1961 (8) TMI 63

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....ash Mitter, J. 1. This Rule is the sequel to a notice by the Director of Enforcement to show cause why adjudication proceedings should not be held against the petitioner for an alleged contravention of the provisions of Section 4(1) of the Foreign Exchange Regulation Act, 1947, as modified up to 1st July, 1959. The provisions relating to such adjudication proceedings are contained in Sections 2....

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....the first point, there is no doubt that the amended section violates the provisions of Article 14 of the Constitution. The power which is vested in the Director of Enforcement appears to be unfettered and thus enables him to pick and choose one offender out of a number of similarly circumstanced offenders for being proceeded against under one or other of the two modes now obtainable. The opportuni....

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....scretion in the matter of selection or classification. If the Statute does not lay down any principle or policy for such guidance, as here, the Court will strike down the Statute on the ground that discrimination is inherent in the Statute itself. In my view, Section 23(1)(a) offends against Article 14 of the Constitution and is accordingly ultra vires the Constitution. That being the position, th....

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....d by the Director by deciding to deal with the matter himself. In my view, where a vested right is affected, prima facie it is not a question of procedure. I must, therefore, hold that the provision as to an adjudication by the Director of Enforcement cannot have any retrospective operation. The impairment of a right by putting a new restriction thereupon is not a matter of procedure only. It impa....