NATIONAL TRADING CORPORATION Vs. STATE OF BIHAR

JUDGEMENT

(1.) ALL these writ applications involve a common question of law and as such they are being disposed of by a common judgment.

(2.) THE petitioners are whole-sale dealers of foreign liquor. THEy also have bonded warehouses. For this purpose they have been granted licenses in Form No. 1 and 1-A as required under the provisions of Bihar and Orissa Excise Act, 1915 (hereinafter referred to as the 'Act') and the Rules framed there under.

(3.) IT has been submitted by Mr. Granga Prasad Bimal, learned Counsel appearing for the petitioners, that the demand in question is unenforceable and fit to be quashed since it has not been made pursuant to any statutory provision. His assertion is that neither the Act nor the Rules framed there under or even the conditions of the license authorise the respondent No. 2 to make any demand on account of establishment charges. Submission is that the impugned demands have been made under the executive fiat without any legislative sanction and as such it is volatile under Article 265 of the Coast function India.