity upto one quintal; (ii) brought for sale by head load; (iii) purchase and sale is made by petty trader; (iv) purchase is made by an authorized fair price shop dealer from the Food -26- Corporation of India. “State Commodities Trading Corporation or any other agency or institution authorized by the Government of India or State Government or Union Territory Administration for distribution of essential commodities through the Public Distribution System; and (v) the transfer such agricultural produce to a co-operative society for the purpose of securing an advance there from. (vi) the Notified Agriculture produce brought by the licenced/registered trader from a place outside the Market Yard or within the Market area in the cource of commercial transactions may be bought or sold anywhere in the market area: Provided that it shall not be necessary to bring Agriculture produce covered under contract farming to the market yard/sub market yard/private yard and it may be directly sold to contract farming sponsors from farmers fields. (3) In relation to livestock, nothing in the sub-section (1) shall apply on the business of purchasing or selling of livestock not exceeding such value, as prescribed. (4) The price of the notified agricultural produce including livestock, brought for sale into the principal market yards, sub-market yards, private market yards, market sub-yards, shall be settled by tender bid or open auction including e-auction or any other transparent system and no deduction shall be made from the agreed price on any account whatsoever from the seller. (5) Weighment or measurement or counting of all the notified agricultural produce including livestock so purchased shall be done by such person and such system as is provided in the bye-laws or at any other place specified for the purpose by the Marketing Board. 48.Terms and procedure of buying and selling.— (1) Except in the commercial transactions between two traders, any other person who buys notified agricultural produce including livestock in the principal market yards, sub-market yards and market subyards, shall execute an agreement in triplicate in such form, as prescribed, in favour of the seller. One copy of the agreement shall be kept by the buyer, one copy shall be supplied to the seller and the remaining copy shall be kept in the record of marketing board. (2) (a) The price of the notified agricultural produce including livestock transacted in the principal market yards, sub-market yards, private market yards, market sub-yards or at e- platforms shall be paid on the same day to the seller or in the maximum next day if procedurally so required. Payment on notified agricultural produce shall also be made to agriculturist-seller, if sold to the direct marketing licencee, on the same day there itself. (b) In case purchaser does not make payment as specified under clause (a), he shall be liable to make additional payment at the rate of one percent per day of the total price of the agricultural produce, including live stock, payable to the seller within five days. (c) In case purchaser does not make payment to the seller as specified under clause (b) above, within 5 days from the day of such purchase, his license shall be deemed to have been cancelled on the sixth day and he shall not be granted any licence or permitted to operate under this Act for a period of one year from the date of such cancellation. -27- (3) No wholesale transactions of notified agricultural produce shall be entered directly by licensed/registered trader with producer of such agricultural produce in the market yard/sub-market yard/private yard or at such place except in accordance with the provisions contained in the bye-laws: Provide that agricultural produce, produced under contract farming, may be directly bought by contract farming sponsor anywhere. (4) Commission agent shall recover his commission from his principal trader at the rate not exceeding two percent ad valorem on transacted non-perishable agricultural produce; while in case of perishable agricultural produce, it shall not exceed four percent ad valorem on transacted produce, including all expenses as may be incurred by him in storage of the produce and other services rendered by him: Provided that no commission shall be collected from farmer-seller. (5) Every commission agent shall be liable to keep the goods of his principal in safe custody without any charge other than commission payable to him. 48[(49) Power to levy market fees (single point levy).— The Marketing Board shall levy and collect market fee from buyer in respect of notified agricultural produce including livestock bought by such buyer in the principle market yard or sub market yard(s) or market sub-yard(s) or anywhere in the State of Goa either brought from outside the State or from within the State, at such rate as may be notified by the Government by notification in the Official Gazette but not exceeding two percent ad valorem on transacted produce in case of non-perishable agricultural produce and not exceeding one percent ad valorem in case of perishable agricultural produce and livestock. Provided that market fees specified under this section shall not be levied for the second time, in whatever name it is called i.e. cess, user charge, service charge, etc., in any principal market yard, sub-market yard(s), market sub- yard(s), or anywhere in the State of Goa, private market yard, electronic trading platform within the State provided that market fee at applicable rate has already been paid on that notified agricultural produce in any principal market yard sub market yard(s), market sub-yard(s), private market yard, electronic trading platform within the State and the evidence to this effect has been furnished, by the concerned person that market fee has already been paid as aforesaid in the State: Provided further that in case of commercial transactions between traders, the market fee shall be collected and paid by the seller: Provided also that in case buyer is not licencee and seller is farmer, the liability of payment of market fee shall be of commission agent who will collect the market fee from buyer and deposit to the Marketing Board.] 50. Grant/Renewal of licence to market functionaries other than trader.