- (1.) Whether the Notification No. SRO-2908 (3908 ) dated December 7, 1957 issued by the Central Government in purported excercise of its powers under Sec. 2 of the Union Territories (Laws) Act, 1950, is ultra vires the Central Government, is the principal question that arises in these appeals which will be disposed of by a common judgment.
(2.) The question has arisen in these circumstances: Section 2 of the Part C States (Laws) Act, 1950, empowered the Central Government to extend by notification in the Official Gazette, to any Part C State, or to any part of such State, with such restrictions and modifications as it thinks fit, any enactment which is in force in a Part A State. In exercise of this power, the Central Government by a Notification No. SRO 615 dated the 28th April 1951, extended to the then Part C State of Delhi, the Bengal Finance (Sales-tax) Act, 1941 (for short, the Bengal Act), with, inter alia, these modifications: "In sub-section (2) of Sec 6, - (a) ........ (b) for the words "add to the Schedule", the words "add to or omit or otherwise amend the Schedule" shall be substituted".
(3.) For the Schedule of the Bengal Act, this Notification substituted a modified Schedule of goods exempted under Section 6. The relevant items in the modified Schedule were as follows: "8. Fruits, fresh and dried (except when sold in sealed containers). 11. Pepper, tamarind and chillies. 14. Turmeric 16. Ghee 17. Cloth of such description as may from time to time be specified by notification in the Gazette costing less per yard than Rs. 3/- or such other sum as may be specified. 21A. Knitting wool.";