; . ~ . The 25th April 196()
"o.LJL.49/56.-The following Act of th~ Assam Legislative Assembly .·r1:ceived the assent of the ' Governor is hereby published for general ' ation. ·
·Received the assent of the Governor on the 21st April 1960)
ASSAM ACT XV OF 1960
ASSAM REGULATED AND LICENSED WARE ..
HOUSES ACT, 1959
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(As pa~sed . by the Assembly) fished in the .Assam Gazette, Extraordinary, dated the 25lh April 1960]
CHAPTER I
Prelim.inary Whereas it is expedient to encourag~ the establishment of independent warehouses and make 'provision for their proper supervision
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~;nor1 tl !le, cxlellt and cornnu~nce ...
rnen t. and contrnl., it Tenth Year < ,f follows:-··-
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1s hereby enacted in the tL e Republic of .India as L (1 ) T hi s Au ;nay he called th e Assam R egulated a11cl Licensed \Varehouses Act,
1959.
(2) It. ex tends v, tlte whole of the State of A~MTI. ~
(ii) The l\ c I sh;11 l come into Joice on such date as Govc 1.u mc 11t rnay 1 by notification in the official Cazette 1 appoint.
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o~finition 2. Ju d ii:·; /\ c t, rmlo:.~::; there is anything rc pn guarit in tl,c subj 1;cl or contrxL --
(a) "Co .. o pn<1.tiv1: Society" means soc:cty registered or deemed to ]1 a \ , ~ Lic C11 ll:gistered under the J\ssa ni C o opera ti ve Societies Act, . . l~H9 ;
'1· ) I' • ) I l \; li cpusrtor ineans a person w io tend ers bis goods to !he ware-
h n11 :1r 1118 n for storine in his ware· ]H,nsc :rnd inch1 d1-: ::;' ' a ny person who lawfully holds tlic receipts ":
issued liy th e warehouseman in
rtspecl of sllch goods and derives
1itk tl1f1Tl1, hy a proper endorse- ~ 1 rne 11 l 111 1r;nrnfr:r tn liim by the A clcpo:·> itor or tl1c ckpos itor's lawfol
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( d) "Govetnm~nt 'J means the Government ;
State
(e) "licensed warehouse" means a ware- house licensed under this Act ; ( fJ ''Person'' shall include any com- pany or association ~r body corpo"
rate· ' .
(g) "prescribed" means prescribed by rules made undei' .. this Act ;
(h) "prescribed a\1thority" means, in relation to any provision of this Act, the authority prescribed by rules made · under this Act w · carry out such provision;
(i) "receipt" means a warehouse receipt in the prescribed form issued by a warehouseman to a person
depositing goods in the warehouse; l'-
(j) "rules" mean rules made by the Government under this Act ;
(k) •'warehouse" meal.JS any building, structure or other protected en- closure which is or inay be used for the purpos~ of storing goods on behalf of depositors but does not h1clude cloak rooms attached to hotels, railway stations, premises of other public carriers and the like ; and
(l) ''warehouseman" means a person, who has obtained license under this Act in respec t of his ware· house .
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Warehouse- man.
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CHAPTER II
Licensing of warehouses
3. No person shall carry on the business of warehouseman except under the license .granted under this Act and in accordance with such terms and conditions thereof as may, from time to time, be prescribed under this Act.
Grant of 4. (1) Application for a license shall be licen~e.
made in the prescribed form to the prescribed authority.
(2) The prescribed authority may on receiving such application and on payment of such fees as may be prescribed, grant a license.
Condition S. Before granting a license the pres- or license· · b d h ·' l ll ' f • lf en e aut onty s ta sat1s y itse -
(a) that the warehouse is suitable for ~ proper storage of the class or classes ! of goods m respect of which the ~
" license has been applied for ; 1
(b) that the applicant possesses such quali- 1 fications as may be prescribed ; and 1
(c) that the applicant has paid the fee i prescribed for the license and has ~ i also paid the prescribed security :! if anv: ~
Provided ·that when the applicant is a Act 28 i
. bl' h .d I J 1956• ' corporat10n esta 1s c unc er t 1e ' Agricultural Produce (Development
and ·warehousing) Corporations Act,
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. Notice of re- 7. If the prescribed authority refuses , to fusal to grant . •
or renew Ji. grant or renew a license under the foregoing ccnae. provisions, it shall record its reasons for such refusal in writing and communicate a copy of its order to the applicant.