— (1) Subject to the provisions of this Act and Rules made in this behalf, every person who, in respect of notified agricultural produce including livestock, desires to operate in the principal market yard or sub-market yard or market subyard as commission agent, weighman, measurer, hammal (loader-unloader) or such other market functionary, except trader, shall apply to the Marketing Board for grant or renewal of licence in such form, with such fees and in such manner as prescribed. -28- (2) The Marketing Board or its Chairperson, if so authorized by the Marketing Board may, on an application made under sub-section (1) and after making such inquiries as it deemed fit, grant or renew the licence, or may refuse to grant or renew any such licence on the basis of one or more of the following reasons:— (i) the applicant is minor or not bonafide; (ii) the applicant has been declared defaulter under the Act or Rules made thereunder and Bye-laws; (iii) the applicant has been found guilty under the Act; (iv) any dues relating to Marketing Board and/or Board and/or Government are outstanding against the applicant; (v) any other reason(s) as may be prescribed. (3) The application received under subsection (1) shall be dispose of within twenty working days from the date of receipt of application complete in all respects. (4) The Marketing Board may grant the licence or reject the same after recording the reason(s) in writing therefore. (5) On expiry of a period specified in subsection (3), if the application has not been disposed off, the licence deem to have been granted or renewed, as the case may be. (6) The Marketing Board or its Chairperson if so authorized may, by order and for reasons to be recorded in writing suspend or cancel the licence, granted under this section: Provided that no order for suspension or cancellation of licence shall be passed without giving a reasonable opportunity of being heard to the licensee. 51. Grant/Renewal licence for private market yard, farmer-consumer market yard and market sub-yard.— (1) Any person who, desires to establish private market yard, farmer-consumer market yard, market sub-yard, shall apply to the 49[State Marketing Officer or such officer as may be authorized by him] for grant of licence or renewal thereof in such from, in such manner and with such fee and securities/bank guarantee as prescribed. (2) An application received under subsection (1) may be rejected for the reasons to be recorded in writing by the 50[State Marketing Officer or such officer as may be authorized by him]: 51[(2A) An application for grant or renewal of licence, for private market yard, farmer-consumer market yard or market sub-yard under sub-section (1), shall be accompanied with such fee and security/bank guarantee, as may be prescribed.] (3) The application received under this section shall be liable to be 52[rejected],— (i) in case the applicant is a minor or not bonafide; (ii) in case the applicant has been declared defaulter under the Act and Rules and Bye- laws made thereunder; (iii) in case any dues relating to Marketing Board and/or Government are -29- outstanding against the applicant; (iv) in case the concerned authority is satisfied that the applicant does not possess the infrastructure credentials, experience or adequate capital for investment or any other requirements as may be prescribed for establishment of a private market yard or farmer- consumer market yard; (v) for any other reason as prescribed. (4) The licence granted or renewed under this section shall be subject to such terms and conditions, as prescribed; and the licensee shall be bound to follow the terms and conditions of the licence. The licensee shall also follow the provisions of this Act and Rules made thereunder. 52. Suspension or Cancellation of licence granted/renewed under section 51.— (1) Subject to the provisions of section 51, the Licensing Authority, may by order and for the reasons in writing to be communicated to the licensee, suspend or cancel the licence, if; (a) the licence has been obtained through willful misrepresentation or fraud; (b) the licensee or his representative or anyone acting on his behalf with his expressed or implied permission, commits a breach of any of the Rules, regulations and terms or conditions of licence; (c) licensee himself or in combination with other licensee commits any act or abstains from carrying on his normal business in the market area with the intention of wilfully obstructing, suspending or stopping the marketing of notified agricultural produce; (d) licensee becomes insolvent; (e) licensee incurs any disqualification, as prescribed; or (f) licensee is convicted of any offence under this Act. (2) No licence shall be suspended or cancelled under this section without giving a reasonable opportunity of being heard to the licensee. 53. Grant/Renewal of unified single trading licence.— (1) 53[There shall be a single licence applicable to the whole of the State, for the trader to be granted/ renewed by the State Marketing Officer or such Officer as may be authorized by him] in such manner and in such form, as prescribed, to operate as trader in any principal market yard, sub-market yard, market sub-yard private market yard and sub- yard, e-trading platform or any other space identified for the purpose, in the State. 54[The existing trader licences granted by the Marketing Board before commencement of the Goa Agricultural Produce and Livestock Marketing (Promotion and Facilitation) (Second Amendment) Ordinance, 2020 shall be deemed to be State wide single trader licences granted by the State Marketing Officer.] Explanation.— Private market licensee or other such licensee or its management committee may, register the unified single trading licensee, to allow to operate in such market yards. (2) Any person desirous of obtaining or renewing a licence under sub-section (1) as trader, shall apply to the 55[State Marketing Officer or such officer as may be authorized by him] in such form and with such fee, as prescribed. -30- (3) Subject to provisions of this Act and the Rules made thereunder, the 56[State Marketing Officer or such officer as may be authorized by him], on application made under sub-section (2), after making such inquiries as deemed fit, may grant or renew the licence in such form and for such a period, as prescribed: Provided that notwithstanding anything contained in this Act and the Rules, there shall be no consideration of domicile, compulsory requirement of purchase/collection center and minimal quantity for grant/renew of such licence: Provided further that such licence granted or renewed shall entail to the licensee to carry out trade of any form i.e. primary or secondary or whatsoever, without any discrimination. (4) The licence issued by the 57[State Marketing Officer or such officer as may be authorized by him] under this section shall bear Unicode, as prescribed. 