BANKIDASS MOOLRAJ Vs. STATE OF RAJASTHAN

JUDGEMENT

(1.) WE have before us two writ petitions under Art. 226 of the Constitution which raise a common question of law and can therefore be conveniently disposed of together. The petitioners, who are grain dealers, seek to challenge the vires of the Rajasthan Gram and Barley (Regulation of Distribution) Order, 1964 here-in-after to be referred as the Control Order.

(2.) AS the writ petitions do not raise any dispute on the facts we may only give the facts of Writ Petition No. 1678 of 1964. The petitioner is a partnership firm and carries on business of a wholesale grain dealer at Merta City and has a licence under and in accordance with the Rajasthan Food Grains Licensing Order, 1964. Some time in August, 1964 the petitioner booked three wagons of gram to different destinations in the State of Madras. The Tehsildar, Merta City having come to know of these despatches checked the stock register, the existing stocks, and other books of the petitioner on or about 12-9-64 and as a result of the checking thought fit to seize the registers and books of account. The Tehsildar then lodged information about these consignments with the Station House Officer, Merta City requesting him to take legal steps against the petitioner for the infringement of the Control Order as it amounted to an offence under the Essential Commodities Act, 1955 hereinafter to be referred as the Act. The Station House Officer then took up the investigations against the petitioner.

(3.) WE are unable to assent to this for more than one reason. In the first place it is not a class of commercial or financial transaction within the meaning of clause (g) which the Control Order deals. It, our mind, deals with transactions like carrying on of forward transactions or making pledges of food stuffs with banks for securing loans and the like. Then several clauses-of sub-sec. (1) of sec. 3 of the Act only enumerate and illustrate the powers covered by sub-sec. (3) which really contains the totality of powers in the matter of controlling the production, supply and distribution of essential commodities. The clauses are not to be interpreted in a way as may result in a conflict of powers but an effort has to be made to harmonise the several clauses. If looking to the subject matter of a particular order it can reasonably be held to be covered by a particular clause then it should be held to have been issued by virtue of powers under that clause and the mere fact that it also falls under some other clause should not make the order void. There is a good deal of overlapping in such enumeration of powers and one has to look to the substance of power contained under a particular clause. The Control Order has a preamble which suggests that it has been made for the purpose of maintaining available supplies of gram and barley. It could thus appropriately fall under clause (d) as it was obviously made for the purpose of conserving supplies of the essential commodities within Rajasthan so that they could be available for distribution in Rajasthan. It was just incidental that some kind of restrictions resulted on the export of commodities outside Rajasthan. The argument loses much of its force even otherwise as the order was passed with the concurrence of the Central Government, which itself could certainly issue the Control Order in exercise of its own powers. Thus considering the matter we are of the opinion that in making the Control Order with the concurrence of the Central Government, the State Government has acted within the ambit of authority delegated to it.