Suspen!iun 8. (1) Every license granted under section and cancel- 5 or renewed under section 6 shall be liable to Jatwn orb d . h .
license. e suspended or cancelle e1 t er temporarily Notice of
suspension
a11d can- ~
cdlathn of
liceme.
or permanently by the prescribed authority if in its opinion-
(a) the licensee has applied to be adjudicated, or been adjudicated an insolvent, or
(b) has parted, in whole or in part, with his control over the warehouse, or
(c) has ceased to conduct such warehouse, or
(d) has in any other prescribed grounds become incompetent to conduct such warehouse, or
(e) has contravened, or failed to comply with any of the terms of the license or any of the provisions of this Act and the Rules, or
( j ) on any other prescribed ground.
(2) If a license is suspended or cancelled the prescribed authority shall make an entry to that efiect in the liCense and such can- cellation shall be . notified in the official Gazette.
9. (1) Before passing an order for cancella·· tion· under section 8~ the prescribed authority shall give notice to the warehouseman stating the grounds on which it is proposed to cancel his license and calling up him to show cause why it should not be cancelled. '2) ' . After considering the explanation, if any, of the ware"houseman, the prescribed authority may pas11 such
orders · as it deems just.
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(3) The prescribed a ntb ority may, however, suspend a l!c. co :; r. a t any ti me for a specified p cri!ld without such noti ce
. and il f"ter reco rd in g · the r eason s thcrc fr>r in writinp;.
Return of I 0. When a Ii c 1~1yc C}. pirc;;, or is suspended liccns~ or canceHccl, tli e warehou ~crnau shall cvasc to work as suc li a nd sh a ll rdt1rn th e liccn:;c to the prescribed ;n1 th01i l \' , who 3IJ ::11l give r easonabl e ti rn e tu 1 he vv·;:i rd 1ouscrnan to enable h im lo wind up the b11 sincss .
Duplicate
liceme. l 1. ( l ) \Vl~cr c a Jiu nsc grant<' d to a warctto11sc rn a n .is l n~ t, d e;; t.royed , torn, defaced n r i:Jlhc1 wisr; bc i_ om es illcgiule, ll ic prc:,cr il ,1 cd ;luthuriLy sh a Ll .is·mc a dupl ic.i.tc license on the appl ication of the w <11 cl1 oq:; crrian
a nd on pa ymcu I ' if th e prescribed kc
(2 ) When a cl upl ic: 1i r' li t e 11 sc is i:,s ued , it shall IJ(~ clc-t ri y :, I ;1.1r1ped "· Jh1plicate"
'1 nd slw ll be 11 u.rk c:d with the elate of issne ol lhc d 11plicatc a nd tha t of
the ori rci;u1;d f'r oJ 11 th e record ol' the office issui ng th e license. ·
l)U'fIES OF vVAHE HOlJ SEMAN
CHAPTER HI
R ea sonabk I 2. EVf'. l"V \~·:in·h 1
• ll'; ,~: 11 • :q 1_ ~ hall ta ke such care ' ,( the f' ] . J I . I . l l ' goods deposi .Ca rc o \ IC gool r; c q >n·-;i tr r. vv1t1 . u rn a.'; a
•ed. n1 ~1 n of' ord ina ry pn1dr ncc woul d take or his own r!.nor:h u11d cr ~; 1nil :1. r ci rc u rnsta11ccs and conditi o11.;.
Precautions .l 9 (J) l•' . _ ,,; ·· _ .[,, . .- . l )] aga.;11, 1 d<1m- - ::>. . . N f'I Y \ 1tl <.i · -.J lt!W ll1
;uv l free from
keep
damp,
to gooos. . k ll 1 · . ta c a n ecesnry p n" ';111 J•)l1'l agat J1 '.'. t r a ts and other p ests, auci r11 '!1 f such other condi-
tio ns as may be 11 1·c: . .r-,::i)(:d .