54. Suspension or Cancellation of unified single trading licence granted/renewed under section 53.— (1) The 58[State Marketing Officer] or the Officer authorized by it may, after such inquiry as it/he deems fit to make and after giving, the licensee a reasonable opportunity of being heard, suspend or cancel a licence issued under section 53 on any of the following ground(s); namely:— (a) the licence has been obtained through willful misrepresentation or fraud; (b) the licensee himself or in collusion with other licensee(s) commits any act or abstains from carrying on his normal business in the market with the intention to willfully obstruct, suspend or stop the marketing of notified agricultural produce in any type of market and in consequence whereof, the marketing of notified agricultural produce has been obstructed, suspended or stopped; (c) the licensee is found to have contravened any of the provisions of this Act or the Rules or Bye-laws; (d) the licensee convicted of an offence punishable under this Act or Rules or regulations; (e) the licensee become insolvent; or (f) the licensee incurs any disqualification as prescribed. (2) The licensee shall forthwith produce the suspended/cancelled licence in the office of the 59[State Marketing Officer] for being endorsed in such manner as prescribed and shall not be entitled to claim on account of such suspension/cancellation any compensation and/or refund of the whole or any part of the licence fee. 55. Recognition of unified single trading license granted/renewed under section 53 for inter-state trade.— (1) Notwithstanding anything contained in this Act, Government may allow holder of unified single trading licence bearing Unicode, issued by any other State or Union Territory to undertake trade transactions within its geographical jurisdiction on e- platform or any other format that may be in operation, as trader. (2) Such licensee shall be liable to pay the market fee and other marketing charges at the rate applicable, where trade transactions has taken place, in the manner as prescribed. (3) In case of contravention of any of the provisions of this Act/Rules/Bye- -31- laws, instructions or orders, the 60[State Marketing Officer] shall, after giving an opportunity of being heard, blacklist such licensee for trading purpose only within their respective jurisdiction, when a contravention has occurred, for a certain period or forever based on the gravity of breach/violation of provisions of this Act/Rules/Bye-laws, instructions or orders. Explanation.— The expression ‘blacklisting’ of licence for a certain period means temporary suspension of licence for certain period and blacklisting the licensee forever means permanent cancellation of licence. (4) The 61[State Marketing Officer] of the respective jurisdiction, wherein the contravention occurs, may simultaneously submit a proposal detailing the type and nature of contravention with evidence, to the concerned licence issuing State or Union Territory as the case may be, for taking further appropriate action against the contravener. 56. Grant/Renewal of licence for direct marketing.— (1)Any person, including a Farmers’ Cooperative, Farmers’ Producer Organization (FPO) and Processor/Exporter, desires to purchase agricultural produce directly from farmers outside the principal market yard, sub-market yard, market subyard, private market yard, shall apply to the 62[State Marketing Officer or such officer as may be authorized by him] for grant or renewal of licence, as the case may be, in such form and in such manner and for such period, as prescribed. (2) An application for direct marketing shall accompany such reasonable fee and security/bank guarantee, as prescribed. (3) The application received under sub-section (1) may be rejected by an order for reasons to be recorded in writing after giving the applicant an opportunity of being heard. (4) A direct marketing licence granted or renewed under this section shall be subject to such terms and conditions, as prescribed; and the licensee shall be bound to follow the terms and conditions of the licence. The licensee shall also follow the provisions of this Act and Rules made thereunder. 57. Suspension or Cancellation of direct marketing licence.— The provisions contained in section 52 shall mutatis mutandis apply for suspension/cancellation of licence granted/renewed under section 56. 58. Dispute settlement.— Any dispute arising between/among licensees for private market yard, farmer-consumer market yard, market sub-yard and direct marketing, on between/among licensee and marketing Board may be resolved by the State Marketing officer, in a summary manner within thirty days, after giving the parties a reasonable opportunity of being heard. 59. Appeal.— (1) Any person aggrieved by the order of the 63[State Marketing Officer], may prefer an appeal to the Government or such Officer authorized by it, in such form and in such manner as prescribed, within thirty days from the date of receipt of such order. The appeal shall disposed of within thirty days, after giving the parties a reasonable opportunity of being heard. (2) The Appellate Authority, if it consider it necessary so to do, grant a stay on the order appealed against for such period as it may deem fit. (3) The order passed in the appeal by the Appellate Authority under this -32- section shall be final and binding on all parties. Such order issued by the Appellate Authority shall have the force of the decree of a Civil Court and shall be enforceable as such. 60. Bar of jurisdiction on Civil Courts.— (1) No Civil Court shall have jurisdiction to settle, decide or deal with any question or to determine any matter which is by or under this Act required to be settled, decided or dealt with an authority under this Act. (2) No Court shall take cognizance of an offence under this Act, except upon a complaint by the Marketing Board. 60A. Registration of wholesale ad hoc buyer.— Any person desirous of wholesale adhoc buying either from the market-yard or from outside the market- yard, on day to day basis for his own consumption even without valid licence granted