1981 (9) TMI 113

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.... under .Article 226 of the Constitution, a prayer has been made for quashing the order dated 21st November, 1980, passed by the Assistant Collector, Central Excise, Ludhiana, copy of which is Annexure P/1. 2. Briefly stated, the facts giving rise to the petition are that the petitioner was granted a private warehouse licence on 22nd July, 1977, which was being renewed from time to time, and the....

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....s to cancelling of licence. It has been further averred in the petition that the provisions of clause (a) of sub-section (2) of Section 58 of the Customs Act, 1962 (hereinafter referred to as the Act), are ultra vires, being arbitrary and violative of Article 14 of the Constitution on the ground that if a notice is given under clause (a) for cancellation of the licence, in that case no opportunity....

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....of such goods in a public warehouse are available, in that case the provisions of the Act clearly debar the grant, of a licence to a private warehouse. As is clear from the impugned order and so also from the contents of the return filed in the present petition, a public warehouse facility has been made available in Ludhiana and the goods in the private warehouse of the petitioner have been made a....

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....n is by way of penalty for breach of conditions of the licence or the provisions of the Act, the rules and regulations, and thus the Legislature thought it fit to make provision for giving a hearing to the licensee, who allegedly committed the breach. In case of clause (a), the inquiry regarding the breach is not involved and, therefore, the Legislature gave power to the Assistant Collector to can....