OM PRAKASH SUD ETC. ETC. versus STATE OF J & K & ORS. ETC. ETC.
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... .. ' 841 OM PRAKASH SUD ETC. ETC. A v. STATE OF J & K & ORS. ETC. ETC. February 16, 1981 [R. S. PATHAK, 0. CHINNAPPA REDDY AND BAHARUL ISLAM, JJ.] B Constitution of India 1950, Article 14-Allotment of resin-Industrial pa/icy decision of State-Object of-Balanced economic and regional deve- lopment of State--Selection of quota seekers-Article 14 wltetlier violated. The petitioners in their writ petitions to this Court alleged that they were C carrying on small scale industries for the manufacture of resin and turpentine oil and that they applied to the Government for allotment of resin for their industries but the Government referring to their policy decision of March 20, 1978 refused to make any allotment, "'1d that they purchased raw material from the open market and managed to run their industries. They further alleged that while they were refused allotment of supply of raw-materials, the State, respondent No. 1 made allotments to respondent nos. 4 to 16 D although most of them were not even formally resistered at the time of 111llking tho impugned orders of allotment and that they were consequently adversely discriminated against, while respondent nos. 4 to 16 were favoured and as such the impugned orders of allotment were liable to be struck down as violative of Article 14 of the Constitution of India. The State, respondent No. 1 contested the writ petition, denied the E material allegations of the petitioners and alleged th<>t the allocations were made in conformity with the State Industrial Policy decision of securing the balanced economic and regional development of the State: that there wa~ a preponderance of industries in the Jammu Region, and that the industries of the petitioners as well as respondent nos. 4 t'o 16 were also functioning in that region. Allotments of resin were made districtwise, 110 applications were received and considered and aUotment was made to respondents nos. 4 F to 16. On the question whether the orders Of the 1st respondent allotting quotas of resin to respondent nos. 4 to 16 were arbitrary and violative of Article 14 of the Constitution. HELD: l(i) Respondent No. 1 has not explained as to bow and on what basis if any, the allotments were made by the impugned orders in favour of the new allottees respondent nos. 4 to 16 whose industries were located in the Jammu region. [847 CJ (ii) Although the State Government has taken reli•nce on the State G " Industrial Policy decision, it does not appear to have followed it in practice, ' except in the cases of five respondents. No reasonable basi1 bad been H adopted in making the allotments in favour of the new allottoes and denying the allotments to tho petitionol'I. [849 E-FJ 842 SUPREME COURT REPORTS [1981] 2 S.C.R. A 2. The rule of equality does not mean mathematical equality. It permits of practical inequalities. What is needed is that the selection of quota seckeJS as in the instant case should have a rational rela•tion to the object sought to be achieved in the industrial policy decision of the State. If the selection or differentiation is arbitrary and lacks a rational basis it offends Article 14. [849 DJ B 3. "Equaolity before the Law" or "equal protection of the laws'' within the meaning of Article 14 of the Constitution of India means absence Of any arbitrary discrimination by the law or in. their administration. No undue favour to one or hostile discrimination to another should be shown. A classi· fication is reasonable when it is not an arbitrary selection but rests on differences pertinent to the subject in respect of which the classification is made. The classification permissible must be based on some real and subs- C tantial distinction, a just and reasonable relation to the objects sought to be attained and cannot be made arbitrary and without any substantial basis. [848 H-849 A] D State of West Bengal v. Anwar Ali, [1952] SCR 284 referred to. ORIGINAL JURISDICTION : Writ Petition Nos. 3464-65, 5908 & 3231 of 1980. (Under Article 32 of the Constitution) S. N. Kacker, K. N. Bhatt and Surendara Raju for the Petitioners in W. P. Nos. 3464-65/80 and 5908/80. Soli J. Sorabjee, E. C. Agarwala, R. Satish and V. K. Pandita for E the Petitioner in WP 3231/80. L. N. Sinha, Att Genl and Altaf Ahmed fur R. 1. in WPs 3464- 65/80. Y. S. Chitaley and Vineet Kumar for R. 14 in WP 3231/80 and for R. 2 in WPs 3464-65 /
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