Supreme Court of India

Balram Kumawat vs Union Of India & Ors. on 27 August, 2003

Supreme Court of India
Balram Kumawat vs Union Of India & Ors. on 27 August, 2003
Author: S.B. Sinha
Bench: Cji, S.B. Sinha, Arun Kumar.
           CASE NO.:
Appeal (civil)  7536 of 1997
Appeal (civil)  7537 of 1997

PETITIONER:
Balram Kumawat							


RESPONDENT:
Vs.

Union of India & Ors.			    		.


DATE OF JUDGMENT: 27/08/2003

BENCH:
CJI, S.B. Sinha & Arun Kumar.


JUDGMENT:

J U D G M E N T

S.B. SINHA, J :

QUESTION :

Whether ‘mammoth ivory’ imported in India answers the description

of the words ‘ivory imported in India’ contained in Wild Life

(Protection) Act, 1972 (hereinafter referred to as ‘the said Act’) as

amended by Act No. 44 of 1991 is the question involved in these appeals

which arise out of a common judgment and order dated 20.3.1997 passed

by a Division Bench of the Delhi High Court.

FACTUAL BACKGROUND :

The appellants M/s Unigems had imported mammoth fossil said to be

of an extinct species in the year 1987. The stock of mammoth fossil

held by the appellants is said to be periodically checked by the

statutory authorities. The appellant in the other case Balram Kumawat

is a carver.

Mammoth is said to be pre-historic animal which disappeared due

to climatic conditions prevailing in Alaska and Siberia. According to

the appellants the distinction between mammoth and elephant ivory is

that whereas mammoth belongs to an extinct species, the ivory of

elephant is of an extant living animal. The appellants state that

mammoth ivory is distinguishable by visual and non-destructive means

vis-à-vis elephant ivory and even in Convention on International Trade

in Endangered Species (CITES) their distinguishing features have been

pointed out.

SUBMISSIONS :

Mr. Sanghi and Mr. Parikh, the learned counsel would contend that

trade in mammoth fossil ivory is not banned either under the said Act

or under the CITES and, thus, the impugned judgment of the High Court

cannot be sustained.

The learned counsel would take us through the history of CITES as

mentioned in the impugned judgment of the High Court and would urge

that the purport and object of the Act cannot be sub-served by placing

a ban on trade in mammoth ivory. Taking us to the provisions of the

said Act, the learned counsel would argue that as mammoth ivory does

not answer the description of ‘wild animal’, the provisions contained

in Chapter VA of the said Act would not be attracted.

As Mammoth is an extinct species and as what is being used for

carving is its fossil which is called ivory because it has white and

hard dentine substance which is also available in other animals,

namely, Whale, Walrus, Hippos and Warthog; it was urged, they cannot be

included in the term ‘ivory’ within the meaning of the provisions of

the said Act.

It was contended that the High Court committed a manifest error

in passing the impugned judgment insofar as it failed to take into

consideration that mammoth ivory being deceptively similar to elephant

ivory to the naked eye, the impugned Act would be applicable in

relation thereto also. The learned counsel would contend that if this

is taken to its logical conclusion, then even trade in plastic articles

which would be deceptively similar to elephant ivory may also be held

to have been banned. It was argued that the intention of the

Legislature cannot be to ban any article irrespective of the purport

and object it seeks to achieve only on the ground that the same is

deceptively similar to the banned item. There exists scientific

procedure, it was urged, whereby and whereunder mammoth ivory can be

distinguished from elephant ivory and with a view to buttress the said

argument, a large number of literature had been placed before us.

The preamble of the Act as also the ‘Headings’, the learned

counsel would contend, should be taken into consideration for the

purpose interpreting the provisions of the said Act.

FINDINGS :

In the connected matter in Indian Handicrafts Emporium & Ors.

Vs. Union of India & Ors. (Civil Appeal No. 7533 of 1997)

disposed of this date, this Court upheld the constitutional validity of

the provisions of the said Act. This Court held that in terms of Sub-

Section (7) of Section 49-C of the Act all persons in general and

traders in particular have become disentitled from keeping in their

control any animal article including ivory imported in India.

This Court further held that as a logical corollary to the said

finding, the statutory authorities would be entitled to take possession

of such ivory in terms thereof; the purport and object of the Act

being to impose a complete ban on trade in ivory. A complete

prohibition has been imposed in the trade of ivory (whether imported in

India or extracted by killing Indian elephants) for the purpose of

protecting the endangered species. Trade in ivory imported in India

has been prohibited further with a view to give effect to the

provisions contained in Article 48A as also Article 51A(g) of the

Constitution of India.

