KARNATAKA PAWN BROKERS ASSOCIATION Vs. STATE OF KARNATAKA

JUDGEMENT

(1.) The Pawn Brokers Association and others are before us challenging the order passed by a Learned Single Judge of this Court dated 28-9-2000 passed in W.P.No.29372-377/1998.

(2.) Facts in brief are as under: The appellant-petitioners sought a declaration that Sections 4A and 4B of the Karnataka Pawn Brokers Act, 1961 and Sections 4, 5 and 6 of Karnataka Act 9 of 1998, providing for amendment of Sections 4 and 4A of P.B. Act prohibiting the payment of interest on security deposit w.e.f 31-5-1985 as unconstitutional. They also sought for a declaration declaring that Sections 7A and 7B of the Karnataka Money Lenders Act and Sections 3, 4, 6 and 8 of the Karnataka Act 14 of 1998, providing for amendment of the M.L. Act as ultra vires and unconstitutional and being contrary to the Judgment of this Hon'ble Court and for a writ of mandamus restraining the respondents from collecting the security deposits under the two acts as well as the enhanced licence fee in terms of the Act.

(3.) The appellants are the association and individuals carrying on the business of money lending and pawn brokering in the State of Karnataka. They obtain licence under the Statute as applicable to them.