Ranchi, April 29: Jharkhand High Court today ruled that the state government could fix the commission on sales of kerosene dealers.

The dealers had earlier challenged the decision of the state to fix the commission. They contended that only the Centre had such powers.

The high court also cancelled the previous orders of a single bench, which had held that if the state is not empowered to fix the commission, the money paid to the dealers as their commission should be recovered from them.

The dealers in 1998 had filed a case in Patna High Court for a commission to be fixed on their sales. The high court had then directed all the district magistrates to fix the rate of commission according to existing laws.

Accordingly, the Bihar food and civil supplies deputy secretary, in 1999, had issued a notice to all the district magistrates in the state directing them that 2.15 per cent commission can be given to the kerosene dealers.

In another case, a full bench comprising Justices S.J. Mukhopadhaya, M.Y. Eqbal and N.N. Tiwary directed the insurance company to pay compensation for the death of a passenger travelling in the bus of Girija Prasad Agarwal.

Agarwal, a bus operator in Dumka, had filed the petition after he was asked to pay compensation for the death of a passenger travelling in his bus.

The petitioner had pointed out that since the passenger was travelling on the roof of the bus, the insurance company should pay the compensation.

The case was earlier taken up by a division bench, which had referred it to a full bench.