Why despite passage of time the trade in stock could not be

disposed of within a period of four years has not been disclosed by the

appellants. It is not in dispute that even in terms of Act 44 of 1991,

six months’ time was granted for disposing the stock of ivory.

For the reasons stated hereinafter, it may not be necessary for

us to go into the question as to whether scientifically mammoth ivory

can be deciphered from elephant ivory.

What has been banned is ivory. There is complete prohibition of

trade in ivory. Such a complete prohibition is a reasonable

restriction within the meaning of Clause (6) of Article 19 of the

Constitution of India. The impugned Act being not unreasonable does

not also attract the wrath of Article 14 of the Constitution of India.

For the purpose of determination of the question, we need to

consider only the dictionary meaning of the term ‘ivory’. Commercial

meaning or technical meaning of an object or article is required to be

taken recourse to when the same is necessary for the purpose of meeting

the requirements of law. The law in no uncertain terms says that no

person shall trade in ivory. It does not say that what is prohibited

is trade in elephant ivory or other types of ivory. The purport and

object of the Act, as noticed in the judgment in Indian Handicrafts

Emporium (supra), is that nobody can carry on business activity in

imported ivory so that while doing so, trade in ivory procured by way

of poaching of elephants may be facilitated. The Parliament,

therefore, advisedly used the word ‘ivory’ instead of elephant ivory.

The intention of the Parliament in this behalf, in our opinion, is

absolutely clear and unambiguous. We cannot assume that the Parliament

was not aware of existence of different types of ivory. If the

intention of the Parliament was to confine the subject matter of ban

under Act 44 of 1991 to elephant ivory, it would have said so

explicitly.

As noticed hereinbefore, the object of the Parliament was not

only to ban trade in imported elephant ivory but ivory of every

description so that poaching of elephant can be effectively restricted.

An article made of plastic would by no means resemble ivory.

In the Shorter Oxford Dictionary, the meaning of ‘ivory’ is

stated as under:

(i) The hard, white, elastic and fine grain substance (being

dentine of exceptional hardness) composing the main part of

the tusks of the elephant, mammoth (fossil)…

(ii) A substance resembling ivory or made in imitation of it.

In Collins English Dictionary, ‘ivory’ has been defined as:

(i) A hard smooth creamy white variety of dentine that makes up a

major part of the tusks of elephants, walruses, and similar

animals.

(ii) A tusk made of ivory.

(iii) A yellowish-white colour; cream

(iv) A substance resembling elephant tusk.

(Emphasis supplied)

‘Ivory’, therefore, even as per dictionary meaning is not

confined to elephant ivory.

At this stage, we are not concerned with a criminal trial. The

appellants are not being proceeded against in a criminal case. Their

civil rights, if any, are only required to be dealt with. The

appellants in these matters complain of civil injuries only.

Contextual reading is a well-known proposition of interpretation

of statute. The clauses of a statute should be construed with

reference to the context vis-à-vis the other provisions so as to make a

consistent enactment of the whole statute relating to the subject-

matter. The rule of ‘ex visceribus actus’ should be resorted to in a

situation of this nature.

In State of West Bengal vs. Union of India [AIR 1963 SC 1241 at

p. 1265], the learned Chief Justice stated the law thus :

“The Court must ascertain the intention of the

Legislature by directing its attention not merely to

the clauses to be construed but to the entire

statute; it must compare the clause with the other

parts of the law, and the setting in which the clause

to be interpreted occurs.”

The said principle has been reiterated in R.S. Raghunath vs.

State of Karnataka and another [AIR 1992 SC 81 at p. 89].

Furthermore, even in relation to a penal statute any narrow and

pedantic, literal and lexical construction may not always be given

effect to. The law would have to be interpreted having regard to the

subject matter of the offence and the object of the law it seeks to

achieve. The purpose of the law is not to allow the offender to sneak

out of the meshes of law. Criminal Jurisprudence does not say so.

