https://www.taxtmi.com/caselaws?id=110170 The Maharashtra Protection of Interests of Depositors Act, 1999 was held beyond State legislative competence because its true substance regulated deposit-taking, penalised defaults in repayment, and provided for attachment and distribution of assets in a field already occupied by central legislation under the Companies Act and the RBI Act. The Court rejected the argument that the law was referable to public order, holding that public resentment caused by defaults did not change the Act's core character. Severability was also rejected because the provisions concerning individuals and unincorporated bodies were likewise covered by the central enactment. The Act could not therefore be sustained as a valid State law. en-us Mon, 05 Sep 2005 00:00:00 +0530 Wed, 17 Apr 2024 16:21:00 +0530 TaxTMI RSS Generator https://www.taxtmi.com/caselaws?id=110170 The Maharashtra Protection of Interests of Depositors Act, 1999 was held beyond State legislative competence because its true substance regulated deposit-taking, penalised defaults in repayment, and provided for attachment and distribution of assets in a field already occupied by central legislation under the Companies Act and the RBI Act. The Court rejected the argument that the law was referable to public order, holding that public resentment caused by defaults did not change the Act's core character. Severability was also rejected because the provisions concerning individuals and unincorporated bodies were likewise covered by the central enactment. The Act could not therefore be sustained as a valid State law. Case-Laws Companies Law Mon, 05 Sep 2005 00:00:00 +0530 https://www.taxtmi.com/caselaws?id=110170