STATE OF KARNATAKA Vs. ANJANAPPA AND CO

JUDGEMENT

(1.) These batches of Writ Appeals are disposed of by this Judgment as a common question of law arises in all these appeals.

(2.) The respondents are all Excise Contractors. They are aggrieved by the amendment to Rule 15 of the Karnataka Excise Licences (General Conditions) Rules, 1967 (hereinafter referred to as Rules.) The amendment in the rule is effected by Notification gazetted on 25-6- 1983 which came into force with effect from 1-7-1983.

(3.) Prior to the coming into force of the amendment in Rule 15 of the Ruies, the rent not paid before the stipulated date, namely, 10th of a month, was liable to be charged with interest at the rate of 6%. By the amendment effected, the rate of interest in Rule 15 of the Rules, has been raised to 18%. The grievance of the Writ Petitioners is that they were adversely hit by the amendment brought about inasmuch as the raising of the rate of interest from 6% to 18% is arbitrary, unreasonable and excessive. Plea was also set up that the rule is made in violation of the mandatory requirement of subsections (3) and (4) of Section 71 of the Karnataka Excise Act, 1965 (hereinafter referred to as Act).