H.S. JAYANNA & BROS. vs STATE OF KARNATAKA .

The court examined whether the sale of rice by millers to the State Government under the Karnataka Rice Procurement (Levy) Order, 1984, constitutes a 'sale' attractible to market fees under Section 65 of the Karnataka Agricultural Produce Marketing (Regulation) Act, 1966. The central issue was whether rice, as a processed commodity derived from paddy (which had already been taxed), could be independently subjected to a market fee. Additionally, the court considered whether the Marketing Act was repugnant to the Essential Commodities Act.