(2) NC) \•1·11·f'hn11""'q·,,, ... 1.,.,1; '(·cc•1f unoc]s ' \ I . • . .. , . \ • •- · l • .., "' ( -(l ~ ,_.. ' j . ._ t) -' for deposit vflrnh a rc likel y l. o CZFiSC clanP gc
to o ther goods vv1 1t( h a re , nr rn ziy be deposited, ·
in the warehouse.
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Pfrdeserv.ationf 14. Every warehouseman shall keep the o 1 enuty o f d · fi h goods. goods o one epos1tor separate rom t e goods of other depositors and from other goods
of the same dep0sitor foi: which a separate
receipt has been issued.,. in such a manner as
to permit at all times of the identification
and delivery of the goods deposited :
Provided that where standardised and
graded goods are stored in a warehouse then
subject to any agreement between the ware-
houseman and a depositor, the same variety
of goods belonging .to differen t depositors may be pooled together and each depositor shall
be .entitled only to his portion of the
goods according to weight or quantity, as
the case may be, a s shown in· his receipt.
Go.uds .de· 15. (1 ) Whenever goods deposited in a tcnorattng ] cl · £' b d h in warehouseware 1ouse etenorate irom causes eyon t e and their control of the warehouseman he shall
d1oposal i:- h . h . . f l d ' • . 10rt wit give notLCe o sue 1 etenorat1on to the der:ositor, requiring him to take delivery
of the goods, within a reasonable period to be
specified in the said notice after surrendering
the receipt duly discharged and paying
all charges clue to the warehouseman.
Explanation.-Loss of weight or bulk by
shrinkag~ or dry age or gain of weigh t . or bulk
by absorption of moi'.ture shall be deemed to
amouqt to deterioration; · within the meaning
of, thi's sub-section.· if the loss or gain exceeds
such limits as may · by prescribeq.
(2) If the- depositor does not, within the period spe<;;ified, comply with the notice given to him under sub-section (1), the · warehouseman may cause the goods to be removed from the warehouse · and sold ·by publi~ auction at . the cost ;:i,nd ris~ of the depositor ·
Provided that at any time 'before such sale by pul;>lic auction', the depositor inay re~nove the goods ~~ter paying "'all the charges due w the warehouseman .
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(3) h..ny perso!l having an interest in any goods d eposited in a warehouse or in the receipt for such goods may inform the warehouseman in writing of the fact and nature of his interest and the warehouseman shall keep a record thereof; and if such person requests in writing· that intimation be given to him rei:rarding the condition of the goods and agrees to pay the charges for . giving such intimation the warehouseman shall give him intimation accordingly.
Dcdlivery of 16. (I) Every warehouseman, in the absence goo s. r bl l 11 · h 01 reasona e excuses ia , wit out unnecessary delay, deliver the goods deposited in his
warehouse to the depositor on demand made
by him and surrender of the receipt duly
discharged and p ::i yment of all charges due to the warehouseman.
(2) Subject to any agreement between the warehouseman and the depositor, the d eposi - tor may take partial delivery of the goods deposited in the warehouse.
Li a bility of J 7. (1) For the purpose of sub-sections warehouse- (1) and (2) of the foregoing section and man fo r b . ( 1) f . 1 r:; l f' . } shortage or SU ··SeC tIOD . 0 SeCllOll J i OSS 0 . Weig lt excess in or bulk by dryage or shrinkage within the
gooda stored. · i. d l' · J • • • h b
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pre~cnoe 11111 ts an o garn m \v e1g t -, absorption of moisture within such limits shall not be deemed to amount to de teriora~ tion.
(2) If there is any excess stored in a warehou se by moisture or other causes the shall not be en ti tled lhfreto. In the goods
absorption of
warehouseman
( 3) If there is a11y shortage in the goods stored within the prescribed limit in a warehouse by dryage or other causes beyond control the wareho11seman shall not be responsible therefor.
( 4·) In the event of a dispute ansmg as to whether such shortage or excess is due to dry age or absorption of moisture or is · due to other causes beyond the control of the warehouseman ~~he rr1~1tter shall be re ferred to the appellate authority referred to m section 29 whose decision thereon shall be final' and binding.
