Judgment

MITTER, J.: - The petitioner in Writ Petition No. 24 of 1970, a citizen of India, who has been carrying on business inter alia of money lending against pledge of gold ornaments, challenges the vires of the Gold Control Act. 1969 read with the rules made thereunder and in particular Sections 6, 8 and 16 (1) of the Act.

2. The facts on which the petition is based are as follows The petitioner has fairly extensive business of money lending in Etawah in U. P In pursuit of his business he advances moneys to a large number of persons who pledge ornaments made of gold or containing gold and ether precious stones, or silver. It includes a seasonal business of agriculturists taking loans from him in the sowing season and repaying the same with interest by redeeming the pledged ornaments. According to the petition such loans are not always redeemed quickly and there are instances of ornaments lying with him under pledge for 10 to 15 years. He also owns along with other members of his family substantial quantities of gold ornaments. As he has a strong room for keeping these valuables his friends and relations also are in the habit of keeping their gold ornaments and articles with him f