M.M.Dutt, J. - (1.) The appellant Manick Sahana has, in this appeal, challenged the propriety of the judgment of Basak J. discharging the Rule Nisi issued on the application of the appellant under Article 226 of the Constitution.
(2.) In the Writ Petition, the appellant challenged the validity of the provisions of Sections 5, 6, 7 and 8 of the Rice-Milling Industry (Regulation) Act, 1958, hereinafter referred to as the Rice-Milling Act, which is a Central Act. The Rice-Milling Act was passed by Parliament on May 18, 1958 for the purpose of regulating the Rice-Milling Industry in the interest of the general public. Section 2 of the Rice-Milling Act contains a declaration as to the expediency of control by the Union of the Rice-Milling Industry, Section 3 is the definition section. Clause (a) of Section 3 defines a defunct rice mill as meaning, inter alia, a rice mill in existence at the commencement of the Rice-Milling Act in which rice milling operations have not been carried on for a continuous period of one year prior to such commencement, and a rice mill whether established before or after the commencement of the Rice-Milling Act in which the rice milling operations have not been carried on for a continuous period of one year after the commencement of the Rice-Milling Industry (Regulation) Amendment Act, 1968. Clause (b) of Section 3 defines "existing rice mill" as meaning a rice mill carrying on rice milling operations at the commencement of the Rice-Milling Act, and includes a rice mill in existence at such commencement which is not carrying on rice milling operations but in which rice milling operations have been carried on at any time within a period of one year prior to such commencement, Under Clause (e) of Section 3, "new rice mill" means a rice mill other than an existing rice mill or a defunct rice mill. Under Section 3A which was incorporated in the Rice-Milling Act by the Rice-Milling Industry (Regulation) Amendment Act, 1968, the provisions of the Rice-Milling Act have been made applicable to rice-hullers. Section 4 provides for the appointment of licensing officers. Section 5 provides for grant of permits in respect of defunct rice mills and the establishment of new rice mills. Section 6 provides as follows: "6. (1). Any owner of an existing rice mill or of a rice mill in respect of which a permit granted under Section 5 is effective may make an application to the licensing officer for the grant of a licence for carrying on rice milling operation in that rice mill. (2) Every application under Sub-section (1) shall be made in the prescribed form and shall contain the particulars regarding the location of the rice mill, the size and type thereof and such other particulars as may be prescribed, (3) On receipt of any such application for the grant of a licence, the licensing officer shall grant the licence on such conditions including such conditions as to improvements to existing machinery, replacement of existing machinery and use of improved methods of rice-milling, as may be necessary to eliminate waste, obtain maximum production and improve quality and conditions relating to the polishing of rice, on payment of such fees and on the deposit of such sum, if any, as security for the due performance of the conditions as may be prescribed, (4) A licence granted under this section shall be valid for the period specified therein and may be renewed from time to time for such period and on payment of such fees and on such conditions (including such conditions as to improvements to existing machinery, replacement of existing machinery and use of improved methods of rice milling, as may be necessary to eliminate waste, obtain maximum production and improve quality) as may be prescribed: Provided that if in a mill in respect of which a licence has been granted under Sub-section (3) rice milling operations are not carried on for a continuous period of one year at any time after the commencement of the Rice-Milling Industry (Regulation) Amendment Act, 1968, then, such licence shall cease to be valid upon the expiry of the said period of one year and a fresh licence shall be necessary for carrying of rice milling operations in that mill." Section 7 lays down the circumstances under which licences may be revoked, suspended and amended. Sub-section (1) of Section 8 enjoins that no person or authority shall after the commencement of the Rice-Milling Act establish any new rice mill except under and in accordance with a permit granted under Section 5. Under Sub-section (2) of Section 8, no owner of a rice mill shall, after the commencement of the Rice-Milling Act, carry on rice milling operation except under and in accordance with a licence granted under S. C.
(3.) The West Bengal State Legislature passed an Act, namely, the Rice-Milling Industry (Regulation) (West Bengal Second Amendment) Act, 1974, hereinafter referred to as the W. B. Amendment Act of 1974. By the W. B. Amendment Act of 1'974, the Rice-Milling Act was amended by the introduction thereto of a new section, being Section 6A. The W. B. Amendment Act of 1974 was passed in accordance with the provision of Art, 254 (2) of the Constitution with the assent of the President of India. Section 6A provides as follows: "6A. Licence for husking mill.-- (1) Notwithstanding anything to the contrary contained in this Act, every owner of a husking mill, whether he holds licence under this Act or not, shall within thirty days from the date of coming into force of the Rice-Milling Industry (Regulation) (West Bengal Second Amendment) Ordinance, 1974 (West Bengal Ordn. XIV of 1974), or in the case of an owner of a new husking mill, before he starts actual milling operation, shall make an application to the licensing officer for the grant of a fresh licence for carrying on rice-milling operation in that husking mill: Provided ,that the licensing officer may. tor good or sufficient reason being shown, extend the time for making such application for a further period of thirty days. (2) Every application under Sub-sectoion (1) shall be made in such form, be accompanied by such fee and shall contain such particulars as may be specified by the State Government by notification in this behalf hereafter. (3) A licence granted by the licensing officer on application made under this section shall be subject to the following conditions, namely:-- (a) that the licencee shall recover from every customer not less than sixty per cent, of the charges for milling rice, in kind, that is, in rice, (b) that the licensee shall deliver to the State Government seven tonnes, in the case of a husking mill which is fitted with a No. 2 type of huller and in any other case, five tonnes of rice of fair average qualify within the thirtieth day of April every year, at such price as may be fixed by the State Government under any law for the time being in force, and (c) such other conditions, if any, as the State Government may, by notification specify. (4) The form of the licence and the manner in which the licensing officer shall grant the same shall be such as may be specified by the State Government by notification issued in this behalf. (5) A licence granted to an owner of a husking mill before the coming into force of the Rice-Milling Industry (Regulation) (W. B. Second Amendment) Ordinance, 1974 (W. B. Ordn. XIV of 1974), shall lapse- (i) if the owner does not apply for a fresh licence within the time specified under Sub-section (1), (ii) on the issue of a fresh licence by the licensing officer under Sub-section (3), or (ill) if a fresh licence under the provisions of this section is not granted, (6) Matters which have not been provided for in this section, but which are provided elsewhere in this Act or in the rules framed thereunder shall mutatis mutandis apply to a licence granted under this section. Explanation.-- A "Husking Mill" is a rice mill which undertakes rice-milling operation on customer's account only.";