G.P. Singh in his celebrated treatise ‘Principles of Statutory

Interpretation’ distinguished between strict construction of penal

statutes which deals with crimes of aggravated nature vis-à-vis the

nature of the activities of the accused which can be checked under the

ordinary criminal law stating :

“In Joint Commercial Tax Officer, Madras

v. YMA, Madras, SHAH, J. observed : “In a

criminal trial or a quasi-criminal proceeding,

the court is entitled to consider the substance

of the transaction and determine the liability

of the offender. But in a taxing statute the

strict legal position as disclosed by the form

and not the substance of the transaction is

determinative of its taxability.” With great

respect the distinction drawn by SHAH, J. does

not exist in law. Even in construing and

applying criminal statutes any reasoning based

on the substance of the transaction is

discarded.

But the application of the rule does not

permit the court in restraining comprehensive

language used by the Legislature, the wide

meaning of which is in accord with the object

of the statute. The principle was neatly

formulated by LORD JUSTICE JAMES who speaking

for the Privy Council stated : “No doubt all

penal statutes are to be construed strictly,

that is to say, the court must see that the

thing charged as an offence is within the plain

meaning of the words used, and must not strain

the words on any notion that there has been a

slip; that there has been a casus omissus; that

the thing is so clearly within the mischief

that it must have been included if thought of.

On the other hand, the person charged has a

right to say that the thing charged although

within the words, is not within the spirit of

the enactment. But where the thing is brought

within the words, and within the spirit, there

a penal enactment is to be construed, like any

other instrument, according to fair commonsense

meaning of the language used, and the court is

not to find or make any doubt or ambiguity in

the language of a penal statute, where such

doubt or ambiguity would clearly not be found

or made in the same language in any other

enactment.” The above formulation has been

cited with approval by the House of Lords and

the Supreme Court. In the last-mentioned case,

SUBBARAO, J., referring to the Prevention of

Corruption Act, 1947, observed : “The Act was

brought in to purify public administration.

When the Legislature used comprehensive

terminology – to achieve the said purpose, it

would be appropriate not to limit the content

by construction when particularly the spirit of

the statute is in accord with the words used

there.” Similarly, the Supreme Court has

deprecated a narrow and pedantic construction

of the Prevention of Food Adulteration Act,

1954 likely to leave loopholes for the

adulterator to escape. And on the same

principle the court has disapproved of a narrow

construction of section 135 of the Customs Act,

1962, Section 489A of the Penal Code, Section

12(2) of the Foreign Exchange Regulation Act,

1947, section 630(1)(b) of the Companies Act,

1956, section 52A of the Copy Right Act, 1957,

and section 138 of the Negotiable Instruments

Act, 1881. So, language permitting a penal

statute may also be construed to avoid a lacuna

and to suppress the mischief and advance the

remedy in the light of the rule in Heydon’s

case. Further, a commonsense approach for

solving a question of applicability of a penal

enactment is not ruled out by the rule of

strict construction. In State of Andhra

Pradesh v. Bathu Prakasa Rao, rice and broken

rice were distinguished by applying the

commonsense test that at least 50% must be

broken in order to constitute what could pass

off as marketable ‘broken rice’ and any grain

less than 3/4th of the whole length is to be

taken as broken.

The rule of strict construction does not

also prevent the court in interpreting a

statute according to its current meaning and

applying the language to cover developments in

science and technology not known at the time of

passing of the statute. Thus psychiatric

injury caused by silent telephone calls was

held to amount to ‘assault’ and ‘bodily harm’

under sections 20 and 47 of the Offence Against

the Person Act, 1861 in the light of the

current scientific appreciation of the link

between the body and psychiatric injury.”

(See also Lalita Jalan & Anr. Vs. Bombay Gas Co. Ltd. & Ors.

reported in 2003 (4) SCALE 52).

A statute must be construed as a workable instrument. Ut res

magis valeat quam pereat is a well-known principle of law. In

Tinsukhia Electric Supply Co. Ltd. vs. State of Assam [AIR 1990 SC

123], this Court stated the law thus :

“The courts strongly lean against any

construction which tends to reduce a statute to

a futility. The provision of a statute must be

so construed as to make it effective and

operative, on the principle “ut res magis

valeat quam pereat”. It is, no doubt, true that

if a statute is absolutely vague and its

language wholly intractable and absolutely

meaningless, the statute could be declared void

for vagueness. This is not in judicial review

by testing the law for arbitrariness or

unreasonableness under Article 14; but what a

court of construction, dealing with the

language of a statute, does in order to

ascertain from, and accord to, the statute the

meaning and purpose which the legislature

intended for it. In Manchester Ship Canal Co.

v. Manchester Racecourse Co. ((1900) 2 Ch 352,

Farwell J. said : (pp. 360-61)

“Unless the words were so absolutely

senseless that I could do nothing at all

with them, I should be bound to find some

meaning and not to declare them void for

uncertainty.”

