KRISHNA MURTHY Vs. STATE OF ANDHRA PRADESH

JUDGEMENT

(1.) Quite a large number of creditors in the rural areas in the State of Andhra Pradesh are challenging in these writ petitions the validity of the Andhra Pradesh Agricultural Indebtedness (Relief) Act (VII of 1977), hereinafter referred to as the Act. After the Legislature of the Andhra Pradesh passed it, the Governor of the State reserved it for the assent of the President of India on the 6th of April, 1977 and it was given by the President on the 29th April 1977. The Act was intended to "to provide relief from indebtedness to agricultural labourers, rural artisans and small farmers in the State of Andhra Pradesh and for matters connected therewith."

(2.) The indictment of the Act is by way of challenging the validity of sections 3 (i), 3(t), 4 (1), 4 (2) (b), 5 (1), 5 (4), 6 (4) and 13. Sri Babulu Reddy who mounted the main attack on behalf of the petitioners maintained that these provisions offend Article 14 and clauses (f) and (g) of Article 19 (1). He further arrainged the declaration contained in section 2 of the Act which was made to give effect to the principles specified in Article 46 of the Constitution as wholly purposeless and inpracticable. Other learned Counsel Sri C. Poornaiah and Sri Venkata Sastry raised some incidental doubts about the validity of some of these provisions. They maintained that the challenged provisions constitute the core of the Act and if they fail the test of validity, the entire Act is rendered ineffective and inoperative.

(3.) It is essential, in order to test the validity of the impugnment the Act by the learned Counsel, to have a conspectus of its essential features and provision. The Act was preceded by the issuance of an Ordinance on 29th of December, 1976. Section 2 declares that the Act "is for giving effect to the policy of the State towards securing the principles specified in Article 46 of the Constitution". Patently this declaration has been made by the Legislature to bring the Act under the protective wings of Article 31-C. Section 3 contains definitions. Since the relief under the Act is proposed to be given to agricultural labourers, rural artisans and small farmers, we will first notice their definitions.