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?f 18. Every warehouseman shall insure the warehouses. goods in his warehouse against such events
. . . and in such manner as may be prescribed. ~~~:U;~. I 9: No ;-vareho?se~a:i shall in the cpnduct hibited. of his busmess, d1scnmmate between persons desiring to avail themselves of the facilities of his warehouse :
Provided that the warehouseman shal1 show such preference to Co-operative Societies in the State and allow them such concessional rates as may be prescribed.
:::ie~~~s~ 20. Notwithstanding -anything contained in deal in. or any other law, no warehouseman other than a ~c~~=gami~ Co-operGj.tive Society ot the , Central or any warehouse. State Warehousing Corporation set up under the Agricultural Produce (Development and W arehousing) Corporations Act, 1956 shall, 1~5 628ot either on his own account or that of others, · c;ieal'in or lend money on goods received by it .for deposit in its warehouse.
Account~ 21 A h · h 11 · · etc., to b; • ware ouseman s a maintain ac~ maintained. counts, l~ooks and records in such form and manner as may be prescribed.
CHAPTER IV
Inspection and grading of goods
22. Tbe prescribed authority may, at any time during business hours, inspect or exa- mine or cause to be inspected or examined, any licensed warehouse, its machinery and equipment, goods deposited therein, and the accounts books and records . relating thereto, for purpose of satisfying itself that the require- · men ts of tliis Act and the rules are being , · · complied with.
Weigli1 eransd; 23. (1) The prescribed authority ,. may, on samp ers • .. d . h 'b d grad~~s. to apphcatlon ma e 1n t e prescr1 e . manner
obtain hcen- and on payment of the prescribed fee, issue
ses. license to persons possessing the prescribed
qualifications, entitling them to act as weig-
hers, samplers, and graders of any goods
deposited or to be deposited in a licensed
warehouse, and to issue cert:i:fic?,tes as to the
weight, bulk, quality or grade . of .the goods
which they have e:x:amined.
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{2) Any certificate so issued shall subject tb- the provisions of section 24 be binding on the warehouseman and the depositor as to the weight, bulk, quality or grade of the goods so certified. ·
(3) No person who is not licensed under this section shall act, or hold himse]f out, as weigher, sampler or grader.
Provisi? n s 24. ( 1) Every license granted to a weigher regard in g '
such licen· sampler, or grader under section 23 shall be ses. valid for the prescribed period and may, on app1ication and payment of the prescribed fee, be renewed from time to time for the prescri- bed peri.od by the prescribed authority.
(2) The prescribed authority may cancel any such license, after communicating to the licensee the grounds on which it is proposed to take action and giving him a reasonable opportunity of showing cause against it.
(3) The. prescribed authority may, however, suspend any such license without such notice after recording in writing its reasons therefor. ( 4) The holder of any S\lch license shall, on the expiry thereof or the receipt of an order suspending or cancelling it, return the license to the prescribed authority. F;\Ci)ities to 25. Every warehouseman shall provide be given for f: "Ii · r · h. 1. d d. · weighing ac1 ties 1or weig ing, samp mg an . gra mg goods, etc. any goods deposited in his warehouse.
CHAPTER V
Warehouse receipts
Rei:eipt to :Zo. For the goods deposited in his ware~ be issued. h b h d . h h ouse y eac . epositor, t e ware ouseman shall issue · a receipt which shaU contain foll particulars of the goods and be in the pres,
cribed form.
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Receipts f?r 27. The receipt issued by a warehouseman depouts m l 11 l . . th . . . ~ d. h
warehouses. s 1a , un ess It IS o - erWISe specrne t ereon, be transferable by endorsement and shall
entitle the lawful holder thereof to receive/ the goods specified in it on the same terms
'and conditions as the original depositor. •
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28. fr a receipt is lost, destroyed dr damaged, the warehouseman shall, on appli- cation by the depositor and payment by him of the prescribed fee, issue a duplicate receipt on such conditions as he . may think fit to impose, being condi~ions included in rules prescribed for the purpose.
CHAPTER VI
Miscellaneous
29. (1) An appeal against any order of · ~:;1:1~\ n the prescribed authority refosing to grant or , ordefs_ of renew a license or suspending or cancelling prescribed h l" · f h auihority. any sue icense in respect o ware ouseman shall be made to such authority and within
such time as may . be prescribed.
(2) The decision of sm:h appellate autho- rity shall be final.
No ':!ompen- 30. Where any license is suspended or !~~~~~si!~r cancelled under this Act, the licensee shall o~·. cancel- not be entitled to any compensation therefor, :tc~~~e. of nor shall be entitled to the refund of any fee paid by him for license. ·
Contracts 31. Every contract or agreement which :-:n:gr~:: is inconsistent · with the provisions of this c~nshtent Act, or the rules, shall, to the extent of such wnh ~cc10inconsisteu cy be void be vmd.. • 1 '. . • Penalty and
procedure.
32. ( 1) Whoever- ( a) acts, or holds himself out, as a licensed warehouseman without having obtained a license under this Act, or
(b) knowjngly, contravene~ or fails to comply with any of the provisions or requirements of this Act or tht;! rules,
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shall be punishable with imprisonment for a term which may extend to one year or with fine which may extend to one thousand rupees or with both. ·
(2) Where a person committing an offence under sub-section (1) is a company or an association or a body of persons, whether in- corporated or not, the manager, secretary, agent or other principal officer, managing the affairs of such company, association or boc1y, shall be deemed to b e guilty of such offence. Governherr 33. The Government m ay offer any aid ~ay st!ft to the establishment of warehouses under this warehomes Act, by way of grant or lease of land, or of subsidy towards the cost of construction or by guarantee of a reasonable return on the capital invested, or in any other manner and on such terms and conditions as may appear to the Government in circumstances of any particular case. ·
Rules. 34. (l) The Governm ent may , by noti- fication, make rules to carry out the purposes of this Act.
(2) In particular and without prejudice to the generality of the foregoing power, such rules may add any article to , or ornit any article from, the schedule or provide for :---
(a) the matters express ly reg uired or allowed by this Act to be pres- cribed ;
(b) the conditions to be inserted in licenses to be granted to ~are- houseman and the fl;nn of such licenses ;
(c) the publication of the . grant, sus- pension or cancellation of licenses ' to warehouseman and of con- solidated lists of warehouseman and licensed war,'houses
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(d) the charges to be levied by ware- houseman for their services ;
(e) the books. accounts and records to be maintained by warehouse- men ;
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(g)
the conduct of public auctions for the sak of goods deteriorating or about to deteriorate in licensed warehouses and the manner in which . the proceeds of such sales shall be accounted for ;
the scales of los~ es and gains of weight or bulk which may be sus- tained by goods .owing to shrin- kage or dryage in the one case and owing to ' al,so rptjon of moisture in the other ;
(h) the disinfection of licensed ware- houses and the disinfection of goods stored therein ;
(i) the circumstances in which any security or bond furnished by a war ehouseman may. be forfeited, and the manner in which any sum falling· due as a result of such forfeiture may be recovered ; ( i) the efficient conduct gen~rally of the business of warehousemen
(k) the qualifications to be possessed by persons applying for the grant of licenses as warehousemen, weighers, samplers or graders ; the
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\ ...... flj the standard weights, measures and gradations of goods to be used in li.censed warehouses ;
( rn) the authority to which and the time within which an appeal under section 29 should be made ;
(n) the manner of giving norices under this Act.
(3) Such ru leq shall be laid on the table as s00n as possible;
( 4) All these rules shall be laid on the table for an uniform and total period of four- teen days before the date of their final publication ; and
(5) the rules made shal! be -; ubj, ct to such modifications as the House may li~<.e i o make.
The Schedule
[Section 2 (c)]
GOODS TO WHICH THE ACT
APPLIES
1. Paddy and rice ·
2. Cotton, ginned or unginned and cotton seed:
i Jute, raw or baled ;
4. Rape seeds and mustard seeds;
5. Potatoes and seed potatoes;
6. Betel nuts and Tejpat ;
7. Chemical fertilisers, bone-meals and oil cakes ;
8. Cocoons of raw silk : and
9. Puls~s. <
B. C. BARUA,
Secy. to the Govt. of Assam, Law Deptt.
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