In Fawcett Properties Ltd. v. Buckingham County

Council ((1960) 3 All ER 503) Lord Denning

approving the dictum of Farwell, J. said :

“But when a Statute has some meaning,

even though it is obscure, or several

meanings, even though it is little to

choose between them, the courts have to

say what meaning the statute to bear

rather than reject it as a nullity.”

It is, therefore, the court’s duty to

make what it can of the statute, knowing that

the statutes are meant to be operative and not

inept and that nothing short of impossibility

should allow a court to declare a statute

unworkable. In Whitney v. Inland Revenue

Commissioners (1926 AC 37) Lord Dunedin said :

“A statute is designed to be workable,

and the interpretation thereof by a court

should be to secure that object, unless

crucial omission or clear direction makes

that end unattainable.”

The Courts will therefore reject that construction which will

defeat the plain intention of the Legislature even though there may be

some inexactitude in the language used. [See Salmon vs. Duncombe

[(1886) 11 AC 627 at 634]. Reducing the legislation futility shall be

avoided and in a case where the intention of the Legislature cannot be

given effect to, the Courts would accept the bolder construction for

the purpose of bringing about an effective result. The Courts, when

rule of purposive construction is gaining momentum, should be very

reluctant to hold that the Parliament has achieved nothing by the

language it used when it is tolerably plain what it seeks to achieve.

(See BBC Enterprises Vs. Hi-Tech Xtravision Ltd., (1990) 2 All ER 118

at 122-3)

In Mohan Kumar Singhania and Others vs. Union of India and

Others [AIR 1992 SC 1], the law is stated thus :’

“We think, it is not necessary to proliferate

this judgment by citing all the judgments and

extracting the textual passages from the

various textbooks on the principles of

Interpretation of Statutes. However, it will

suffice to say that while interpreting a

statute the consideration of inconvenience and

hardships should be avoided and that when the

language is clear and explicit and the words

used are plain and unambiguous, we are bound to

construe them in their ordinary sense with

reference to other clauses of the Act or Rules

as the case may be, so far as possible, to make

a consistent enactment of the whole statute or

series of statutes/rules/regulations relating

to the subject matter. Added to this, in

construing a statute, the Court has to

ascertain the intention of the law making

authority in the backdrop of the dominant

purpose and the underlying intendment of the

said statute and that every statute is to be

interpreted without any violence to its

language and applied as far as its explicit

language admits consistent with the established

rule of interpretation.”

In Murlidhar Meghraj Loya Vs. State of Maharashtra [(1976) 3 SCC

684] while dealing with the provisions of Food Adulteration Act it was

stated :

“5. It is trite that the social mission of food

laws should inform the interpretative process

so that the legal blow may fall on every

adulterator. Any narrow and pedantic, literal

and lexical construction likely to leave

loopholes for this dangerous criminal tribe to

sneak out of the meshes of the law should be

discouraged. For the new criminal jurisprudence

must depart from the old canons, which make

indulgent presumptions and favoured

constructions benefiting accused persons and

defeating criminal statutes calculated to

protect the public health and the nation’s

wealth.”

In State of U.P. vs. Chandrika [(1999) 8 SCC 638], this Court

held that in matters involving economic crime, food offence and other

cases, the doctrine of plea bargaining should not be applied. While

holding so it referred with approval Madanlal Ramchandra Daga vs. State

of Maharashtra [AIR 1968 SC 1267 = (1968) 3 SCR 34], Murlidhar Meghraj

Loya (supra), Ganeshmal Jashraj vs. Government of Gujarat [(1980) 1 SCC

363], Thippaswamy vs. State of Karnataka [(1983) 1 SCC 194] and

Kasambhai Abdulrehmanbhai Sheikh vs. State of Gujarat [(1980) 3 SCC

120].

Yet again in Superintendent and Remembrancer of Legal Affairs to

Govt. of West Bengal Vs. Abani Maity [AIR 1979 SC 1029: (1979) 4 SCC

85] the law is stated in the following terms:

“19. Exposition ex visceribus actus is a long

recognised rule of construction. Words in a

statute often take their meaning from the

context of the statute as a whole. They are

therefore, not to be construed in isolation.

