SRI SATYANARAYANA TRADING CO. AND OTHERS Vs. SECRETARY AND SPECIAL OFFICER, NELLORE MUNICIPAL COUNCIL

JUDGEMENT

(1.) The secretary and Special Officer, Nellore Municipal Council, Nellore issued a notification S.L. No. 1 of 1978 dated 3rd January, 1978 published in the Nellore District Gazette Supplemental Extraordinary dated 11th January, 1978 under sections 260 and 263 etc., of the Andhra Pradesh Municipalities Act, 1965 leaving licence-fee in respect of several items mentioned in the schedule and at the rates mentioned in the said notification. Item No. 49 of the notification describes a licence-fee of Rs. 100 fro carrying on business in gunny bags. Item No. 62 provides for levy of licence-fee of Rs. 150 for storage/sale of cement. All the petitioners are residing in Nellore. Petitioners 1 to 3 carry on business in gunny bags and petitioners 4 to 27 carry on business in cement. The petitioners challenge the aforesaid notification imposing licence-fees on the business of gunny bags and storage/sale of cement on the ground that Schedule IV read with section 263 of Andhra Pradesh Municipalities Act, 1965, does not confer a power on the municipality to levy or impose licence-fee for carrying on business in gunny bags or for storage/sale of cement.

(2.) The first respondent-municipality relies upon the items 'P' and 'R' of Schedule IV of the Act. Item 'P' reads as follows:-

(3.) So far as cement is concerned item 'P' does cover the same. Cement cannot be said to be explosive or combustible material. Therefore, it is covered by item 'R'. The learned Government Pleader for the respondents could therefore support levy of licence-fee on the storage/sale of cement.