JUDGMENT

S.B. Mujmudar, J.-City of Nagpur Corporation has brought in challenge the order passed by the High Court of Bombay, Nagpur Bench in Writ Petition No. 1224 of 1980 by obtaining special leave to appeal against the said judgment. Respondents herein had moved the said writ petition challenging the impugned notification dated 10th December 1979 issued by the State of Maharashtra sanctioning the octroi rates proposed by the appellant - Corporation under Section 115 read with Section 114(1)(e) of the City of Nagpur Corporation Act, 1948 (hereinafter referred to as the said Act ) on the ground that as the State of Maharashtra had not framed any rules fixing the maximum rates of octroi tax under Section 114 sub-section (3) of the said Act, the impugned notification was of no legal effect. The aforesaid challenge to the impugned notification was upheld by the High Court and that is how the appellant-Corporation is in appeal before us.

Background facts

2. A few relevant background facts leading to these proceedings deserve to be noted at the outset. The respondents, original writ petitioners before the High Court, are manufacturers of incense sticks (agarbatties). They carry on their m