UNION OF INDIA Vs. SANTHA PAI

JUDGEMENT

(1.) A common question arises for decision in these Appeals and the question is whether clause 5 of the Paraffin Wax(Supply,Distribution and Price Fixation)Order,1972,for short,the 'Order ' ;,passed by the Central Government in exercise of the powers conferred by section 3 of the Essential Commodities Act,1955 is bad for excessive delegation to the competent authority of the area who has been authorised by clause 5 of the Order to pass an allotment order specifying the quantity of paraffin wax that can be sold by a dealer.Isaac,J.dealing with three Original Petitions O.P.Nos.1319,1936 and 2071 of 1972 by a common judgment(appears from these Original Petitions are W.A.Nos.265,266,267 of 1972 filed by the Central Government and W.A.Nos.293,294 and 297 of 1972,filed by the State Government)declared that clause 5 of the Order is unconstitutional and void.Following this decision,the other Original Petitions,O.P.Nos.3233,3234,3060 and 3313 of 1972(appeals from these Original Petitions are W.A.Nos.268,269,273 and 274 of 1972 filed by the Central Government and W.A.Nos.286,289 and 295 of 1972 filed by the State Government)have also been allowed.

(2.) THE necessary facts have been succinctly summarised by Isaac,J.in paragraphs 1 to 5 of the judgment which we may extract:

(3.) THE validity of clause 11 -B of the Iron and Steel(Control of Production and Distribution)Order,1941 was considered by the Supreme Court in Union of India and others v. M/s Bhanamal Gulzarimal Ltd.and others ,A.I.R.1960 S.C.475.Under clause 11 -B,notifications had been issued from time to time giving a schedule of basic prices in respect of iron and steel.The Supreme Court observed: