AMIR CHAND Vs. STATE
LAWS(ALL)-1956-4-11
HIGH COURT OF ALLAHABAD
Decided on April 26,1956

AMIR CHAND Appellant
VERSUS
STATE OF UTTAR PRADESH Respondents

JUDGEMENT

Roy, J. - (1.) This is an application in revision by Amir Chand who has been convicted under Section 7 of the Essential Supplies (Temporary Powers) Act,. 1946 (No. XXIV of 1946) for contravention of Clause 6(A) of the Cotton Textiles (Control) Order 1948 and Clause 4 of the U. P. Controlled Cotton Cloth and Yarn Dealers'" Licensing Order, 1948 and sentenced to three months' rigorous imprisonment and to a fine of Rs. 2007/- or in default to rigorous imprisonment for further one month.
(2.) The facts giving rise to this application are these: The applicant held a temporary licence in Form P tenable upto 21st of June, 1951 to carry on business for storing cloth. The license had expired before the 10th of July, 1951 on which date he was found selling a sari to one Sukhan for a sum of Rs. 11/8/-. The prosecution alleged that the sale without a licence was a contravention of Clause 6 (A) of the Cotton Textiles (Control) Order, 1948 and Clause 4 of the U. P. Controlled Cotton Cloth and Yarn Dealers' Licensing Order, 1948. The only ground on which this revision application was founded is the unconstitutionally of these clauses of the Control Orders. It has been contended that the provisions of Clause 11 of the Cotton Textiles (Control) Order, 1948 which give unrestricted power to the Textile Commissioner to refuse to grant a licence without assigning any reason and which further provides that his decision shall be final, and the provisions of Clause 9 of the U. P. Controlled Cotton Cloth and Yarn Dealers' Licensing Order, 1948, which lay down that the Licensing Authority may for reasons to be recorded in writing refuse to grant a licence are in violation of the provisi6ns of Article 19(1) (g), of the Constitution and since these provisions cannot be dissociated with the provisions of Clause 6(A) of the Cotton Textiles (Control) Order, 1948 and Clause 4 of the U. P. Controlled Cotton Cloth and Yarn Dealers' Licensing Order, 1948, the penalties provided in those sections in violation of the Constitutional right cannot be imposed.
(3.) In order to examine this question it would be necessary to lay down Clauses 6(A) and 11 of the Cotton Textiles (Control) Order, 1948 and Clauses 4 and 9 of the U. P. Controlled Cotton Cloth and Yarn Dealers' Licensing Order, 1948, Clause 6 (a) of the Cotton Textiles (Control) Order, 1948 is as follows: "6. No person shall sell or dispose of any scheduled article except under and in accordance with (a) a seller's licence granted to him by the Textile Commissioner;". Clause 11 of that Control Order is as follows: "11. (1) Applications for licences under this Order shall be made in such form as the Textile Commissioner may prescribe. (2) The Textile Commissioner may without assigning any reason, refuse to grant a license to any person and his decision shall be final." Clause 4 of the U. P. Controlled Cotton Cloth and Yarn Dealers' Licensing Order, 1948 provides: "4. Subject to the provisions of Clause 16 no person other than a dealer shall....,.sell........to any person controlled cotton cloth.......... except under and in accordance with the conditions of a licence in the appropriate form granted under this order: Provided that no licence shall be necessary for the possession and storage for sale of cotton yarn not exceeding 10 Ib. in weight." Clause 9 of the U. P. Controlled Cotton Cloth and Yarn Dealers' Licensing Order, 1948, says: "9. The Licensing Authority may for reasons to be recorded in writing refuse to grant a licence in which case the fees deposited by the applicant shall be refunded." In this connection Clause 12 of this Control Order may also be reproduced. It says: "12. A Licensing Authority may, without prejudice to any other action that he may take, cancel or suspend the licence of a licensee who is found to have supplied incorrect information in Mis application for the grant or renewal of a licence or who contravenes any of the conditions of his license or of the provisions of this or any if the following control orders or for such other reason to be recorded in writing as the Licensing Authority may deem adequate.";


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