For instance, the use of the word “may” would

normally indicate that the provision was not

mandatory. But in the context of a particular

statute, this word may connote a legislative

imperative, particularly when its construction

in a permissive sense would relegate it to the

unenviable position, as it were, “of an

ineffectual angel beating its wings in a

luminous void in vain”. “If the choice is

between two interpretations”, said Viscount

Simon L. C. in Nokes v. Doncaster Amalgamated

Collieries, Ltd. ((1940) AC 1014, 1022) “the

narrower of which would fail to achieve the

manifest purpose of the legislation, we should

avoid a construction which would reduce the

legislation to futility and should rather

accept the bolder construction based on the

view that Parliament would legislate only for

the purpose of bringing about an effective

result.”

This decision was followed in State of Karnataka and Others vs.

Saveen Kumar Shetty [(2002) 3 SCC 426].

In State of Himachal Pradesh vs. Pirthi Chand and Another

[(1996) 2 SCC 37], this Court while dealing with a case of contraband

article following amongst others in Abani Maity (supra) stated :

“It would be seen that the organised

traffic in contraband generates deleterious

effect on the national economy affecting the

vitals of the economic life of the community.

It is settled law that illegality committed in

investigation does not render the evidence

obtained during that investigation

inadmissible. In spite of illegal search

property seized, on the basis of said search,

it still would form basis for further

investigation and prosecution against the

accused. The manner in which the contraband is

discovered may affect the factum of discovery

but if the factum of discovery is otherwise

proved then the manner becomes immaterial.”

The said principle has been reiterated in Khet Singh vs. Union of

India [(2002) 4 SCC 380] stating :

“Law on the point is very clear that even if there is

any sort of procedural illegality in conducting the

search and seizure, the evidence collected thereby

will not become inadmissible and the court would

consider all the circumstances and find out whether

any serious prejudice had been caused to the

accused.”

In State of Maharashtra Vs. Natwarlal Damodardas Soni [AIR 1980

SC 593: (1980) 4 SCC 669] this Court was concerned with search and

seizure of gold under the Customs Act and the Defence of India Rules.

The Court was dealing with smuggling of gold into India affecting the

public economy and financial stability of the country and in that

context the Court applied the Mischief Rule. While interpreting the

words ‘acquires possession’ or ‘keeping’ in Clause (b) of Section

135(1) of the Customs Act, this Court observed that they are not to be

restricted to ‘possession’ or ‘keeping’ acquired as an owner or a

purchaser of the goods observing :

“Such a narrow construction – which has been

erroneously adopted by the High Court – in our

opinion, would defeat the object of these

provisions and undermine their efficacy as

instruments for suppression of the mischief

which the legislature had in view. Construed in

consonance with the scheme of the statute, the

purpose of these provisions and the context,

the expression “acquires possession” is of very

wide amplitude and will certainly include the

acquisition of possession by a person in a

capacity other than as owner or purchaser. This

expression takes its colour from the succeeding

phrase commencing with the word “or”, which is

so widely worded that even the temporary

control or custody of a carrier, remover,

depositor, harbourer, keeper or dealer of any

goods which he knows or has reason to believe

to be smuggled goods or prohibited goods

(liable to confiscation under Section 111),

cannot escape the tentacles of clause (b). The

expressions “keeping” and “concealing in the

second phrase of clause (b) also cover the

present case.”

This Court while setting aside a judgment of acquittal passed in

favour of the Respondents therein on the basis of the interpretation of

the Customs Rules observed:

“The High Court has held that those rules do

not apply because the accused-respondent had

not acquired possession of these gold biscuits

by purchase or otherwise within the meaning of

these rules. Such a narrow construction of this

expression, in our opinion, will emasculate

these provisions and render them ineffective as

a weapon for combating gold smuggling. As was

pointed out by this Court in Balkrishna

Chhaganlal v. State of West Bengal (AIR 1974 SC

120), Rule 126-P(2)(ii) penalises a person who

has in his possession or under his control any

quantity of gold in contravention of any

provision of this Part, and the court cannot

cut back on the width of the language used,

bearing in mind the purpose of plenary control

the State wanted to impose on gold, and exempt

smuggled gold from the expression “any quantity

of gold” in that sub-rule. These provisions

have, therefore, to be specially construed in a

manner which will suppress the mischief and

advance the object which the legislature had in

view. The High Court was in error in adopting

too narrow a construction which tends to

stultify the law. The second charge thus had

been fully established against the respondent.”

These decisions are authorities for the proposition that the rule

of strict construction of a regulatory/penal statute may not be adhered

to, if thereby the plain intention of the Parliament to combat crimes

of special nature would be defeated.

