"How can you enforce the Act without rules?" Justice Manmohan asked while hearing a plea seeking directions to the Centre and Delhi governments to fix an amount as margin money on the commodities sold through fair price shops (FPSs).
The plea filed by Delhi Sarkari Ration Dealers Sangh has claimed that under the Act, FPSs have to sell commodities at the same rate at which they received items from the state government. But that would mean they do not earn any profit from this business, it was pointed out.
They have contended that the Centre is supposed to fix the margin money and pay the same to the state government, which is to then transfer it to those running the FPS outlets.
The court, however, was of the opinion that under the Act, the Centre may or may not reimburse the state government for paying margin money to FPS owners.
It also was of the view that the margin money has to be fixed by the state government.
"There is no back-to-back arrangement that the Centre will pay the state and it will pay you," the court observed during the proceedings.
However, it also wondered as to how the FPS owners would operate if no rules have been framed under the Act and no margin money fixed.
"If the Act has been enforced without any rules or without fixing margin money, then how are (FPS owners) supposed to operate?" the court asked.
Delhi government, however, concurred with the petitioner organisation, saying that as the Act has been brought in by the Centre, it will have to fix the margin amount.
The court, thereafter, called for the Additional Solicitor General to clarify the situation on behalf of the Centre, but since the case could not be taken up again during the course of the day, it was adjourned to April 4.
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