We are, however, not oblivious of the fact that potential public

mischief cannot be a ground to invoke the court’s interpretative role

to make a new offence. Making of legislation is not the job of the

judiciary. Making of a penal legislation by the Judiciary is strictly

out of its bound. However, when the law working in the field is clear

then what is necessary for it is to find out as to whether any offence

has been created or not. Once it is held that the subject matter comes

within the purview of the law, the Court may not go further and say by

interpretive reasonings that the same is not so created.

We do not think that in a case of this nature where the

principles of law as enunciated hereinbefore as also the doctrine of

purposive construction, which have been discussed in details in Indian

Handicraft Emporium (supra), any useful purpose would be served by

referring to a large number of decisions relied upon by Mr. Parikh as

regards efficacy of referring to the preamble of a statute or its

heading, in view of the well-settled principles of law that where plain

and dictionary meaning can be given, reference to preamble or a heading

may not be of much use. The submission of Mr. Parikh that in a case of

this nature a restrictive meaning should be attributed to the word

‘ivory’ cannot be acceded to inasmuch as, in our opinion, the

dictionary meaning should be adhered to for the purpose of giving

effect to the purport and object of the Act.

It is no doubt true that normally a technical meaning should be

attributed rather than a common meaning to a word if the same relates

to a particular trade, business or profession, art or science or words

having a special meaning as has been held in Union of India vs. Garware

Nylons Ltd. [AIR 1996 SC 3509 and Unwin vs. Hanson [1891 (2) QB 115].

But we are not dealing with an ordinary/taxing statute. We are dealing

with a law which has been enacted in larger public interest and in

consonance with Articles 48A and 51A(g) of the Constitution of India as

also International Treaties and Conventions.

As pointed out hereinbefore, the Parliament has enacted the

Amending Acts of 1986, 1991 and 2003 not only for the purpose of

banning a trade in elephant ivory but with a view to create a blockade

of the activities of poachers and others so that a complete prohibition

in trade in ivory is achieved. By reason of the Amending Acts, the

Parliament was anxious to plug the loop-holes and impose a ban on trade

in ivory so that while purporting to trade in imported ivory and

carvings therefrom, poaching of Indian elephants and resultant illegal

trade by extracting their tusks may not continue.

The submission of Mr. Parikh that the doctrine of proportionality

should be applied in a case of this nature cannot also be acceded to.

In Om Kumar and Others vs. Union of India [(2001) 2 SCC 386], to

which a pointed reference has been made, this Court made a distinction

between the primary and secondary review of administrative orders. As

indicated in Indian Handicraft Emporium (supra), this Court while

construing the provisions of the Act vis-à-vis restrictions imposed in

terms of clause (6) of Article 19 of the Constitution of India has come

to the conclusion that the provisions of the Amending Acts satisfy even

the strict scrutiny test. In Om Kumar (supra), this Court pointed out

that the area of discretion of administrator would vary in different

situations stating :

“While the courts’ level of scrutiny will be

more in case of restrictions on fundamental

freedoms, the courts give a large amount of

discretion to the administrator in matters of

high-level economic and social policy and may

be reluctant to interfere : (R. v. Secy of

State for the Environment, ex p Nottinghamshire

County Council (1986 AC 240 : (1986) 1 All ER

199 : (1986) 2 WLR 1 (HL)); R. v. Secy. of

State for Environment, ex p Hammersmith and

Fulham London Borough Council ((1991) 1 AC 521

: (1990) 3 All ER 589 : (1990) 3 WLR 898) (AC

at p. 597). Smith speaks of “variable margin of

appreciation”. The new Rule 1 of the Civil

Procedure Rules, 1999 permits the courts to

apply “proportionality” but taking into account

the financial issues, complexities of the

matter and the special facts of the case.”

In Papanasam Labour Union vs. Madura Coats [(1995) 1 SCC 501]

whereupon Mr. Parikh has placed reliance, this Court held that while a

power has been conferred upon a higher authority, a presumption can be

raised that he would be conscious of its duties and obligations and so

would act promptly and reasonably.

There is also no quarrel on the proposition of law laid down

therein for the purpose of judging the constitutionality of the

statutory provisions in the light of Article 19 of the Constitution of

India. The impugned acts fulfill the said criteria.

For the reasons aforementioned, we are of the opinion that the

impugned judgment cannot be faulted. Accordingly, the appeals are

dismissed but without any order as to costs.